Wyndham Hotels & Resorts, Inc. (WH) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+14.0%

$89.73

vs $78.70 price

Levered DCF

$73.72

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

1.76

Distress zone

Rating

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	30.35×	27.69×	23.51×	18.15×	34.35×	-42.16×	38.53×	27.83×
P/B	12.22×	12.33×	9.1×	6.69×	7.69×	5.77×	5×	3.18×
P/S	4×	5.69×	4.86×	4.3×	5.35×	4.27×	2.95×	2.42×
EV / EBITDA	18.7×	18.27×	15.34×	13.1×	19.64×	141.85×	19.27×	16.46×
Gross margin	58.9%	100.0%	58.3%	55.4%	50.8%	40.8%	42.2%	42.6%
Operating margin	28.4%	35.2%	36.0%	37.2%	28.5%	-3.5%	15.0%	18.0%
Net margin	13.5%	20.5%	20.7%	23.7%	15.6%	-10.2%	7.6%	8.7%
Current ratio	0.71×	1×	0.81×	1.34×	1.81×	2.6×	1.08×	1.23×
Debt / equity	6.53×	3.79×	2.96×	2.16×	1.92×	2.7×	1.75×	1.51×
Interest coverage	2.92×	3.84×	4.66×	6.56×	4.74×	-0.4×	2.95×	5.6×
Dividend yield	2.2%	1.5%	1.7%	1.8%	1.0%	1.0%	1.8%	1.7%
Payout ratio	65.8%	42.2%	40.8%	32.7%	33.6%	-40.2%	71.3%	46.1%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	41.2%	44.5%	38.7%	36.9%	22.4%	-13.7%	13.0%	11.4%
Return on invested capital	8.5%	10.2%	10.1%	11.1%	8.3%	-0.9%	5.7%	5.7%
Return on assets	4.6%	6.8%	7.2%	8.6%	5.7%	-2.8%	3.5%	3.3%
Free cash flow yield	5.6%	3.0%	5.0%	5.6%	4.6%	0.6%	0.8%	3.5%
Earnings yield	3.4%	3.6%	4.3%	5.5%	2.9%	-2.4%	2.6%	3.6%
Enterprise value	$8.7B	$10.4B	$8.9B	$8.4B	$10.3B	$7.7B	$8.1B	$6.3B
Net debt / EBITDA	6.42×	4.16×	3.68×	3.01×	3.66×	39.04×	4.84×	4.65×
Cash conversion cycle (days)	51	70	43	36	43	70	45	50