CHHCHOICE HOTELS INTERNATIONAL INC /DE
Hotels & Motels
- Revenue
- $1.6B
- 0.8% YoY
- Operating margin
- 28.1%
- 4.0% YoY
- EBITDA
- $508M
- 1.5% YoY
- Market cap
- $5.0B
- Employees
- 1,700
- $939K revenue each
- Net debt / EBITDA
- 1.7×
- $889M net debt
- AI in 10-K
- 2.4
- mentions per 10K words
Takeover score 2 of 13
Fixable underperformance 2 of 7
- TSR below peersYes5 of 5 years3+ of last 5 years
- High CEO pay despite TSRNo$8M medianMedian CEO pay ≥ $15M while TSR trails
- Earnings not backed by cashYes73% of net incomeCash flow under 80% of net income
- Dilutive SBCNo2% of revenueOver 10% of revenue
- Payouts exceed cash flowNo71% of cash flowBuybacks + dividends over cash flow
- Goodwill-heavyNo10% of assetsOver 40% of assets
- Shareholder dissentNo92% lowest supportAny vote under 80% support
Buyer economics 0 of 4
- Low revenue per employeeNo$939K · 93rd pctBottom quartile of its SIC industry
- Quiet on AINo2.4 per 10K words · 61st pctBottom quartile of AI mentions in 10-Ks
- Net cashNo1.7× EBITDA net debtMore cash than debt, positive EBITDA
- Buyout-sizedNo$5.0B market capMarket cap $500M–$5B
Catalysts 0 of 2
- Active 13DNo0 filingsActive-intent 13D in 18 months
- Net insider sellingNo−$5M netNet sales over $10M in 12 months
Financials
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | YoY |
|---|---|---|---|---|---|---|
| Revenue | $1.1B | $1.4B | $1.5B | $1.6B | $1.6B | 0.8% |
| Operating income | $429M | $479M | $375M | $464M | $448M | 3.3% |
| Net income | $289M | $332M | $259M | $300M | $370M | 23% |
| Operating cash flow | $384M | $367M | $297M | $319M | $270M | 15% |
| Stock-based comp | $23M | $40M | $41M | $38M | $38M | 0.3% |
| Buybacks | $13M | $435M | $363M | $381M | $138M | 64% |
| Dividends | $25M | $53M | $56M | $55M | $53M | 3.6% |
Deal filings
None.
13D filers
| Filed | Filer | Form | Stake | Intent |
|---|---|---|---|---|
| May 22, 2024 | BAINUM BRUCE | SC 13D/A | 20.6% | Passive |
| May 22, 2024 | BAINUM BARBARA | SC 13D/A | 20.7% | Passive |
| May 22, 2024 | BAINUM ROBERTA | SC 13D/A | 19.6% | Passive |
| May 22, 2024 | BAINUM STEWART JR | SC 13D/A | 19.9% | Passive |
| Dec 1, 2022 | BAINUM BARBARA | SC 13D/A | 20.3% | Passive |
| Aug 26, 2022 | SHREVE CHRISTINE A | SC 13D/A | 2.6% | Passive |
| Aug 26, 2022 | BAINUM ROBERTA | SC 13D/A | 19.2% | Passive |
| Aug 26, 2022 | BAINUM BRUCE | SC 13D/A | 19.5% | Passive |
| Aug 12, 2021 | BAINUM STEWART JR | SC 13D/A | 18.7% | Passive |
| Mar 17, 2020 | BAINUM BRUCE | SC 13D/A | 18.9% | Passive |
Insider trading
- Open-market buys, 12 mo
- $0 · 0
- Open-market sells, 12 mo
- $5M · 14
- Net
- −$5M
Pay vs performance
| Year | CEO total comp | Comp actually paid | TSR (indexed) | Peer TSR |
|---|---|---|---|---|
| FY2025 | $8M | −$5M | 93 | 129 |
| FY2024 | $8M | $17M | 142 | 180 |
| FY2023 | $6M | $6M | 113 | 164 |
| FY2022 | $38M | $27M | 111 | 132 |
| FY2021 | $11M | $24M | 152 | 167 |