RLJ Lodging Trust (RLJ) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

CareTrust REIT, Inc.

Urban Edge Properties

DiamondRock Hospitality Co.

Four Corners Property Trust, Inc.

InvenTrust Properties Corp.

OUTFRONT Media, Inc.

Pebblebrook Hotel Trust

Equity Commonwealth

RLJ Lodging Trust

Sunstone Hotel Investors, Inc.

Ready Capital Corp.

Why is RLJ Lodging Trust ?

Poor long term growth as Net Sales has grown by an annual rate of 6.11% and Operating profit at 48.62%

The company has declared negative results for the last 2 consecutive quarters

NET PROFIT(HY) At USD 31.85 MM has Grown at -24.25%
ROCE(HY) Lowest at 2.53%
RAW MATERIAL COST(Y) Grown by 8.91% (YoY)

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -30.34% 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 sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is RLJ Lodging Trust for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

RLJ Lodging Trust

-31.93%

-0.67

35.69%

S&P 500

13.22%

0.64

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.11%

EBIT Growth (5y)

48.62%

EBIT to Interest (avg)

0.14

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

2.32%

Dividend Payout Ratio

182.68%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

5.90%

ROE (avg)

1.77%

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

0.51

EV to EBIT

5.05

EV to EBITDA

2.30

EV to Capital Employed

0.41

EV to Sales

0.55

PEG Ratio

Dividend Yield

7.64%

ROCE (Latest)

8.10%

ROE (Latest)

2.98%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bearish

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

7What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 102.6%

INTEREST COVERAGE RATIO(Q)

Highest at 397.7

DIVIDEND PER SHARE(HY)

Highest at USD 46.62

PRE-TAX PROFIT(Q)

At USD 29 MM has Grown at 69.79%

NET PROFIT(Q)

At USD 28.49 MM has Grown at 71.16%

-9What is not working for the Company

NET PROFIT(HY)

At USD 31.85 MM has Grown at -24.25%

ROCE(HY)

Lowest at 2.53%

RAW MATERIAL COST(Y)

Grown by 8.91% (YoY

CASH AND EQV(HY)

Lowest at USD 773.56 MM

DEBT-EQUITY RATIO (HY)

Highest at 87.04 %

Here's what is working for RLJ Lodging Trust

Interest Coverage Ratio

Highest at 397.7

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Dividend Payout Ratio

Highest at 102.6% and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Pre-Tax Profit

At USD 29 MM has Grown at 69.79%

over average net sales of the previous four periods of USD 17.08 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

At USD 28.49 MM has Grown at 71.16%

over average net sales of the previous four periods of USD 16.64 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Dividend per share

Highest at USD 46.62

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Depreciation

Highest at USD 46.36 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 RLJ Lodging Trust

Cash and Eqv

Lowest at USD 773.56 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 87.04 %

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

Raw Material Cost

Grown by 8.91% (YoY)

MOJO Watch

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

Raw Material Cost as a percentage of Sales