Choice Hotels International (NYSE:CHH) Hits New 52-Week High – Time to Buy?

Choice Hotels International, Inc. (NYSE:CHH)’s stock price hit a new 52-week high during mid-day trading on Thursday . The company traded as high as $139.21 and last traded at $138.68, with a volume of 114987 shares changing hands. The stock had previously closed at $131.93.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on CHH shares. Robert W. Baird set a $138.00 target price on Choice Hotels International in a research report on Thursday, October 17th. Barclays decreased their price objective on shares of Choice Hotels International from $114.00 to $112.00 and set an “underweight” rating for the company in a report on Friday, August 9th. The Goldman Sachs Group started coverage on shares of Choice Hotels International in a research report on Wednesday, September 18th. They issued a “sell” rating and a $105.00 target price for the company. UBS Group lowered their price target on Choice Hotels International from $126.00 to $125.00 and set a “neutral” rating on the stock in a report on Friday, August 9th. Finally, StockNews.com raised Choice Hotels International from a “sell” rating to a “hold” rating in a report on Thursday, October 3rd. Three research analysts have rated the stock with a sell rating, six have issued a hold rating and two have given a buy rating to the company. According to data from MarketBeat, Choice Hotels International presently has a consensus rating of “Hold” and a consensus price target of $125.50.

Choice Hotels International Stock Up 7.1 %

The company has a 50-day moving average of $128.64 and a two-hundred day moving average of $122.93. The company has a debt-to-equity ratio of 177.75, a current ratio of 0.99 and a quick ratio of 0.99. The company has a market capitalization of $6.81 billion, a PE ratio of 29.89, a P/E/G ratio of 2.20 and a beta of 1.25.

Choice Hotels International (NYSE:CHH) last posted its quarterly earnings data on Thursday, August 8th. The company reported $1.84 earnings per share for the quarter, missing analysts’ consensus estimates of $1.86 by ($0.02). The company had revenue of $435.20 million for the quarter, compared to analysts’ expectations of $438.29 million. Choice Hotels International had a net margin of 15.42% and a negative return on equity of 3,953.67%. The firm’s quarterly revenue was up 1.8% on a year-over-year basis. During the same period in the previous year, the firm earned $1.75 earnings per share. Sell-side analysts anticipate that Choice Hotels International, Inc. will post 6.38 earnings per share for the current fiscal year.

Choice Hotels International Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, October 16th. Stockholders of record on Tuesday, October 1st were paid a $0.2875 dividend. The ex-dividend date was Tuesday, October 1st. This represents a $1.15 dividend on an annualized basis and a dividend yield of 0.81%. Choice Hotels International’s dividend payout ratio (DPR) is presently 24.68%.

Insider Activity

In related news, insider Patrick Cimerola sold 1,714 shares of the company’s stock in a transaction on Monday, October 14th. The shares were sold at an average price of $135.00, for a total value of $231,390.00. Following the completion of the transaction, the insider now owns 18,084 shares of the company’s stock, valued at approximately $2,441,340. This represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. In related news, CEO Patrick Pacious sold 10,025 shares of the company’s stock in a transaction on Tuesday, September 10th. The shares were sold at an average price of $120.37, for a total transaction of $1,206,709.25. Following the sale, the chief executive officer now owns 404,666 shares of the company’s stock, valued at $48,709,646.42. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Patrick Cimerola sold 1,714 shares of Choice Hotels International stock in a transaction on Monday, October 14th. The stock was sold at an average price of $135.00, for a total transaction of $231,390.00. Following the completion of the transaction, the insider now directly owns 18,084 shares of the company’s stock, valued at $2,441,340. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 37,429 shares of company stock worth $4,866,493 in the last three months. Company insiders own 24.02% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Kayne Anderson Rudnick Investment Management LLC raised its position in Choice Hotels International by 77.2% during the second quarter. Kayne Anderson Rudnick Investment Management LLC now owns 4,105,796 shares of the company’s stock valued at $488,590,000 after purchasing an additional 1,788,563 shares during the period. Vanguard Group Inc. raised its holdings in Choice Hotels International by 7.7% during the 1st quarter. Vanguard Group Inc. now owns 2,738,088 shares of the company’s stock valued at $345,957,000 after buying an additional 195,956 shares during the period. Natixis Advisors LLC lifted its position in Choice Hotels International by 917.2% in the second quarter. Natixis Advisors LLC now owns 161,799 shares of the company’s stock worth $19,254,000 after buying an additional 145,893 shares during the last quarter. Raymond James & Associates boosted its stake in Choice Hotels International by 45.4% during the third quarter. Raymond James & Associates now owns 364,983 shares of the company’s stock worth $47,557,000 after buying an additional 113,951 shares during the period. Finally, Envestnet Asset Management Inc. increased its position in Choice Hotels International by 51.5% during the second quarter. Envestnet Asset Management Inc. now owns 266,950 shares of the company’s stock valued at $31,767,000 after acquiring an additional 90,765 shares during the last quarter. Institutional investors own 65.57% of the company’s stock.

About Choice Hotels International

Choice Hotels International, Inc, together with its subsidiaries, operates as a hotel franchisor in the United States and internationally. It operates through Hotel Franchising & Management and Corporate & Other segments. The company franchises lodging properties under the brand names of Comfort Inn, Comfort Suites, Quality, Clarion, Clarion Pointe, Sleep Inn, Ascend Hotel Collection, Econo Lodge, Rodeway Inn, MainStay Suites, Suburban Studios, WoodSpring Suites, Everhome Suites, Cambria Hotels, Radisson Blu, Radisson RED, Radisson, Park Plaza, Country Inn & Suites by Radisson, Radisson Inn & Suites, Park Inn by Radisson, Radisson Individuals, and Radisson Collection.