Apple Hospitality REIT (APLE) AI Stock Analysis

• Market Cap: $2.92B
• Dividend Yield: 8.3%
• Average Volume (3M): 2.17M
• Price to Earnings (P/E): 16.8
• Beta (1Y): 0.78
• Revenue Growth: 0.57%
• EPS Growth: -13.58%
• Country: US
• Employees: 65
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Hotel & Motel
• EPS (TTM): 0.21
• Shares Outstanding: 236,575,700
• 10 Day Avg. Volume: 1,877,881
• 30 Day Avg. Volume: 2,169,540
• PEG Ratio: 1.11
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 2.59
• P/FCF Ratio: 11.39
• Enterprise Value/Market Cap: 1.50
• Enterprise Value/Revenue: 3.09
• Enterprise Value/Gross Profit: 6.92
• Enterprise Value/Ebitda: 10.22
• 1Y Price Target: $12.83
• Price Target Upside: 3.22% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 0.72
• Revenue Forecast (FY): $1.43B

• Rating: 66 Neutral
• Price Target: $13.00 ▲(4.59% Upside)

APLE’s score is primarily held back by weaker fundamentals—most notably the sharp TTM revenue decline and deteriorating free-cash-flow growth—despite stable margins and a solid balance sheet. Valuation is supported by a high dividend yield and a reasonable P/E, while technicals are broadly neutral. Earnings-call commentary and recent corporate updates add some support through capital allocation actions and targeted portfolio moves, but near-term demand/headwinds (RevPAR pressure and guidance) limit upside.

Positive Factors

Strategic Portfolio Expansion

The acquisition of a new hotel in a high-demand market like Nashville enhances Apple Hospitality's portfolio, potentially boosting long-term revenue and market presence.

Operational Efficiency

Stable operational margins and a healthy gross margin indicate efficient cost management, supporting sustainable profitability over time.

Strong Balance Sheet

A stable balance sheet with moderate leverage provides financial flexibility, enabling Apple Hospitality to pursue strategic investments and withstand economic fluctuations.

Negative Factors

Revenue Decline

A significant decline in revenue indicates challenges in maintaining growth, which could impact long-term profitability and shareholder returns if not addressed.

Negative Free Cash Flow Growth

Negative free cash flow growth suggests potential cash management issues, which could limit the company's ability to invest in growth opportunities or return capital to shareholders.

RevPAR and Occupancy Declines

Declines in RevPAR and occupancy rates indicate reduced demand, which could pressure revenue and profitability if these trends persist.

Apple Hospitality REIT Business Overview & Revenue Model

Company Description

Apple Hospitality REIT, Inc. (NYSE: APLE) is a publicly traded real estate investment trust (REIT) that owns one of the largest and most diverse portfolios of upscale, rooms-focused hotels in the United States. Apple Hospitality's portfolio consists of 235 hotels with more than 30,000 guest rooms located in 87 markets throughout 34 states. Concentrated with industry-leading brands, the Company's portfolio consists of 104 Marriott-branded hotels, 126 Hilton-branded hotels, three Hyatt-branded hotels and two independent hotels.

How the Company Makes Money

Apple Hospitality REIT generates revenue primarily through the leasing of its hotel properties and the operation of its hotels. The company earns income from room rentals, food and beverage sales, and other ancillary services offered to guests. Its revenue model is based on the occupancy rates of its hotels and the average daily rates (ADR) charged for rooms. Additionally, Apple Hospitality benefits from economies of scale through its portfolio of properties, allowing for more efficient operations and cost management. The company also has partnerships with reputable hotel brands that enhance its market presence and attract a steady flow of guests. Overall, the combination of strategic property acquisitions, brand partnerships, and operational efficiency contributes significantly to Apple Hospitality's earnings.

Apple Hospitality REIT Financial Statement Overview

Summary

Apple Hospitality REIT demonstrates operational efficiency with stable margins, but faces challenges in revenue growth and cash flow management. The balance sheet remains strong with moderate leverage, but declining ROE and free cash flow growth are areas of concern. Overall, the company maintains a stable financial position, but needs to address revenue and cash flow issues to improve its financial health.

Income Statement

Apple Hospitality REIT's income statement shows a mixed performance. The TTM gross profit margin is healthy at 44.6%, but the net profit margin has decreased to 12.4% from 14.9% in the previous year. Revenue has declined by 34.9% TTM, indicating potential challenges in revenue generation. EBIT and EBITDA margins remain stable, suggesting operational efficiency. However, the significant revenue drop is a concern.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.54, indicating moderate leverage. The return on equity is 5.5% TTM, showing a slight decrease from the previous year. The equity ratio is strong, suggesting a solid capital structure. Overall, the balance sheet is stable, but the slight decline in ROE warrants attention.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth by 142.1% TTM, which is concerning. The operating cash flow to net income ratio is strong at 3.41, indicating good cash generation relative to net income. However, the negative free cash flow growth highlights potential cash flow management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.42B	1.43B	1.34B	1.24B	933.87M	601.88M
Gross Profit	633.49M	509.21M	483.77M	455.03M	319.71M	121.36M
EBITDA	428.72M	483.36M	430.72M	388.18M	271.51M	97.75M
Net Income	175.57M	214.06M	177.49M	144.81M	18.83M	-173.21M
Balance Sheet
Total Assets	4.91B	4.97B	4.94B	4.77B	4.79B	4.83B
Cash, Cash Equivalents and Short-Term Investments	50.29M	10.25M	10.29M	4.08M	3.28M	5.56M
Total Debt	1.62B	1.58B	1.48B	1.48B	1.55B	1.70B
Total Liabilities	1.72B	1.70B	1.61B	1.59B	1.64B	1.80B
Stockholders Equity	3.19B	3.27B	3.32B	3.18B	3.15B	3.03B
Cash Flow
Free Cash Flow	358.82M	325.01M	326.98M	309.07M	199.25M	-21.83M
Operating Cash Flow	379.58M	405.35M	399.04M	368.45M	217.56M	26.73M
Investing Cash Flow	-43.94M	-215.71M	-364.63M	-135.91M	-150.68M	-82.26M
Financing Cash Flow	-289.01M	-189.19M	-34.31M	-228.97M	-61.30M	55.24M

