Summit Hotel Properties, Inc. is a publicly traded real estate investment trust focused on owning premium-branded hotels with efficient operating models primarily in the Upscale segment of the lodging industry.
Very undervalued with reasonable growth potential.
Share Price & News
How has Summit Hotel Properties's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: INN.PRE's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: INN.PRE underperformed the US REITs industry which returned -14.8% over the past year.
Return vs Market: INN.PRE underperformed the US Market which returned 4.1% over the past year.
Price Volatility Vs. Market
How volatile is Summit Hotel Properties's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is Summit Hotel Properties undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: INN.PRE ($17.25) is trading below our estimate of fair value ($86.29)
Significantly Below Fair Value: INN.PRE is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: INN.PRE is good value based on its PE Ratio (14.5x) compared to the REITs industry average (25.8x).
PE vs Market: INN.PRE is good value based on its PE Ratio (14.5x) compared to the US market (15.1x).
Price to Earnings Growth Ratio
PEG Ratio: INN.PRE is good value based on its PEG Ratio (0.3x)
Price to Book Ratio
PB vs Industry: INN.PRE is good value based on its PB Ratio (0.5x) compared to the US REITs industry average (1.3x).
How is Summit Hotel Properties forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: INN.PRE's forecast earnings growth (52.9% per year) is above the savings rate (2.2%).
Earnings vs Market: INN.PRE's earnings (52.9% per year) are forecast to grow faster than the US market (21.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: INN.PRE's revenue (13% per year) is forecast to grow faster than the US market (8.9% per year).
High Growth Revenue: INN.PRE's revenue (13% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: INN.PRE is forecast to be unprofitable in 3 years.
How has Summit Hotel Properties performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: INN.PRE has a large one-off gain of $37.7M impacting its March 31 2020 financial results.
Growing Profit Margin: INN.PRE's current net profit margins (7.6%) are lower than last year (14%).
Past Earnings Growth Analysis
Earnings Trend: INN.PRE's earnings have declined by -2.9% per year over the past 5 years.
Accelerating Growth: INN.PRE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: INN.PRE had negative earnings growth (-50.4%) over the past year, making it difficult to compare to the REITs industry average (5.3%).
Return on Equity
High ROE: INN.PRE's Return on Equity (4.5%) is considered low.
How is Summit Hotel Properties's financial position?
Financial Position Analysis
Short Term Liabilities: INN.PRE's short term assets ($188.1M) exceed its short term liabilities ($83.5M).
Long Term Liabilities: INN.PRE's short term assets ($188.1M) do not cover its long term liabilities ($1.2B).
Debt to Equity History and Analysis
Debt Level: INN.PRE's debt to equity ratio (98.6%) is considered high.
Reducing Debt: INN.PRE's debt to equity ratio has increased from 81.1% to 98.6% over the past 5 years.
Debt Coverage: INN.PRE's debt is not well covered by operating cash flow (10.7%).
Interest Coverage: INN.PRE's interest payments on its debt are not well covered by EBIT (1.3x coverage).
What is Summit Hotel Properties's current dividend yield, its reliability and sustainability?
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate INN.PRE's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate INN.PRE's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if INN.PRE's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if INN.PRE's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: INN.PRE is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of INN.PRE's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Dan Hansen (50yo)
Mr. Daniel P. Hansen, also known as Dan, is the Chief Executive Officer and President at Hotel Properties, Inc. since June 2010 and serves as its Chairman of the Board since January 18, 2017. Mr. Hansen ha ...
CEO Compensation Analysis
Compensation vs Market: Dan's total compensation ($USD5.01M) is above average for companies of similar size in the US market ($USD2.29M).
Compensation vs Earnings: Dan's compensation has been consistent with company performance over the past year.
|Executive VP||2.17yrs||US$2.22m||0.27% $1.8m|
|Executive VP & COO||9.92yrs||US$2.19m||0.33% $2.2m|
|Senior VP & Chief Accounting Officer||6.08yrs||US$998.35k||0.13% $865.7k|
|Chief Risk Officer||9.92yrs||US$1.35m||0.16% $1.1m|
|SVP - Finance & Capital Markets||no data||no data||no data|
Experienced Management: INN.PRE's management team is seasoned and experienced (9.9 years average tenure).
|Independent Director||5.83yrs||US$181.62k||0.058% $387.5k|
|Lead Independent Director||3.33yrs||US$204.12k||0.058% $387.5k|
|Independent Director||9.17yrs||US$166.62k||0.12% $833.4k|
|Independent Director||9.17yrs||US$176.62k||0.071% $472.4k|
|Independent Director||2.83yrs||US$169.12k||0.036% $241.6k|
Experienced Board: INN.PRE's board of directors are considered experienced (4.6 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Summit Hotel Properties, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Summit Hotel Properties, Inc.
- Ticker: INN.PRE
- Exchange: NYSE
- Founded: 2004
- Industry: Hotel and Resort REITs
- Sector: Real Estate
- Implied Market Cap: US$667.643m
- Market Cap: US$666.355m
- Shares outstanding: 105.81m
- Website: https://www.shpreit.com
Number of Employees
- Summit Hotel Properties, Inc.
- 13215 Bee Cave Parkway
- Suite B-300
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|INN||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Feb 2011|
|SDP||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Feb 2011|
|INN.PRD||NYSE (New York Stock Exchange)||RED PFD SER D||US||USD||Jun 2016|
|INN.PRE||NYSE (New York Stock Exchange)||6.250% CUM PFD E||US||USD||Nov 2017|
Summit Hotel Properties, Inc. is a publicly traded real estate investment trust focused on owning premium-branded hotels with efficient operating models primarily in the Upscale segment of the lodging industry. As of May 11, 2020, the Company's portfolio consisted of 72 hotels, 67 of which were wholly owned, with a total of 11,288 guestrooms located in 23 states.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/05/29 08:51|
|End of Day Share Price||2020/05/28 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.