Choice Hotels (CHH) Q4 Earnings Preview: What You Should Know Beyond the Headline Estimates
Analysts on Wall Street project that Choice Hotels (CHH) will announce quarterly earnings of $1.35 per share in its forthcoming report, representing an increase of 7.1% year over year. Revenues are projected to reach $369.81 million, increasing 2.2% from the same quarter last year.
The current level reflects an upward revision of 0.2% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
Given this perspective, it's time to examine the average forecasts of specific Choice Hotels metrics that are routinely monitored and predicted by Wall Street analysts.
Analysts expect 'Revenues- Royalty, licensing and management fees' to come in at $115.95 million. The estimate indicates a year-over-year change of +0.4%.
It is projected by analysts that the 'Revenues- Owned Hotels' will reach $25.89 million. The estimate points to a change of +19.8% from the year-ago quarter.
Analysts' assessment points toward 'Revenues- Initial franchise fees' reaching $6.84 million. The estimate indicates a change of +6.3% from the prior-year quarter.
The combined assessment of analysts suggests that 'Revenues- Platform and procurement services fees' will likely reach $16.56 million. The estimate suggests a change of +4.1% year over year.
Analysts predict that the 'Revenues- Other revenues' will reach $11.61 million. The estimate indicates a change of -11.7% from the prior-year quarter.
Based on the collective assessment of analysts, 'RevPAR Growth' should arrive at -1.2%. Compared to the present estimate, the company reported 20.4% in the same quarter last year.
View all Key Company Metrics for Choice Hotels here>>>
Choice Hotels shares have witnessed a change of +2.6% in the past month, in contrast to the Zacks S&P 500 composite's +3.7% move. With a Zacks Rank #3 (Hold), CHH is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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Choice Hotels International, Inc. (CHH) : Free Stock Analysis Report
