Sunstone Hotel Investors Inc (SHO)

NYSE · Real Estate · REIT - Hotel & Motel · USA

Sunstone Hotel Investors Inc is a mid cap company (market value between $2 billion and $10 billion) in the REIT - Hotel & Motel industry.

Sunstone Hotel Investors is a real estate investment trust that owns hotels in convention, urban, and resort destinations across multiple states and Washington, DC. Its properties operate under management agreements with operators including Marriott, Hyatt, and Four Seasons, or independently. The company invests in premium hospitality real estate through third-party management arrangements.

From its FY2025 annual report (Form 10-K)

Intrinsic value, DCF valuation, financial health and value investing analysis for the Sunstone Hotel Investors Inc stock.

Our verdict on SHO

Undervalued: intrinsic value $24.67 per share, market price $12.79, margin of safety 48.1% (as of 2026-10-30).

Discounting its cash flows at 9.1% (average of 3 methods) values the shares at $24.67; the price of $12.79 is 48% below that value, and 76% of that value comes from beyond year five.

Leak Score: 58/100 on 10 of 12 signals (Weak Signal).

ETFs with the most weight in SHO

17 more funds hold it; the full list is part of the paid plan.

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Peers in REIT - Hotel & Motel

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Is SHO undervalued or overvalued?

SHO is undervalued (as of the 2026-10-30 close). Discounting its cash flows at 9.1% (average of 3 methods) values the shares at $24.67; the price of $12.79 is 48% below that value, and 76% of that value comes from beyond year five.

What is the intrinsic value of SHO?

$24.67 per share (as of the 2026-10-30 close), against a market price of $12.79. That is a margin of safety of 48.1%. The value is the average of the valuation methods that apply to this company, recomputed every night after the US close.

What is Sunstone Hotel Investors Inc's Leak Score?

58 out of 100, which we rate "Weak Signal", on 10 of 12 value investing signals.