Apple Hospitality REIT Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.43
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For APLE, the sentiment is Positive. The current price of 12.43 is above the 20-day moving average (MA) of 12.18, above the 50-day MA of 11.88, and above the 200-day MA of 11.66, indicating a bullish trend. The MACD of 0.15 indicates Negative momentum. The RSI at 59.51 is Neutral, neither overbought nor oversold. The STOCH value of 70.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for APLE.

Apple Hospitality REIT Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
APLE	66 Neutral	$2.92B	16.75	5.41%	8.30%	0.57%	-13.58%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
DRH	65 Neutral	$1.89B	35.33	3.98%	5.13%	0.95%	-8.40%
XHR	64 Neutral	$1.39B	26.09	4.58%	3.71%	4.29%	141.01%
SHO	57 Neutral	$1.71B	981.52	0.88%	3.98%	3.04%	-98.77%
PK	56 Neutral	$2.24B	-153.00	-0.36%	13.10%	-3.57%	-104.55%
PEB	54 Neutral	$1.37B	-10.24	-3.74%	0.34%	0.99%	-360.58%

Apple Hospitality REIT Corporate Events

Apple Hospitality REIT Acquires New Motto by Hilton Nashville

On December 22, 2025, Apple Hospitality REIT announced it had opened and acquired the newly constructed 260-room Motto by Hilton Nashville Downtown for approximately $98.2 million, or $378,000 per key, under a fixed-price take-out contract secured in advance with a longstanding development partner. The property, located a few blocks off Broadway and within walking distance of major Nashville attractions and venues, adds a new, complementary brand to Apple Hospitality’s rooms-focused portfolio and deepens its presence in a downtown market where revenue per available room has been substantially outperforming both industry averages and the company’s own portfolio. With this transaction, Apple Hospitality’s holdings rise to 217 hotels with 29,580 guest rooms nationwide, reinforcing its strategic focus on high-demand urban and leisure markets and potentially enhancing long-term operating performance for shareholders given Nashville’s strong and diversified lodging demand drivers.

The most recent analyst rating on (APLE) stock is a Hold with a $12.50 price target. To see the full list of analyst forecasts on Apple Hospitality REIT stock, see the APLE Stock Forecast page.

Apple Hospitality REIT Releases November 2025 Metrics

On December 8, 2025, Apple Hospitality REIT released an updated investor presentation on its website, detailing certain operating statistics for November 2025. The company reported strong performance metrics, including a third quarter 2025 Comparable Hotels RevPAR of $124 and occupancy of 76%, surpassing industry averages. This announcement highlights Apple Hospitality’s effective investment strategy and operational efficiency, positioning it favorably within the real estate investment trust sector.

The most recent analyst rating on (APLE) stock is a Hold with a $12.50 price target. To see the full list of analyst forecasts on Apple Hospitality REIT stock, see the APLE Stock Forecast page.

Apple Hospitality REIT Updates Investor Presentation

On November 19, 2025, Apple Hospitality REIT released an updated investor presentation on its website, detailing operating statistics for October and November 2025. The presentation highlights the company’s strong financial performance, including a third-quarter 2025 RevPAR of $124 and occupancy rate of 76%, surpassing industry averages. The company continues to focus on geographic diversification and strategic reinvestment to optimize its portfolio for long-term growth, maintaining a strong balance sheet to pursue accretive opportunities.

The most recent analyst rating on (APLE) stock is a Hold with a $12.50 price target. To see the full list of analyst forecasts on Apple Hospitality REIT stock, see the APLE Stock Forecast page.

Apple Hospitality REIT Releases October 2025 Performance Update

On November 10, 2025, Apple Hospitality REIT released an updated investor presentation on its website, detailing operating statistics for October 2025. The company reported strong performance metrics, including a third-quarter 2025 RevPAR of $124, occupancy of 76%, and ADR of $163, surpassing industry averages. These results highlight Apple Hospitality’s effective investment strategy and robust market positioning, providing positive implications for stakeholders.

The most recent analyst rating on (APLE) stock is a Hold with a $12.50 price target. To see the full list of analyst forecasts on Apple Hospitality REIT stock, see the APLE Stock Forecast page.