
97.59 USD (+35.1%)
17 analysts
What does it do?
Wyndham Hotels & Resorts is one of the world's largest hotel chains, operating primarily under a franchising and management model, generating revenue from royalties and fees without bearing the cost of property ownership.
Key points
from its scores- ✓High-quality business8.4
- ✓Favourable backdrop7.2
- ✓Attractive valuation7.0
- ✕Poor share-price trend2.5
- ✕Weak growth4.7
AI analysis
bottom line, main risk, context and newsQuality and valuation are solid, but high debt and weak revenue suggest waiting for an improvement in cash generation or a correction in interest rates before taking a position.
Wyndham shows exceptional quality (ROE 39.4%, operating margin 47.7%) and an attractive valuation (forward P/E 13.55, PEG 0.51), but its high leverage (ND/EBITDA 4.63) and declining revenue (-5.5%) are drags that the market already penalizes in its momentum (score 2.51).
The main risk is the high financial leverage (Net Debt/EBITDA of 4.63) in a rising interest rate environment, which could compress financial flexibility and make debt refinancing more expensive.
Context and risks
Wyndham operates under a hotel franchising and management model, which gives it very high margins (47.7%) and an ROIC of 21.5%. However, its high leverage (Net Debt/EBITDA of 4.63) and its cyclical discretionary consumer business make it vulnerable to a rising interest rate environment, which increases the cost of servicing its debt and may pressure travel demand. The main risk is its ability to continue generating cash to deleverage in an uncertain economic cycle.
Is Wyndham Hotels & Resorts stock cheap or expensive?
at the analysis dateOn P/E and EV / EBITDA, it trades 36% above the Consumer Cyclical median on average.
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| P/E | 26.2 | 17.8 | +47% |
| EV / EBITDA | 14.2 | 11.2 | +26% |
| Price / book | 11.3 | 2.9 | +293% |
| Price / sales | 3.8 | 1.3 | +201% |
Sector: median of the 228 Consumer Cyclical companies analysed. In bold, the multiples used for the comparison.
Valuation score: 7.0 out of 10 (median for Consumer Cyclical: 6.6).
Average analyst target: 97.59 USD, +35.1% versus the price.
A premium can be justified if the company is of higher quality or grows faster than its sector: Quality / Moat 8.4 (sector 5.7), Growth 4.7 (sector 5.9).
Classic formulas with standard assumptions (10.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Consumer Cyclical medianValuation
- P/E
- 26.2
- Forward P/E
- 13.6
- EV / EBITDA
- 14.2
- Price / book
- 11.3
- Price / sales
- 3.8
- PEG
- 0.51
- Market cap
- 5.4B USD
- Enterprise value
- 8.0B USD
Profitability
- ROE
- 39.4%
- ROA
- 7.7%
- ROIC (approx.)
- 21.5%
- Gross margin
- 62.8%
- Operating margin
- 47.7%
- Net margin
- 14.6%
- Free cash flow
- 362.4M USD
- FCF yield
- 6.8%
- Cash conversion
- 64%
Solvency
- Total debt
- 2.7B USD
- Net debt
- 2.6B USD
- Cash
- 69.0M USD
- EBITDA
- 563.0M USD
- Net debt / EBITDA
- 4.63
- Debt / equity
- 557.29
- Current ratio
- 0.99
- Quick ratio
- 0.80
Growth
- Revenue growth
- −5.5%
- Earnings growth
- +20.4%
- EPS (TTM)
- 2.76 USD
- EPS (forward)
- 5.33 USD
Dividend
- Dividend yield
- 2.4%
- Payout
- 60.9%
Risk and market
- Beta
- 0.69
- Analyst consensus
- Buy (17)
- Target price
- 97.59 USD
- 52-week range
- 66.87 – 90.35
Recent news
All WH news →Compare it with its sector
All 228 in Consumer Cyclical →Frequently asked questions about Wyndham Hotels & Resorts
Is Wyndham Hotels & Resorts stock cheap or expensive?
On P/E and EV / EBITDA, it trades 36% above the Consumer Cyclical median on average. Valuation score: 7.0 out of 10 (median for Consumer Cyclical: 6.6). Average analyst target: 97.59 USD, +35.1% versus the price. This is not investment advice.
What score does Wyndham Hotels & Resorts get on MeridIAn Screener?
It scores 6.4 out of 10, rank 679 of 2,130 (better than 68% of the companies analysed). Its strongest category is Quality / Moat (8.4) and its weakest, Momentum (2.5). Analysis of 08/10/2026.
What is Wyndham Hotels & Resorts's P/E ratio?
Its P/E is 26.2: the share price equals 26.2 times earnings per share over the last 12 months. The Consumer Cyclical median is 17.8. Based on the earnings analysts expect, the forward P/E is 13.6.
How much is Wyndham Hotels & Resorts worth on the stock market?
Its market capitalisation is 5.4B USD and its enterprise value, debt included, is 8.0B USD.
How much debt does Wyndham Hotels & Resorts have?
Its net debt (debt minus cash) is 2.6B USD. That is 4.63 times its EBITDA; the Consumer Cyclical median is 1.91.
Does Wyndham Hotels & Resorts pay a dividend?
Yes: its dividend yield is 2.38% and it pays out 61% of its earnings.
How has Wyndham Hotels & Resorts stock performed over the last year?
It has fallen 2.6% over the last year, excluding dividends. Over the last 52 weeks it has traded between 66.87 and 90.35 USD. Past performance does not guarantee future results.
What do analysts think of Wyndham Hotels & Resorts?
17 analysts cover it; their average recommendation is “Buy” and their average target is 97.59 USD (+35.1% versus the price). It is an estimate, not market data.
