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AMERICAN HOTEL (TSE:HOT.UN)
TSX:HOT.UN

AMERICAN HOTEL (HOT.UN) AI Stock Analysis

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TSE:HOT.UN

AMERICAN HOTEL

(TSX:HOT.UN)

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Neutral 49 (OpenAI - 5.2)
Rating:49Neutral
Price Target:
C$0.51
▲(10.22% Upside)
Action:ReiteratedDate:12/25/25
The score is held down primarily by weak financial performance (declining revenue, sizable losses, high leverage, and negative operating/free cash flow). Technicals are a partial offset with a strong uptrend, but overbought readings raise near-term risk. Valuation remains unattractive due to negative earnings and no dividend yield support provided.
Positive Factors
Strategic Partnerships
Partnerships with well-known hotel brands enhance brand recognition and operational expertise, potentially driving long-term guest loyalty and revenue.
Negative Factors
High Leverage
High leverage increases financial risk and limits flexibility, potentially impacting the company's ability to invest in growth and weather economic downturns.
Read all positive and negative factors
Positive Factors
Negative Factors
Strategic Partnerships
Partnerships with well-known hotel brands enhance brand recognition and operational expertise, potentially driving long-term guest loyalty and revenue.
Read all positive factors

AMERICAN HOTEL (HOT.UN) vs. iShares MSCI Canada ETF (EWC)

AMERICAN HOTEL Business Overview & Revenue Model

Company Description
American Hotel Income Properties REIT LP (TSX: HOT.UN, TSX: HOT.U, TSX: HOT.DB.U), or AHIP, is a limited partnership formed to invest in hotel real estate properties across the United States. AHIP's 78 premium branded, select-service hotels are lo...
How the Company Makes Money
AMERICAN HOTEL generates revenue primarily through the ownership and leasing of hotel properties, earning income from room rentals and ancillary services such as food and beverage sales, event hosting, and other amenities. The company benefits fro...

AMERICAN HOTEL Earnings Call Summary

Earnings Call Date:Aug 07, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:May 12, 2026
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture. On the positive side, AHIP achieved record average daily rates and successfully managed debt through strategic asset dispositions. However, there were notable declines in same-store revenue, RevPAR, and NOI margins, coupled with decreased demand in government and group segments.
Positive Updates
Record Average Daily Rate and RevPAR
AHIP achieved all-time highs in average daily rate and RevPAR. The RevPAR index increased by 70 basis points to almost 115% during the quarter, highlighting the success of strategic asset dispositions.
Negative Updates
Decline in Same-Store Revenue and RevPAR
Total revenue decreased by 1.7% and RevPAR finished at $108, a 2.3% decrease compared to Q2 2024, driven by contractions in the government and group segments.
Read all updates
Q2-2025 Updates
Negative
Record Average Daily Rate and RevPAR
AHIP achieved all-time highs in average daily rate and RevPAR. The RevPAR index increased by 70 basis points to almost 115% during the quarter, highlighting the success of strategic asset dispositions.
Read all positive updates
Company Guidance
During the second quarter of 2025, American Hotel Income Properties REIT LP (AHIP) achieved record highs in average daily rate and RevPAR, with a RevPAR index increase of 70 basis points to nearly 115%. Despite these achievements, same-store total revenue for AHIP's 38 hotels decreased by 1.7%, and RevPAR fell by 2.3% to $108 compared to Q2 2024. The decline was attributed to reduced demand from government and group segments and challenging comparisons to exceptional demand in the previous year. The NOI margin decreased by 157 basis points to 33.8%. To strengthen its financial position, AHIP sold 16 hotel properties in 2024 for $165.2 million and 11 properties in the first half of 2025 for $73.5 million, with eight sales in Q2 at a 6.9% cap rate. As of mid-2025, AHIP has no secured debt maturing until late 2026, and further dispositions are planned. The company has purchased nearly 2 million units under a normal course issuer bid, reflecting its view that units are trading below asset value.

AMERICAN HOTEL Financial Statement Overview

Summary
Weak fundamentals: revenue is declining (-8.38% TTM) with persistent losses (net margin -31.01%) and negative EBIT margin. Leverage is high (debt-to-equity 3.69) with negative ROE, and liquidity is pressured by negative operating and free cash flow despite some FCF improvement.
Income Statement
45
Neutral
Balance Sheet
50
Neutral
Cash Flow
40
Negative
BreakdownTTMMar 2025Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue198.39M256.88M280.52M281.37M241.31M174.85M
Gross Profit55.06M73.42M83.37M40.33M45.83M3.33M
EBITDA-23.82M32.48M-7.13M37.12M81.91M8.07M
Net Income-93.25M-46.98M-81.49M-39.64M-15.61M-66.43M
Balance Sheet
Total Assets537.05M685.11M954.89M1.05B1.15B1.19B
Cash, Cash Equivalents and Short-Term Investments25.61M27.84M17.80M12.95M14.70M20.15M
Total Debt369.93M431.63M645.66M688.44M738.85M782.31M
Total Liabilities415.20M501.09M721.94M730.69M775.89M852.19M
Stockholders Equity78.29M138.92M189.38M278.54M331.03M341.71M
Cash Flow
Free Cash Flow-4.10M631.00K5.56M16.66M11.74M-5.39M
Operating Cash Flow-3.12M10.70M29.70M44.91M17.95M3.55M
Investing Cash Flow180.31M155.19M2.69M15.30M-18.63M-1.96M
Financing Cash Flow-177.40M-155.85M-28.63M-61.96M-4.34M932.00K

AMERICAN HOTEL Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price0.46
Price Trends
50DMA
0.47
Negative
100DMA
0.43
Positive
200DMA
0.42
Positive
Market Momentum
MACD
>-0.01
Positive
RSI
47.80
Neutral
STOCH
31.11
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:HOT.UN, the sentiment is Neutral. The current price of 0.46 is below the 20-day moving average (MA) of 0.46, below the 50-day MA of 0.47, and above the 200-day MA of 0.42, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 47.80 is Neutral, neither overbought nor oversold. The STOCH value of 31.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:HOT.UN.

AMERICAN HOTEL Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
64
Neutral
C$6.94B200.421.99%3.00%28.05%662.10%
62
Neutral
C$5.71B29.802.22%4.20%-6.51%-81.28%
61
Neutral
C$2.04B69.280.93%4.42%6.19%79.98%
57
Neutral
C$646.21M-3.537.26%3.87%-1.21%
49
Neutral
C$33.00M-0.22-24.95%-1.42%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:HOT.UN
AMERICAN HOTEL
0.47
>-0.01
-2.11%
TSE:CAR.UN
Canadian Apartment
36.38
-0.14
-0.38%
TSE:CSH.UN
Chartwell Retirement Residences
21.27
6.13
40.47%
TSE:KMP.UN
Killam Apartment REIT Un
16.47
1.10
7.14%
TSE:MI.UN
Minto Apartment Real Estate Investment Trust
17.67
5.96
50.94%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Dec 25, 2025