Choice Hotels (CHH)

• Market cap: $6.61B
• 1 day: -1.39%
• 5 days: 1.37%
• 1 month: -2.93%
• 3 months: 4.90%
• 6 months: 10.01%
• Year to date: -0.56%
• 1 year: 23.04%
• 5 years: 41.02%
• 10 years: 142.40%
• Sector: Consumer Discretionary
• Industry: Hotels & Motels

About: As of Dec. 31, 2023, Choice Hotels operated 633,000 rooms across 15 brands addressing the economy and midscale segments. Comfort Inn and Comfort Suites are the largest brands (27% of the company's total domestic rooms), while Ascend and Cambria (7% of total domestic rooms) are newer lifestyle and select-service brands. Choice closed on its Radisson acquisition in August 2022, which added around 70,000 rooms. Franchises account for 100% of total revenue, and the United States represent 79% of total rooms in 2023.

Employees: 1,800

Fund manager confidence

Based on 2024 Q3 regulatory filings by fund managers ($100M+ AUM)

646% more call options, than puts

Call options by funds: $3.4M | Put options by funds: $456K

47% more first-time investments, than exits

New positions opened: 50 | Existing positions closed: 34

3% more funds holding

Funds holding: 316 [Q2] → 325 (+9) [Q3]

0% more funds holding in top 10

Funds holding in top 10: 1 [Q2] → 1 (+0) [Q3]

7% less capital invested

Capital invested by funds: $4.54B [Q2] → $4.22B (-$327M) [Q3]

11.87% less ownership

Funds ownership: 79.29% [Q2] → 67.42% (-11.87%) [Q3]

13% less repeat investments, than reductions

Existing positions increased: 102 | Existing positions reduced: 117

Research analyst outlook

10 Wall Street Analysts provided 1 year price targets over the past 3 months

• Low target: $114 19% downside
• Avg. target: $134 5% downside
• High target: $152 8% upside

10 analyst ratings

• positive: 1 10%
• neutral: 4 40%
• negative: 5 50%

Morgan Stanley Stephen Grambling 42% 1-year accuracy 11 / 26 met price target	8% downside $129	Underweight Downgraded	14 Jan 2025
Jefferies David Katz 17% 1-year accuracy 3 / 18 met price target	8% upside $152	Hold Maintained	2 Jan 2025
Barclays Anthony Powell 42% 1-year accuracy 13 / 31 met price target	8% downside $129	Underweight Maintained	13 Dec 2024
JP Morgan Joseph Greff 24% 1-year accuracy 7 / 29 met price target	4% downside $135	Underweight Maintained	13 Dec 2024
Goldman Sachs Lizzie Dove 58% 1-year accuracy 15 / 26 met price target	2% downside $138	Sell Maintained	10 Dec 2024