Choice Hotels International Inc (CHH) is undervalued and Wyndham Hotels & Resorts Inc (WH) is slightly overvalued.
Against our estimates of intrinsic value, CHH trades at the wider discount: a margin of safety of +31%, against -16% for WH.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 7.8% (average of 3 methods) values the shares at $145.47; the price of $100.32 is 31% below that value, and 81% of that value comes from beyond year five.
Leak Score 100/100 on 3 of 12 signals
Discounting its cash flows at 7.6% (average of 3 methods) values the shares at $58.51; the price of $67.86 is 16% above that value, and 80% of that value comes from beyond year five.
Leak Score 14/100 on 3 of 12 signals
| Metric | CHH | WH |
|---|---|---|
| Verdict | Undervalued | Slightly overvalued |
| Price | $100.32 | $67.86 |
| Intrinsic value | $145.47 | $58.51 |
| Margin of safety | +31% | -16% |
| Leak Score | 100/100 (3/12) | 14/100 (3/12) |
| Market cap | $4.5B | $5.0B |
| Revenue growth, 5 years | 15.6% | 1.8% |
| Operating margin | 25.5% | 38.1% |
| Net margin | 20.2% | 14.7% |
| Return on equity | 563.8% | 39.6% |
| Debt to equity | 14.82 | 5.57 |
| P/E | 14.2x | 24.8x |
| Forward P/E | 13.4x | 12.8x |
| P/B | 31.9x | 10.5x |
| Dividend yield | 1.1% | 2.5% |