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Franchises economy-to-upscale hotel brands such as Comfort Inn, Quality Inn, Sleep Inn and Cambria across the US and abroad.
Franchises economy-to-upscale hotel brands such as Comfort Inn, Quality Inn, Sleep Inn and Cambria across the US and abroad.
Collects ongoing fees from owners who put its brand on their hotels, mostly a share of room revenue, plus charges for reservations, loyalty programme and marketing, so it owns few hotels and bears little of their cost. More rooms or higher revenue per room both raise fees. It bought Radisson's Americas brands in 2022.
Moat: narrow (brand, network effects, scale). Large franchise/loyalty network and reservation system give owners demand no small chain can replicate.
Headquarters: Rockville, Maryland, United States · Founded: 1939 · Employees: 1,754
Size Choice Hotels International (CHH) is a United States Consumer Discretionary company (Hotels/Resorts/Cruise lines) with a market value of $5.29B, the 1148th largest of 3,117 United States companies the cockpit tracks. Shares closed at $118.91 on 6 Nov 2026.
Performance Over six months the shares gained 11.6%, against +4.9% for the median peer and -1.1% for the United States market (cap-weighted) — 9th highest of 21 in its peer set.
Growth Revenue grew 2.1% over the last twelve months (peer median +4.7%); the operating margin is 25.1% (peer median 14.9%).
Valuation It trades at 15.8× forward earnings against a peer median of 17.1× (6th cheapest of 19).
Price implies For today's price to make sense, revenue must grow about 5% a year for seven years (Req g). Recent delivered growth is +16%, so the hurdle is -11 pp: the price already allows for a slowdown.
Capital Return on invested capital runs 7.1 points above its cost of capital (7.3% WACC).
Backlog Backlog (remaining performance obligations) was $236M at 30 Sep 2026, up 1% on a year earlier — 0.1 years of trailing revenue. Backlog detail →
Credit Choice Hotels International has 3 bonds outstanding ($1.45B), rated BBB- by the agencies and trading like BBB at a weighted spread of 114 bp.
Short interest Short interest is 14.1% of the free float (15 Oct 2026).
Next results Next results expected around 25 Feb 2027 (exchange calendar; dates can move).
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | $1.63B | $1.60B | $1.58B | $1.54B | $1.38B |
| Revenue growth | — | +1% | +3% | +12% | — |
| Gross profit | $779M | $765M | $709M | $676M | $666M |
| EBITDA | $477M | $564M | $608M | $566M | $592M |
| Net income | $205M | $368M | $298M | $257M | $330M |
| Free cash flow | $170M | $232M | $280M | $180M | $277M |
| Capital expenditure | $37.6M | $38.9M | $39.1M | $118M | $93.6M |
| Total debt | $2.28B | $2.02B | $1.89B | $1.68B | $1.29B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| Choice Hotels International CHH | $5.29B | +12% | +2% | 25% | 15.8× | 4.8% |
| Wyndham Hotels & Resorts WH | $5.64B | -6% | +1% | 37% | 15.2× | 1.8% |
| Hilton Worldwide HLT | n/a | +17% | n/a | n/a | n/a | n/a |
| Marriott International MAR | $107B | +18% | +6% | 16% | 32.1× | 17.9% |
| InterContinental Hotels Group PLC Sponsored ADR IHG | $25.3B | +19% | +3% | 24% | 23.8× | 12.7% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | CHH | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | +13.4% | +9.7% | 9th highest of 21 |
