DiamondRock Hospitality CompanyStock Price and Value Analysis

Should you buy DiamondRock Hospitality Company stock? (NYSE:DRH). Let's see how it does in our automated value investing analysis system.

AdvantagesDisadvantages
  • This company is solid.
  • This company has a large dividend yield!
  • This stock is on sale.
  • This company has wild ups and downs.
  • This company is making money at a modest rate.

DRH Free Cash Flow Trend

Based on historical returns, we believe that DiamondRock Hospitality Company can grow its free cash at a rate of about 1%. That's positive!

Free Cash Flow trendline for DRH
Free Cash Flow trendline for DiamondRock Hospitality Company

Inside the DRH Numbers

DRH Price
(DiamondRock Hospitality Company stock price per share)
$11.26
[?] DRH Fair Price
(based on intrinsic value)
$17.01
[?] DRH Safety Price (based on a variable margin of safety) $11.06
[?] PE Ratio versus Sector 71% higher than other Financial stocks
[?] PE Ratio versus Industry 0% lower than other REIT - Hotel/Motel stocks
[?] Cash Yield 11.79%
[?] Free Cash Flow Jitter 171%
[?] Dividend Yield 5%

Is DiamondRock Hospitality Company Stock on Sale?

We believe that DiamondRock Hospitality Company may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

DiamondRock Hospitality Company looks like a price in the fair value range. Based on our analysis—if the company keeps making money the way it has been—you could be looking at a good stock. See Before You Buy for your next steps.

Should You Buy DRH Stock?

Does DiamondRock Hospitality Company have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.