Choice Hotels International Inc (CHH) Fair Value & Analysis
Consumer Cyclical · US · Market cap $5.1B · ISIN US1699051066
What is Choice Hotels International Inc really worth?
A solid business, but trading 61% above our fair value of $61.72.
Strengths
Risks
For context
Fair value as of: Aug 13, 2026
From 26 valuation models · updated 22 days ago
Fair value updated Aug 13, 2026, revised from $62.55 to $61.72 (−1.3%) since Jul 17, 2026. Share price −8.5% over the past month.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- The model range is unusually wide ($43.20 to $123.24). The outcome hinges heavily on assumptions, so read the point estimate with caution.
- Solid but not exceptional quality (58/100) and above fair value, neither a clear bargain nor a standout compounder.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.
How to read this chart
60‑month range $83.69 – $153.56 · fair‑value band $43.20 – $123.24 · the $99.40 price screens above the $61.72 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.
Analysis
Choice Hotels International Inc (CHH) currently trades at $99.40, while our model-based Fair Value estimate is $61.72, implying the stock looks roughly 61.1% overvalued today. The Quality Score stands at 58/100 (solid quality), in the Consumer Cyclical sector. Bull case: the Growth Earnings group reads highest at a median of $162.75 per share, and 5 of the 26 models we run sit above the $99.40 price. Bear case: the Dividend Discount group reads lowest at $17.48, and 21 of the 26 models stay below the price. Evidence for this calculation is high.
Over the trailing twelve months, Choice Hotels International Inc generated revenue of $988M at a net margin of 35.0%. Revenue grew 3.5% year over year. It earns a return on equity of 94.1%. Net debt stands at $2.1B. Fundamentals as of Aug 13, 2026
Our scenario range runs from $43.20 (bear case) to $123.24 (bull case); at $99.40, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 27% below its 52-week high and 19% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at −61% fair-value upside, at −38%, CHH screens cheaper than that median.
Fair Value models
This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly $4.23 per share, which is 6.9 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.
All 26 models by family
Widest divergence: Growth Earnings ($162.75) versus Asset-Based ($2.67). Highest evidence: FCF DCF (77).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 52 · Market factors (momentum, volatility) 41
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Choice Hotels International, Inc., together with its subsidiaries, operates as a hotel franchisor in the United States and internationally. It operates through Hotel Franchising & Management and Corporate & Other segments.
Full company description
Choice Hotels International, Inc., together with its subsidiaries, operates as a hotel franchisor in the United States and internationally. It operates through Hotel Franchising & Management and Corporate & Other segments. The company franchises lodging properties under the Comfort Inn, Comfort Suites, Quality, Clarion, Clarion Pointe, Sleep Inn, Ascend Collection, Econo Lodge, Rodeway Inn, MainStay Suites, Suburban Studios, WoodSpring Suites, Everhome Suites, Cambria Hotels, Radisson Blu, Radisson RED, Radisson, Park Plaza, Country Inn & Suites by Radisson, Radisson Inn & Suites, Park Inn by Radisson, Radisson Individuals, and Radisson Collection brand names. The company was founded in 1939 and is headquartered in North Bethesda, Maryland.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Choice Hotels International Inc reported revenue of $1.6B in FY2025 versus $1.1B in FY2021, a compound +10.5%/yr. Reported net income was $370M in FY2025, compounding +6.4%/yr from FY2021.
of which total revenue +7.1 % · buybacks/dilution +2.0 %
Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).
CHH screens 61% overvalued. Compare with Marriott International, Inc →
Recent news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Here Are Thursday’s Top Wall Street Analyst Research Calls: Abercrombie & Fitch, Choice Hotels International, DigitalOcean Holdings, Fir
- The Top 5 Analyst Questions From Choice Hotels’s Q2 Earnings Call
- Choice Hotels (CHH) Q2 2026 Earnings Call Transcript
Peer Group
Lodging · 165 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Lodging median · lower = cheaper
Strength profile in five axes (Snowflake)
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Insider activity: 46/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Lodging stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Marriott International, Inc MAR | $341.76 | $132.35 | −61% |
| Hilton Worldwide Holdings HLT | $314.35 | $122.07 | −61% |
| InterContinental Hotels Group IHG | $161.82 | $85.18 | −47% |
| Hyatt Hotels Corporation H | $178.37 | $46.78 | −74% |
| H World Group HTHT | $41.25 | $47.78 | +16% |
| Accor SA AC | €46.52 | €36.87 | −21% |
| The Indian Hotels Company INDHOTEL | ₹723.35 | ₹253.67 | −65% |
| Wyndham Hotels & Resorts, Inc WH | $74.02 | $23.55 | −68% |
| Hanjin Kal, 180640 | 139,100 KRW | 36,890 KRW | −73% |
| Jabal Omar Development Company 4250 | 18.88 SAR | 11.64 SAR | −38% |
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