HTHTH World Group Limited demonstrates strong fundamental performance with solid profitability and a significant market presence in the hospitality sector. Thematic alignment with travel recovery and growth in China is positive. Technicals suggest a mixed short-term outlook, but the long-term trend remains supportive. Overall, a compelling investment for those seeking exposure to the recovering global travel industry, particularly in China.
H World Group is well-positioned to benefit from the global recovery in travel and tourism, especially within the Chinese market. Its diversified brand portfolio and strategic leasing and franchising model provide resilience and growth potential.
H World Group exhibits strong financial health, with healthy revenue growth and a solid net income. The company's profitability has improved significantly, and its balance sheet is manageable.
The stock is trading above key moving averages, indicating a general bullish trend. However, some oscillators suggest it might be approaching overbought levels, potentially leading to short-term consolidation or a minor pullback.
| Factor | Score |
|---|---|
| Travel & Tourism Recovery | 90 |
| Emerging Market Growth (China) | 85 |
| Industry Consolidation | 80 |
| Brand Diversification | 95 |
| Franchising & Leasing Model | 85 |
| Factor | Score |
|---|---|
| Valuation | 75 |
| Profitability | 85 |
| Growth | 88 |
| Balance Sheet Health | 60 |
| Cash Flow | 90 |
| Dividend Yield | 30 |
| Factor | Score |
|---|---|
| Trend Analysis | 75 |
| Momentum | 60 |
| Volume | 70 |
| Support & Resistance | 70 |
| Short-term Oscillators | 50 |
Strong Earnings Per Share (EPS) Trend
The company has demonstrated positive earnings surprises in 5 of the last 7 reported quarters, with an average surprise of 15.92%. This indicates consistent ability to exceed analyst expectations.
Attractive Price-to-Earnings (P/E) Ratio
The trailing P/E ratio of 23.58 is favorable compared to the industry average, suggesting the stock may be undervalued relative to its earnings potential.
High Price-to-Sales (P/S) Ratio
The trailing P/S ratio of 0.6 for TTM and 0.5 for the latest annual period (2023) is relatively low, but the quarterly P/S ratios (e.g., 2.0 for 2025 Q1) can indicate potential overvaluation in shorter-term expectations.
Deteriorating Net Margin
The net margin has significantly compressed from 18.7% in Q4 2023 to 0.8% in Q4 2024, signaling potential headwinds in converting revenue to profit.
April 2025
9
Ex-Dividend Date
April 2025
30
Next Dividend Date
August 2025
20
Next Earnings Date
H: $4.21
A: $4.12
L: $4.03
H: 6.46B
A: 6.29B
L: 6.08B
H World Group Limited develops leased and owned, manachised, and franchised hotels in the People's Republic of China. The company operates hotels under its own brands, such as HanTing Hotel, Ni Hao Hotel, Hi Inn, Elan Hotel, Zleep Hotels, Ibis Hotel, JI Hotel, Orange Hotel, Starway Hotel, Ibis Styles Hotel, CitiGO Hotel, Crystal Orange Hotel, IntercityHotel, Manxin Hotel, Mercure Hotel, Madison Hotel, Novotel Hotel, Joya Hotel, Blossom House, Steigenberger Hotels & Resorts, Jaz in the City, Grand Mercure, Steigenberger Icon, and Song Hotels. The company was formerly known as Huazhu Group Limited and changed its name to H World Group Limited in June 2022. H World Group Limited was founded in 2005 and is headquartered in Shanghai, the People's Republic of China.
43.64 USD
The 39 analysts offering 1 year price forecasts for HTHT have a max estimate of 55.41 and a min estimate of 34.65.