Hyatt Hotels Corporation H

What the company does Hyatt Hotels Corporation (H) owns, operates, manages, and franchises a global portfolio of full-service, select-service, and residential properties under brands such as Park Hyatt, Hyatt Regency, and Caption by Hyatt. It also licenses timeshare and wellness-focused resorts, generating revenue primarily through management and franchise fees, owned/leased properties, and distribution channels.

Key financials Hyatt’s trailing margins show gross 42.5%, operating 16.7%, and net -1.0%, with ROE -0.9%, ROA 2.4%, and ROCE 3.9%. Revenue declined -3.5% year-over-year, though EPS grew 110.5%. Leverage is high (Debt/Equity 1.27, Net debt/EBITDA 4.52) and liquidity weak (Current ratio 0.60). Forward P/E is 46.95x, EV/EBITDA 28.32x, and FCF yield 2.1%.

Stock health Momentum is mixed: +21.58% over 12 months but -14.59% below the 52-week high, with RSI(14) at 35.40. Sideravia scores Hyatt poorly on Quality (26.3) and Strength (26.4), though Momentum (61.6) and Income (43.0) are better. Piotroski F-Score is 5/9 and Altman Z is 1.79, indicating moderate financial stress.

Price vs fair value The stock trades at a PREMIUM of 82.30% to our fair-value estimate of 31.20 and a discount of 13.08% to the 12-month target of 199.78. - Recent earnings calls highlighted a “record pipeline and strong RevPAR gains” (GuruFocus.com). - However, management cut its rooms growth forecast, triggering an immediate 9% stock drop (Quartz). - Analysts still note “fee growth and RevPAR gains” as positives (Zacks). - A contrasting view argues the stock is “undervalued even as revenue pricing stays rich” (Simply Wall St.).

Looking forward Forward P/E of 46.95x reflects high expectations for RevPAR recovery and fee-based growth, but weak profitability and high leverage temper upside. Execution on pipeline growth and cost discipline will be key to closing the valuation gap.