Starwood Hotels & Resorts Worldwide LLC
Starwood Hotels & Resorts Worldwide LLC Fundamental Analysis
Starwood Hotels & Resorts Worldwide LLC (HOT) shows moderate financial fundamentals with a PE ratio of 26.63, profit margin of 8.49%, and ROE of 34.67%. The company generates N/A in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 50.3/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze HOT's fundamental strength across five key dimensions:
Efficiency Score
WeakHOT struggles to generate sufficient returns from assets.
Valuation Score
ModerateHOT shows balanced valuation metrics.
Growth Score
WeakHOT faces weak or negative growth trends.
Financial Health Score
ModerateHOT shows balanced financial health with some risks.
Profitability Score
WeakHOT struggles to sustain strong margins.
Key Financial Metrics
Is HOT Expensive or Cheap?
P/E Ratio
HOT trades at 26.63 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, HOT's PEG of 0.27 indicates potential undervaluation.
Price to Book
The market values Starwood Hotels & Resorts Worldwide LLC at 10.05 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at -0.98 times EBITDA. This is generally considered low.
How Well Does HOT Make Money?
Net Profit Margin
For every $100 in sales, Starwood Hotels & Resorts Worldwide LLC keeps $8.49 as profit after all expenses.
Operating Margin
Core operations generate 12.84 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $34.67 in profit for every $100 of shareholder equity.
ROA
Starwood Hotels & Resorts Worldwide LLC generates $5.91 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
FCF Per Share
Each share generates $3.72 in free cash annually.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
26.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.27
vs 25 benchmark
P/B Ratio
Price to book value ratio
10.05
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.00
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.69
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.03
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.35
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How HOT Stacks Against Its Sector Peers
| Metric | HOT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 26.63 | 24.43 | Neutral |
| ROE | 34.67% | 1154.00% | Weak |
| Net Margin | 8.49% | -609.00% (disorted) | Weak |
| Debt/Equity | 1.69 | 0.77 | Weak (High Leverage) |
| Current Ratio | 1.03 | 2.61 | Neutral |
| ROA | 5.91% | -8416.00% (disorted) | Weak |
HOT outperforms its industry in 0 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Starwood Hotels & Resorts Worldwide LLC's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
EPS CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
FCF CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary