Apple Hospitality REIT, Inc. (APLE) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

PotlatchDeltic Corp.

Kite Realty Group Trust

Apartment Income REIT Corp.

Phillips Edison & Co., Inc.

ARMOUR Residential REIT, Inc.

Rithm Capital Corp.

Apple Hospitality REIT, Inc.

Blackstone Mortgage Trust, Inc.

Kilroy Realty Corp.

Vornado Realty Trust

Rayonier, Inc.

Why is Apple Hospitality REIT, Inc. ?

Poor long term growth as Net Sales has grown by an annual rate of 8.64% and Operating profit at 33.99%

Flat results in Jun 25

OPERATING CASH FLOW(Y) Lowest at USD 381.33 MM
NET PROFIT(HY) At USD 94.87 MM has Grown at -25.87%
RAW MATERIAL COST(Y) Grown by 9.81% (YoY)

With ROE of 6.05%, it has a very attractive valuation with a 0.87 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -26.66%, its profits have fallen by -2.2%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -26.66% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Apple Hospitality REIT, Inc. should be less than 10%
Overall Portfolio exposure to Realty should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Realty)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Apple Hospitality REIT, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Apple Hospitality REIT, Inc.

41.52%

-0.56

29.85%

S&P 500

22.24%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

18.60%

EBIT Growth (5y)

35.65%

EBIT to Interest (avg)

2.07

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

0.48%

Dividend Payout Ratio

130.17%

Pledged Shares

Institutional Holding

97.54%

ROCE (avg)

6.18%

ROE (avg)

4.09%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.86

EV to EBIT

10.66

EV to EBITDA

6.02

EV to Capital Employed

0.86

EV to Sales

1.89

PEG Ratio

Dividend Yield

ROCE (Latest)

8.05%

ROE (Latest)

5.75%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

2What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 204.6%

RAW MATERIAL COST(Y)

Fallen by -0.98% (YoY

-12What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 369.94 MM

CASH AND EQV(HY)

Lowest at USD 60.2 MM

DEBT-EQUITY RATIO (HY)

Highest at 52.96 %

PRE-TAX PROFIT(Q)

Lowest at USD 27.94 MM

NET PROFIT(Q)

Lowest at USD 27.7 MM

EPS(Q)

Lowest at USD 0.12

Here's what is working for Apple Hospitality REIT, Inc.

Dividend Payout Ratio

Highest at 204.6%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -0.98% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 49.54 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Apple Hospitality REIT, Inc.

Operating Cash Flow

Lowest at USD 369.94 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Pre-Tax Profit

At USD 27.94 MM has Fallen at -38.61%

over average net sales of the previous four periods of USD 45.51 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 27.7 MM has Fallen at -38.81%

over average net sales of the previous four periods of USD 45.27 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Pre-Tax Profit

Lowest at USD 27.94 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD 27.7 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD 0.12

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Cash and Eqv

Lowest at USD 60.2 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 52.96 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio