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Wyndham Hotels & Resorts Inc (WH)
NYSE:WH
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Wyndham Hotels & Resorts (WH) AI Stock Analysis

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Wyndham Hotels & Resorts

(NYSE:WH)

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Neutral 65 (OpenAI - 4o)
Rating:65Neutral
Price Target:
$80.00
▲(15.42% Upside)
Wyndham Hotels & Resorts' overall stock score is driven by strong financial performance and positive earnings call highlights, including room openings and technological advancements. However, bearish technical indicators and high leverage pose risks. The valuation is fair, providing a balanced outlook.
Positive Factors
Room Openings and Pipeline Growth
The significant increase in room openings and pipeline growth indicates a strong expansion strategy, enhancing market presence and future revenue potential.
Cash Flow Management
Strong cash flow management ensures financial flexibility, supporting strategic investments and debt servicing, crucial for long-term stability.
Technological Advancements
Successful AI implementation enhances operational efficiency and customer experience, driving higher direct contributions and competitive advantage.
Negative Factors
High Leverage
High leverage can strain financial resources, limiting flexibility and increasing risk, especially in economic downturns, impacting long-term sustainability.
Decline in Global RevPAR
A decline in RevPAR suggests weakening demand or pricing power, potentially affecting revenue and profitability if trends persist.
Franchise Fees Decline
Declining franchise fees indicate reduced transaction volumes, impacting a key revenue stream and potentially signaling broader market challenges.

Wyndham Hotels & Resorts (WH) vs. SPDR S&P 500 ETF (SPY)

Wyndham Hotels & Resorts Business Overview & Revenue Model

Company DescriptionWyndham Hotels & Resorts, Inc. operates as a hotel franchisor worldwide. It operates through Hotel Franchising and Hotel Management segments. The Hotel Franchising segment licenses its lodging brands and provides related services to third-party hotel owners and others. The Hotel Management segment provides hotel management services for full-service and limited-service hotels. It is also involved in the reward loyalty program business. The company's hotel brand portfolios include Super 8, Days Inn, Travelodge, Microtel, Howard Johnson, La Quinta, Ramada, Baymont, AmericInn, Wingate, Wyndham Alltra, Wyndham Garden, Ramada Encore, Hawthorn, Registry Collection, Trademark Collection, TRYP, Dazzler, Esplendor, Wyndham Grand, Dolce, and Wyndham. As of August 9, 2022, it operated a portfolio of 22 hotel brands with approximately 9,000 hotels with approximately 8,19,000 rooms in approximately 95 countries. The company was incorporated in 2017 and is headquartered in Parsippany, New Jersey.
How the Company Makes MoneyWyndham Hotels & Resorts primarily generates revenue through a franchise model, where it charges franchise fees to hotel owners who operate under its brands. These fees include initial franchise fees, ongoing royalties based on the hotel's revenue, and additional fees for services such as marketing and technology support. The company also earns revenue from its hotel management services, where it operates hotels on behalf of property owners for a fee. Key revenue streams include the franchise and management fees, as well as revenues from the Wyndham Rewards loyalty program, which drives customer retention and repeat bookings. Partnerships with travel agencies, online travel platforms, and corporate clients further enhance earnings by increasing the visibility and booking capabilities of its properties.

Wyndham Hotels & Resorts Earnings Call Summary

Earnings Call Date:Oct 22, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Feb 18, 2026
Earnings Call Sentiment Neutral
The earnings call highlighted strong room openings, pipeline growth, and advancements in ancillary revenue and technology. However, challenges such as a decline in RevPAR and franchise fees provided a mixed outlook. Overall, the company's strategic initiatives and technological advancements provide optimism, despite current market challenges.
Q3-2025 Updates
Positive Updates
Significant Room Openings and Pipeline Growth
Wyndham Hotels & Resorts achieved a 21% increase in room openings and a 4% growth in their global pipeline, totaling 257,000 rooms and nearly 2,200 hotels.
Increase in Ancillary Fee Streams
Ancillary fee streams grew by 18% for the third quarter and 14% year-to-date, driven by strategic partnerships and technology initiatives.
Expansion of Wyndham Rewards
Wyndham Rewards' share of occupancy contribution reached a record 53%, with global membership enrollments increasing by 8%.
Successful AI Implementation
Wyndham AI has handled over 0.5 million customer interactions, contributing to nearly 300 basis points of improvement in direct contribution for hotels using the system.
Strong Net Room Growth Internationally
International net rooms grew by 9%, with notable performances in EMEA (8% growth), Latin America and the Caribbean (4% growth), and China (16% growth).
Refinancing of Revolving Credit Facility
Wyndham completed the refinancing of its revolving credit facility, increasing total capacity to $1 billion and reducing borrowing costs by 35 basis points.
Negative Updates
Decline in Global RevPAR
RevPAR declined by 5% globally and domestically, with particular weakness in the Sunbelt states and Asia Pacific regions.
Franchise Fees Decline
Franchise fees, including termination and transfer fees, declined by $7 million compared to the previous year, attributed to lower transaction volumes.
Softening RevPAR Trends Impact Outlook
Full-year RevPAR outlook was revised to a decline of 3% to 2%, with expected further softening in the fourth quarter.
Company Guidance
During the Wyndham Hotels & Resorts Third Quarter 2025 Earnings Conference Call, the company provided numerous metrics illustrating their performance and strategic initiatives. They reported a 21% increase in room openings and a 24% increase in deals signed, growing their global pipeline by 4% to 257,000 rooms across nearly 2,200 hotels. Ancillary fee streams saw an 18% increase, contributing to over $260 million in adjusted free cash flow year-to-date. Despite a 5% decline in global RevPAR, the company highlighted strong performance in the U.S. with a 200 basis point growth in mid-scale and above systems. Wyndham's direct franchising efforts in regions like China led to a 16% growth, while international net rooms grew by 9%. They also launched "Wyndham Rewards Insider," aiming to enhance their loyalty program's value proposition. The company maintained a focus on cost efficiency and strategic investments, despite challenges in the broader economic environment.

