H World Group HTHT
H World Group Limited is a leading hotel operator in China, with a business model combining managed, franchised, and directly owned hotels, focused on the midscale and economy segment. H World shows solid financial health (ND/EBITDA 2.10, operating margin 31.15%) and exceptional quality (ROE 38.13%), with an attractive forward valuation (P/E 13.18, PEG 0.27). However, earnings growth is negative (-1.00%) and the payout ratio of 155.93% is unsustainable, introducing medium-term risks.
Detailed metrics
Market and fundamental data as of the analysis date.
Full AI report
Generated automatically from the metrics, the macro context and the company's news.
H World Group Limited is a leading hotel operator in China, with a business model combining managed, franchised, and directly owned hotels, focused on the midscale and economy segment. H World shows solid financial health (ND/EBITDA 2.10, operating margin 31.15%) and exceptional quality (ROE 38.13%), with an attractive forward valuation (P/E 13.18, PEG 0.27). However, earnings growth is negative (-1.00%) and the payout ratio of 155.93% is unsustainable, introducing medium-term risks.
Score by category
| Category | Score |
|---|---|
| Financial health | 7.0 |
| Quality / Moat | 7.8 |
| Valuation | 7.4 |
| Growth | 5.5 |
| Dividend | 4.4 |
| Momentum | 6.6 |
| Risk & Context | 5.2 |
OVERALL SCORE: 6.6/10
Context and risks
High exposure to China, with elevated governance risk. The domestic hotel business depends on consumer confidence and regulatory stability in a weak institutional environment, justifying a significant penalty.
News considered in the analysis
- How H World Group Limited (HTHT) Captures China’s Domestic Lodging Expansion? — Artículo de análisis que destaca la expansión en el mercado doméstico chino, un motor de crecimiento conocido y ya parcialmente reflejado en el precio.
- H World Group (HTHT) Expansion Story Keeps Its Undervalued Narrative In Focus — Refuerza la narrativa de infravaloración basada en el crecimiento de la expansión, sin datos nuevos materiales.
- H World (HTHT) Cleared Its $2B Promise Early, Then Topped It — Noticia positiva material: la empresa superó su objetivo de retorno de capital de 2.000 millones de dólares antes de lo previsto, lo que demuestra una sólida generación de caja y compromiso con el accionista.
- Looking for a Growth Stock? 3 Reasons Why H World Group (HTHT) is a Solid Choice — Artículo promocional de Zacks con argumentos genéricos de crecimiento; impacto moderado y ya descontado en gran medida.
- Bet on 4 Top-Ranked Stocks With Rising P/E — Listículo genérico sin información específica sobre la empresa; se ignora.
Verdict: Hold, with caution due to governance risk in China and dividend sustainability.
Main risk: The main risk is exposure to China, with a weak governance environment that could affect minority shareholder protection and the stability of the domestic hotel business.
Other Consumer Cyclical companies
Neighbours in the sector ranking, to compare without going back to the index.
See all 1,000+ companies in the index →