| 6-month return | +11.6% | +4.9% | 9th highest of 21 |
| Distance from 52-week high | -4.0% | -13.6% | 5th highest of 21 |
| Revenue growth (TTM) | +2.1% | +4.7% | 8th lowest of 21 |
| Operating margin | 25.1% | 14.9% | 5th highest of 21 |
| Forward P/E | 15.8× | 17.1× | 6th cheapest of 19 |
| Growth the price implies (Req g, 7 yrs) | 4.8% | 3.2% | 8th most demanding of 17 |
| Growth delivered (Del g) | +15.6% | +17.2% | 8th lowest of 17 |
| Hurdle (Req g minus delivered) | -10.8 pp | -19.3 pp | 6th most demanding of 17 |
| ROIC minus cost of capital | +7.1 pp | -0.2 pp | 2nd highest of 20 |
| EV / EBITDA | 15.5× | 12.2× | 5th most expensive of 18 |
| Net debt / EBITDA | 4.4× | 3.9× | 8th most indebted of 19 |
| Bond spread | 114 bp | 169 bp | tightest of 4 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| Choice Hotels International CHH | United States | $5.29B | +12% | +2% | 25% | 15.8× | 4.8% | +15.6% |
| Red Rock Resorts RRR | United States | $5.06B | -11% | +1% | 23% | 17.9× | 13.3% | +11.2% |
| Wyndham Hotels & Resorts WH | United States | $5.64B | -6% | +1% | 37% | 15.2× | 1.8% | +1.8% |
| Vail Resorts MTN | United States | $5.66B | +26% | -4% | 16% | 27.9× | 9.6% | +8.2% |
| Atour Lifestyle Holdings Ltd. Sponsored ADR ATAT | United States | $4.82B | -6% | +45% | 21% | 15.8× | 1.8% | +43.1% |
| Seibu 9024.T | Japan | $6.11B | +2% | -41% | 10% | 29.6× | n/a | n/a |
| Travel + Leisure TNL | United States | $4.54B | +15% | +5% | 17% | 8.8× | 3.2% | +11.2% |
| Whitbread WTB.L | United Kingdom | $6.37B | +25% | +2% | 21% | 15.8× | 9.7% | +37.7% |
| Monte-Carlo Societe des Bains de Mer BAIN.PA | France | $4.06B | +9% | +12% | 9% | n/a | 24.2% | +20.7% |
| ITC Hotels ITCHOTELS.NS | India | $3.85B | +5% | +65% | 25% | 34.6× | 37.0% | +64.8% |
| Norwegian Cruise Line NCLH | United States | $8.23B | +5% | +5% | 14% | 13.8× | n/a | n/a |
| Shanghai Jin Jiang International Hotels 600754.SS | China | $3.18B | -16% | +5% | 14% | 19.5× | -8.1% | +6.9% |
| Hanjinkal 180640.KS | South Korea | $9.60B | +74% | +7% | 1% | 43.3× | n/a | n/a |
| Guoco 0053.HK | Hong Kong | $2.90B | 0% | -11% | 13% | n/a | -3.9% | +16.0% |
| Melia Hotels International MEL.MC | Spain | $2.67B | -10% | +5% | 13% | 15.2× | 7.3% | +31.5% |
| Leela Palaces Hotels & Resorts THELEELA.NS | India | $2.45B | +65% | +17% | 42% | 43.7× | n/a | n/a |
| Resorttrust 4681.T | Japan | $2.36B | -1% | +8% | 12% | 16.4× | -6.4% | +9.4% |
| Scandic Hotels SHOT.ST | Sweden | $2.29B | +16% | +3% | 13% | 17.2× | 3.2% | +24.4% |
| BTG Hotels (Group) Co Ltd Shs -A- 600258.SS | China | $2.25B | -14% | -3% | 18% | 17.0× | -11.1% | +7.6% |
| Lindblad Expeditions LIND | United States | $2.23B | +61% | +17% | 8% | 89.0× | 33.0% | +56.4% |
| Hbx Group International HBX.MC | Spain | $2.19B | +29% | +4% | 38% | 9.6× | -4.2% | +18.4% |
Choice Hotels International has 3 bonds outstanding with $1.45B face value. The agencies rate it BBB-; its bonds trade like BBB. Weighted yield 5.83%, a spread of 114 bp over government bonds.
Choice Hotels International reported $236M of remaining performance obligations at 30 Sep 2026, up 1% from a year earlier and up 3% from the previous quarter. That is 0.1 years of trailing revenue already under contract. Book-to-bill last quarter: 1.01.