Host Hotels & Resorts owns and operates hotel properties in the United States, Canada, Mexico, Chile, the United Kingdom, Italy, Spain, and Poland. The company was founded in 1927 and is based in Bethesda, Maryland.
HST Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for HST, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Host Hotels & Resorts Inc ranked in the 16th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. As for the metrics that stood out in our discounted cash flow analysis of Host Hotels & Resorts Inc, consider:
The company's compound free cash flow growth rate over the past 5.43 years comes in at -0.1%; that's greater than only 14.66% of US stocks we're applying DCF forecasting to.
As a business, HST is generating more cash flow than 73.61% of positive cash flow stocks in the Real Estate.
Host Hotels & Resorts Inc's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than merely 0% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
CCI, UHT, SHO, WPC, and DUO can be thought of as valuation peers to HST, in the sense that they are in the Real Estate sector and have a similar price forecast based on DCF valuation.
Its most recent look at hotel demand has BofA seeing steady recent improvement in revenue per available room - but also seeing a fall slowdown that has it cutting estimates for the second half and into 2021. Recent improvement in RevPAR of about 2% per week (about 8-9%/month) isn't likely...