Pebblebrook Hotel Trust Fundamental Analysis
Pebblebrook Hotel Trust (PEB-PG) shows weak financial fundamentals with a PE ratio of -37.21, profit margin of -3.47%, and ROE of -2.07%. The company generates $1.5B in annual revenue with weak year-over-year growth of 1.53%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 12.0/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze PEB-PG's fundamental strength across five key dimensions:
Efficiency Score
WeakPEB-PG struggles to generate sufficient returns from assets.
Valuation Score
ExcellentPEB-PG trades at attractive valuation levels.
Growth Score
WeakPEB-PG faces weak or negative growth trends.
Financial Health Score
ModeratePEB-PG shows balanced financial health with some risks.
Profitability Score
WeakPEB-PG struggles to sustain strong margins.
Key Financial Metrics
Is PEB-PG Expensive or Cheap?
P/E Ratio
PEB-PG trades at -37.21 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, PEB-PG's PEG of 0.29 indicates potential undervaluation.
Price to Book
The market values Pebblebrook Hotel Trust at 0.80 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -0.97 times EBITDA. This is generally considered low.
How Well Does PEB-PG Make Money?
Net Profit Margin
For every $100 in sales, Pebblebrook Hotel Trust keeps $-3.47 as profit after all expenses.
Operating Margin
Core operations generate 4.21 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-2.07 in profit for every $100 of shareholder equity.
ROA
Pebblebrook Hotel Trust generates $-0.98 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Pebblebrook Hotel Trust produces operating cash flow of $289.02M, showing steady but balanced cash generation.
Free Cash Flow
Pebblebrook Hotel Trust generates strong free cash flow of $261.85M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.27 in free cash annually.
FCF Yield
PEB-PG converts 13.34% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-37.21
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.29
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.80
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.29
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.99
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.34
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.02
vs 25 benchmark
ROA
Return on assets percentage
-0.01
vs 25 benchmark
ROCE
Return on capital employed
0.01
vs 25 benchmark
How PEB-PG Stacks Against Its Sector Peers
| Metric | PEB-PG Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -37.21 | 23.27 | Better (Cheaper) |
| ROE | -2.07% | 680.00% | Weak |
| Net Margin | -3.47% | 1953.00% | Weak |
| Debt/Equity | 0.99 | -17.04 (disorted) | Distorted |
| Current Ratio | 0.34 | 23.29 | Weak Liquidity |
| ROA | -0.98% | -758.00% (disorted) | Weak |
PEB-PG outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Pebblebrook Hotel Trust's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
271.83%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
81.25%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
238.13%
Industry Style: Income, Inflation Hedge, REIT
High Growth