RLJ Lodging Trust Common Shares of Beneficial Interest $0.01 par value (RLJ) Company Bio
RLJ Lodging Trust focuses on acquiring premium-branded, focused-service and compact full-service hotels. The company was founded in 2000 and is based in Bethesda, Maryland.
RLJ Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for RLJ Lodging Trust with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that RLJ Lodging Trust ranked in the 55th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 45.33% on a DCF basis. The most interesting components of our discounted cash flow analysis for RLJ Lodging Trust ended up being:
The company's debt burden, as measured by earnings divided by interest payments, is -0.06; that's higher than just 14.9% of US stocks in the Real Estate sector that have positive free cash flow.
34% of the company's capital comes from equity, which is greater than just 15.49% of stocks in our cash flow based forecasting set.
RLJ Lodging Trust's effective tax rate, as measured by taxes paid relative to net income, is at 80 -- greater than 96.63% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of RLJ Lodging Trust? See PEB, CBRE, ALX, EQR, and CIGI.
RLJ Lodging Trust (RLJ) Q2 2020 Earnings Conference Call August 7, 2020 11:00 AM ET Company Participants Nikhil Bhalla – Vice President and Treasurer-Corporate Strategy and Investor Relations Leslie Hale – President and Chief Executive Officer Sean Mahoney – Executive Vice President and Chief Financial Officer Tom Bardenett – Executive...
Market Performance Stocks had two very different quarters to start 2020 with the S&P 500 index ETF (SPY) return including dividends of -19.5% in 1Q and 20.1% in 2Q for an overall 1H return of -3.3%. High-quality bonds as measured by the iShares Core Aggregate Bond ETF (AGG) continued to...