Wyndham Hotels & Resorts Financial Statement Overview

Summary
Wyndham Hotels & Resorts demonstrates strong profitability and cash flow management, with high margins and significant free cash flow growth. However, the company faces challenges with declining revenue and high leverage, which could impact financial stability. Overall, the financial health is solid but requires careful management of debt levels and revenue growth strategies.
Income Statement
75
Positive
Wyndham Hotels & Resorts shows strong profitability with a high gross profit margin of 86.56% and a solid net profit margin of 23.54% in the TTM. However, the revenue growth rate is negative, indicating a decline in revenue compared to previous periods. The EBIT and EBITDA margins are robust, reflecting efficient operations despite the revenue decline.
Balance Sheet
60
Neutral
The company has a high debt-to-equity ratio of 5.36, indicating significant leverage, which could pose financial risks. However, the return on equity is strong at 56.76%, suggesting effective use of equity to generate profits. The equity ratio is not provided, but the high leverage remains a concern.
Cash Flow
70
Positive
Wyndham's cash flow performance is positive, with a substantial free cash flow growth rate of 137.9% in the TTM. The operating cash flow to net income ratio is 0.70, indicating good cash generation relative to net income. The free cash flow to net income ratio is also healthy at 0.84, showing efficient cash management.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.44B1.41B1.40B1.50B1.56B1.30B
Gross Profit1.11B1.41B815.00M830.00M795.00M531.00M
EBITDA653.00M568.00M582.00M638.00M524.00M54.00M
Net Income338.00M289.00M289.00M355.00M244.00M-132.00M
Balance Sheet
Total Assets4.35B4.22B4.03B4.12B4.27B4.64B
Cash, Cash Equivalents and Short-Term Investments70.00M103.00M66.00M161.00M171.00M493.00M
Total Debt2.63B2.47B2.21B2.08B2.09B2.60B
Total Liabilities3.76B3.57B3.29B3.16B3.18B3.68B
Stockholders Equity583.00M650.00M746.00M962.00M1.09B963.00M
Cash Flow
Free Cash Flow294.00M241.00M339.00M360.00M389.00M34.00M
Operating Cash Flow349.00M290.00M376.00M399.00M426.00M67.00M
Investing Cash Flow-111.00M-65.00M-66.00M179.00M-34.00M-31.00M
Financing Cash Flow-247.00M-175.00M-402.00M-584.00M-713.00M363.00M

Wyndham Hotels & Resorts Technical Analysis

Technical Analysis Sentiment
Negative
Last Price69.31
Price Trends
50DMA
77.39
Negative
100DMA
82.02
Negative
200DMA
85.45
Negative
Market Momentum
MACD
-2.00
Positive
RSI
31.93
Neutral
STOCH
19.38
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WH, the sentiment is Negative. The current price of 69.31 is below the 20-day moving average (MA) of 72.67, below the 50-day MA of 77.39, and below the 200-day MA of 85.45, indicating a bearish trend. The MACD of -2.00 indicates Positive momentum. The RSI at 31.93 is Neutral, neither overbought nor oversold. The STOCH value of 19.38 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for WH.

