Choice Hotels International (NYSE:CHH) Hits New 12-Month High Following Earnings Beat

Choice Hotels International, Inc. (NYSE:CHH)’s stock price reached a new 52-week high on Monday after the company announced better than expected quarterly earnings. The stock traded as high as $149.46 and last traded at $142.11, with a volume of 71366 shares. The stock had previously closed at $138.76.

The company reported $2.23 earnings per share for the quarter, topping the consensus estimate of $1.92 by $0.31. The business had revenue of $428.00 million for the quarter, compared to analyst estimates of $432.62 million. Choice Hotels International had a net margin of 15.42% and a negative return on equity of 3,953.67%. The firm’s quarterly revenue was up .6% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.82 EPS.

Choice Hotels International Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, October 16th. Investors of record on Tuesday, October 1st were issued a dividend of $0.2875 per share. The ex-dividend date was Tuesday, October 1st. This represents a $1.15 dividend on an annualized basis and a yield of 0.82%. Choice Hotels International’s dividend payout ratio is 23.91%.

Analysts Set New Price Targets

Several analysts have recently commented on the company. Robert W. Baird set a $138.00 target price on Choice Hotels International in a report on Thursday, October 17th. StockNews.com raised shares of Choice Hotels International from a “sell” rating to a “hold” rating in a report on Thursday, October 3rd. Barclays boosted their target price on shares of Choice Hotels International from $112.00 to $123.00 and gave the stock an “underweight” rating in a research note on Tuesday. UBS Group decreased their price target on shares of Choice Hotels International from $126.00 to $125.00 and set a “neutral” rating on the stock in a research note on Friday, August 9th. Finally, JPMorgan Chase & Co. cut shares of Choice Hotels International from a “neutral” rating to an “underweight” rating and set a $120.00 price objective for the company. in a research report on Friday, July 19th. Three investment analysts have rated the stock with a sell rating, seven have issued a hold rating and one has issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $127.50.

Insider Transactions at Choice Hotels International

In related news, insider Patrick Cimerola sold 1,714 shares of the company’s stock in a transaction dated Monday, October 14th. The stock was sold at an average price of $135.00, for a total value of $231,390.00. Following the completion of the sale, the insider now owns 18,084 shares in the company, valued at approximately $2,441,340. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. In other news, EVP Dominic Dragisich sold 9,138 shares of Choice Hotels International stock in a transaction on Friday, October 11th. The shares were sold at an average price of $134.88, for a total transaction of $1,232,533.44. Following the transaction, the executive vice president now directly owns 68,509 shares of the company’s stock, valued at $9,240,493.92. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Patrick Cimerola sold 1,714 shares of the company’s stock in a transaction on Monday, October 14th. The shares were sold at an average price of $135.00, for a total transaction of $231,390.00. Following the completion of the sale, the insider now owns 18,084 shares of the company’s stock, valued at approximately $2,441,340. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 37,429 shares of company stock worth $4,866,493 in the last three months. Insiders own 24.02% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in CHH. State Board of Administration of Florida Retirement System lifted its holdings in shares of Choice Hotels International by 17.8% during the 1st quarter. State Board of Administration of Florida Retirement System now owns 34,074 shares of the company’s stock valued at $3,993,000 after purchasing an additional 5,156 shares in the last quarter. BNP Paribas Financial Markets boosted its holdings in shares of Choice Hotels International by 62.8% in the first quarter. BNP Paribas Financial Markets now owns 21,990 shares of the company’s stock valued at $2,778,000 after buying an additional 8,485 shares during the period. Twin Tree Management LP bought a new stake in shares of Choice Hotels International during the first quarter worth $6,248,000. SG Americas Securities LLC lifted its position in Choice Hotels International by 161.3% in the 2nd quarter. SG Americas Securities LLC now owns 10,341 shares of the company’s stock valued at $1,231,000 after acquiring an additional 6,384 shares in the last quarter. Finally, Vanguard Group Inc. boosted its stake in Choice Hotels International by 7.7% in the 1st quarter. Vanguard Group Inc. now owns 2,738,088 shares of the company’s stock worth $345,957,000 after purchasing an additional 195,956 shares during the period. 65.57% of the stock is currently owned by institutional investors.

Choice Hotels International Stock Performance

The stock has a fifty day simple moving average of $131.42 and a 200-day simple moving average of $124.15. The stock has a market cap of $6.59 billion, a P/E ratio of 29.01, a PEG ratio of 2.27 and a beta of 1.24. The company has a debt-to-equity ratio of 177.75, a quick ratio of 0.99 and a current ratio of 0.99.

About Choice Hotels International

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 brand names of Comfort Inn, Comfort Suites, Quality, Clarion, Clarion Pointe, Sleep Inn, Ascend Hotel 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.