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CHH · NYSE · United States · Hotels & Motels
In shortCHOICE HOTELS INTERNATIONAL INC /DE is profitable, generates cash and carries heavy debt, with revenue stable (+0.8% last year).
Financial health
Solid
Built from five areas over the last five annual reports. Tap an area to see the figures behind it.
| Operating marginShare of each sale left after running the business, before interest and tax. | 28.1% | 100/100 |
|---|---|---|
| Net marginShare of each sale left as profit after every cost, interest and tax. | 23.2% | 100/100 |
| Return on equityProfit earned on the money shareholders put in. Above 15% is strong. | 544.2% | 100/100 |
| Return on invested capitalProfit earned on all the capital used (equity and debt). Above 10% usually means a real competitive edge. | 17.4% | 100/100 |
Weight in the score: 25%
| Current ratioShort-term assets divided by short-term debts. Below 1 can mean tight cash. | 0.87× | 6/100 |
|---|---|---|
| Debt / equityDebt compared with the shareholders' stake. Above 2 is heavily indebted. | 10.52× | 0/100 |
| Net debt / EBITDAYears of operating profit needed to repay net debt. Below 2 is comfortable. | 3.66× | 10/100 |
| Interest coverageHow many times operating profit covers interest. Below 2 is risky. | 4.92× | 33/100 |
| Altman Z''Bankruptcy-risk model. Above 2.6 safe, below 1.1 distress. | 3.55 | 63/100 |
Weight in the score: 25%
| Free cash flow marginCash left from each sale after investments. The money that can pay dividends or reduce debt. | 10.2% | 61/100 |
|---|---|---|
| Free cash flow / net incomeHow much accounting profit turns into real cash. Near 1 or above is healthy. | 0.44× | 18/100 |
| Years with positive free cash flow (last 5) | 5 of 5 | 100/100 |
Weight in the score: 20%
| Profitable years (last 5) | 5 of 5 | 100/100 |
|---|---|---|
| Years of revenue decline (last 5) | 0 of 5 | 100/100 |
| Revenue growth volatility | 17.0% | 48/100 |
| Operating margin volatility | 6.1% | 54/100 |
Weight in the score: 20%
| Revenue growth, 3-year average | 4.4% | 41/100 |
|---|---|---|
| EPS growth, 3-year average | 9.7% | 73/100 |
Weight in the score: 10%
Fiscal year 2025 · change vs prior year
Annual figures as reported. Hover a bar or point for the exact value.
5 older years available with the 10-year history. Essential plan, from €8.25/month →
The last 5 fiscal years from the company's annual reports.
USD millions; negative values in parentheses.
| Fiscal year | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue | 1,069 | 1,402 | 1,544 | 1,585 | 1,597 |
| Selling, general & admin | 146 | 168 | 313 | 312 | 329 |
| Operating income | 429 | 479 | 375 | 464 | 448 |
| Interest expense | 47 | 44 | 64 | 87 | 91 |
| Pre-tax income | 376 | 437 | 337 | 396 | 457 |
| Income tax | 88 | 105 | 78 | 96 | 87 |
| Net income | 289 | 332 | 259 | 300 | 370 |
| Diluted EPS | $5.15 | $5.99 | $5.07 | $6.20 | $7.90 |
| Diluted shares (millions) | 56 | 55 | 51 | 48 | 47 |
5 older years available with the 10-year history. Essential plan, from €8.25/month →
3.55 Safe zone
Estimates bankruptcy risk from working capital, retained earnings, operating profit and equity. Above 2.6 is considered safe, below 1.1 signals distress.
6/9
Nine yes-or-no tests on profitability, debt, liquidity and efficiency versus the prior year. 7 to 9 is strong, 0 to 3 is weak.
All figures: SEC EDGAR. Ratios and scores are computed by Scorvest (see how it works). Information only, not investment advice. How it works
Latest annual report: Jun 30, 2026 · Data updated Aug 5, 2026