Wyndham Hotels & Resorts Risk Analysis

Wyndham Hotels & Resorts disclosed 28 risk factors in its most recent earnings report. Wyndham Hotels & Resorts reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Wyndham Hotels & Resorts Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
$13.31B26.7232.28%4.04%5.70%7.71%
65
Neutral
$5.34B16.4657.98%2.23%3.38%38.04%
65
Neutral
$4.06B11.151418.13%1.31%2.76%56.02%
63
Neutral
$62.06B38.690.23%6.68%48.03%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
60
Neutral
$18.75B26.221.38%8.89%23.20%
59
Neutral
$14.25B-2.45%0.41%2.61%-106.74%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
WH
Wyndham Hotels & Resorts
69.31
-25.65
-27.01%
HTHT
H World Group
44.20
10.22
30.08%
CHH
Choice Hotels
86.99
-61.29
-41.33%
H
Hyatt Hotels
149.43
-6.29
-4.04%
IHG
Intercontinental Hotels Group
124.66
3.13
2.58%
HLT
Hilton Worldwide Holdings
264.32
11.75
4.65%

Wyndham Hotels & Resorts Corporate Events

Business Operations and StrategyExecutive/Board Changes
Wyndham CFO Michele Allen Announces Departure
Neutral
Nov 4, 2025

On October 30, 2025, Michele Allen, the Chief Financial Officer and Head of Strategy at Wyndham Hotels & Resorts, announced her departure from the company effective November 4, 2025, to pursue a new career opportunity outside the hotel industry. Kurt Albert, who has been with the company for over 15 years, will take over as Interim CFO. The company plans to conduct a comprehensive search for a permanent CFO. This transition highlights the depth of leadership within Wyndham and is expected to be smooth, with Allen serving in an advisory role until the end of 2025. Wyndham has reaffirmed its full-year 2025 outlook, indicating stability and confidence in its ongoing operations despite the leadership change.

The most recent analyst rating on (WH) stock is a Buy with a $95.00 price target. To see the full list of analyst forecasts on Wyndham Hotels & Resorts stock, see the WH Stock Forecast page.

Wyndham Hotels Earnings Call: Strategic Growth Amid Challenges
Oct 25, 2025

Wyndham Hotels & Resorts Earnings Call: Strategic Optimism Amid Market Challenges

Wyndham Hotels Reports Growth Amidst Challenging Market
Oct 24, 2025

Wyndham Hotels & Resorts, the world’s largest hotel franchising company, operates approximately 8,300 hotels across 100 countries, focusing on the economy and midscale segments of the lodging industry. In its latest earnings report for the third quarter of 2025, Wyndham Hotels & Resorts announced a 4% year-over-year growth in system-wide rooms and a record development pipeline of 257,000 rooms. The company also reported an 18% increase in ancillary revenues and a 5% rise in diluted earnings per share to $1.36. Despite a 5% decline in global RevPAR, Wyndham’s adjusted EBITDA grew by 2% to $213 million, supported by cost containment measures and an increase in ancillary revenues. The company returned $101 million to shareholders through share repurchases and dividends. Looking ahead, Wyndham Hotels & Resorts remains focused on expanding its portfolio and advancing its technology and loyalty platforms, positioning itself for sustained growth and value creation into 2026 and beyond.

Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
Wyndham Hotels Reports Q3 Growth Amid Challenges
Neutral
Oct 22, 2025

On October 22, 2025, Wyndham Hotels & Resorts reported its third-quarter results for the period ending September 30, 2025. The company experienced a 4% year-over-year growth in system-wide rooms and a record development pipeline of 257,000 rooms, marking a 4% increase. Despite a challenging macroeconomic environment, Wyndham achieved significant milestones, including a 24% increase in awarded development contracts and an 18% rise in ancillary revenues. However, global RevPAR decreased by 5% due to declines in the U.S. and international markets, particularly in Asia Pacific and Latin America. The company returned $101 million to shareholders through share repurchases and dividends, demonstrating its commitment to shareholder value. These results underscore Wyndham’s strategic focus on expanding its portfolio and leveraging technology and loyalty platforms for sustained growth.

The most recent analyst rating on (WH) stock is a Buy with a $91.00 price target. To see the full list of analyst forecasts on Wyndham Hotels & Resorts stock, see the WH Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Wyndham Hotels Extends Credit Facility to 2030
Positive
Oct 20, 2025

On October 16, 2025, Wyndham Hotels & Resorts, Inc. announced an amendment to its Credit Agreement, extending the maturity of its $750 million revolving credit facility to October 2030 and increasing commitments to $1.0 billion. This amendment is expected to enhance the company’s financial flexibility and support its strategic growth initiatives by offering more favorable interest rates based on its First Lien Leverage Ratio.

The most recent analyst rating on (WH) stock is a Buy with a $99.00 price target. To see the full list of analyst forecasts on Wyndham Hotels & Resorts stock, see the WH Stock Forecast page.

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: Oct 26, 2025