Choice Hotels International, Inc. (NYSE:CHH) Given Average Recommendation of “Reduce” by Brokerages

Shares of Choice Hotels International, Inc. (NYSE:CHH) have been assigned a consensus rating of “Reduce” from the fourteen ratings firms that are currently covering the firm, MarketBeat.com reports. Four equities research analysts have rated the stock with a sell recommendation, eight have given a hold recommendation and two have given a buy recommendation to the company. The average 1 year price target among brokers that have covered the stock in the last year is $111.6667.

A number of analysts have weighed in on CHH shares. Barclays decreased their price target on Choice Hotels International from $112.00 to $100.00 and set an “underweight” rating for the company in a report on Thursday, April 30th. Wells Fargo & Company increased their price target on Choice Hotels International from $91.00 to $110.00 and gave the stock an “underweight” rating in a report on Friday, February 20th. Truist Financial decreased their price target on Choice Hotels International from $129.00 to $128.00 and set a “buy” rating for the company in a report on Tuesday, May 26th. Deutsche Bank Aktiengesellschaft set a $114.00 price target on Choice Hotels International in a report on Monday, May 4th. Finally, Susquehanna decreased their price target on Choice Hotels International from $115.00 to $110.00 and set a “neutral” rating for the company in a report on Monday, May 4th.

Choice Hotels International Stock Performance

Shares of Choice Hotels International stock opened at $104.60 on Thursday. The company has a current ratio of 0.95, a quick ratio of 0.95 and a debt-to-equity ratio of 14.58. The business has a 50-day moving average price of $110.60 and a two-hundred day moving average price of $103.87. Choice Hotels International has a 1-year low of $84.04 and a 1-year high of $136.45. The company has a market cap of $4.76 billion, a P/E ratio of 14.10, a PEG ratio of 5.19 and a beta of 0.67.

Choice Hotels International (NYSE:CHH) last issued its quarterly earnings results on Thursday, April 30th. The company reported $1.07 earnings per share for the quarter, missing analysts’ consensus estimates of $1.35 by ($0.28). Choice Hotels International had a return on equity of 281.98% and a net margin of 21.55%.The business had revenue of $340.58 million for the quarter, compared to analyst estimates of $333.48 million. During the same quarter in the previous year, the business posted $1.34 earnings per share. The business’s revenue was up 2.3% on a year-over-year basis. Choice Hotels International has set its FY 2026 guidance at 6.920-7.140 EPS. As a group, analysts anticipate that Choice Hotels International will post 7.11 EPS for the current year.

Choice Hotels International Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 15th. Stockholders of record on Wednesday, July 1st will be given a dividend of $0.2875 per share. This represents a $1.15 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date of this dividend is Wednesday, July 1st. Choice Hotels International’s dividend payout ratio is 15.50%.

Insider Activity

In other news, CFO Scott E. Oaksmith sold 1,603 shares of the stock in a transaction dated Wednesday, March 18th. The shares were sold at an average price of $100.00, for a total transaction of $160,300.00. Following the transaction, the chief financial officer owned 37,172 shares of the company’s stock, valued at $3,717,200. This represents a 4.13% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 23.78% of the stock is owned by company insiders.

Hedge Funds Weigh In On Choice Hotels International

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Janus Henderson Group PLC boosted its position in shares of Choice Hotels International by 1,009.6% during the 1st quarter. Janus Henderson Group PLC now owns 139,550 shares of the company’s stock worth $14,445,000 after purchasing an additional 126,973 shares in the last quarter. Amundi boosted its position in shares of Choice Hotels International by 158.7% during the 1st quarter. Amundi now owns 6,234 shares of the company’s stock worth $645,000 after purchasing an additional 3,824 shares in the last quarter. California State Teachers Retirement System boosted its position in shares of Choice Hotels International by 5.8% during the 1st quarter. California State Teachers Retirement System now owns 33,082 shares of the company’s stock worth $3,424,000 after purchasing an additional 1,808 shares in the last quarter. Empowered Funds LLC bought a new position in shares of Choice Hotels International during the 1st quarter worth about $309,000. Finally, Maverick Capital Ltd. bought a new position in shares of Choice Hotels International during the 1st quarter worth about $663,000. Institutional investors own 65.57% of the company’s stock.

Choice Hotels International Company Profile

Choice Hotels International, Inc is a hospitality franchisor specializing in the development and support of lodging brands across the economy, midscale and upscale segments. Through a network of franchisees, Choice Hotels supplies proprietary reservation and distribution systems, comprehensive marketing programs, and operational support services. The company’s core activities include brand management, franchise development, and technology-driven revenue optimization tools designed to enhance guest acquisition and retention for its partners.

Founded in 1939 as Quality Courts United, the company rebranded to Choice Hotels International in 1982 to reflect its expanding brand portfolio and global ambitions.