Wyndham Hotels & Resorts (WH) AI Stock Analysis

• Market Cap: $5.50B
• Dividend Yield: 2.13%
• Average Volume (3M): 1.10M
• Price to Earnings (P/E): 16.8
• Beta (1Y): 0.86
• Revenue Growth: 3.38%
• EPS Growth: 38.04%
• Country: US
• Employees: 2,200
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Travel Lodging
• EPS (TTM): 1.46
• Shares Outstanding: 75,551,950
• 10 Day Avg. Volume: 1,503,163
• 30 Day Avg. Volume: 1,097,042
• PEG Ratio: 4.31
• Price to Book (P/B): 12.33
• Price to Sales (P/S): 5.69
• P/FCF Ratio: 33.25
• Enterprise Value/Market Cap: 1.46
• Enterprise Value/Revenue: 5.61
• Enterprise Value/Gross Profit: 7.28
• Enterprise Value/Ebitda: 12.34
• 1Y Price Target: $88.17
• Price Target Upside: 21.10% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 67 Neutral
• Price Target: $86.00 ▲(18.12% Upside)

Wyndham Hotels & Resorts demonstrates strong profitability and strategic growth initiatives, but faces challenges with declining revenue and high leverage. The technical indicators suggest bearish momentum, while valuation remains reasonable. Recent corporate events and earnings call insights provide optimism, but market challenges persist.

Positive Factors

Franchise Model & Scale

Wyndham's asset-light franchisor model and 9,000+ property scale create durable, recurring revenue from initial fees, royalties and services. Diversification across economy to upscale segments spreads demand risk and lowers capital intensity, supporting stable cash flows over months.

Strong Margins and Cash Generation

Very high gross and healthy net margins reflect an efficient, low-capex franchise model that converts revenue to profit. Coupled with substantial free cash flow (noted elsewhere in the pack), this supports reinvestment, debt paydown and shareholder returns over the medium term.

Robust Development Pipeline & Ancillary Revenue

A record pipeline (257k rooms) and +21% room openings expand future royalty bases and fee opportunity. Growth in ancillary fees and loyalty share increases per-room revenues, making top-line expansion driven by franchising durable across quarters as new deals convert to fees.

Negative Factors

High Leverage

Substantial leverage constrains financial flexibility and increases sensitivity to interest rates or cash flow swings. Even with credit facility amendments, high debt-to-equity raises refinancing and covenant risk and limits capital allocation choices over the next several quarters.

Declining Revenue and RevPAR Pressure

Sustained RevPAR declines reduce franchisee revenue and therefore royalty and percentage-based fees, pressuring system-wide revenue. Continued softness in key regions can compress fee growth and slow margin expansion, impacting earnings durability over the coming quarters.

Finance Leadership Transition Risk

A CFO departure during active debt management and strategic execution introduces execution risk: delays or changes in refinancing, capital allocation and reporting can affect deleveraging plans and credibility with lenders/investors for several months until a permanent CFO is installed.

Wyndham Hotels & Resorts Business Overview & Revenue Model

Company Description

Wyndham 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 Money

Wyndham Hotels & Resorts generates revenue primarily through franchise fees charged to hotel owners for the use of its brand names and systems, which include marketing support and operational services. The company earns significant income from initial franchise fees, ongoing royalty fees based on a percentage of the hotel's revenue, and ancillary services such as training and operational support. Additionally, Wyndham benefits from its Wyndham Rewards loyalty program, which not only attracts guests but also enhances the value proposition for franchisees. Strategic partnerships with travel agencies, online booking platforms, and corporate clients also contribute to its earnings, as these collaborations help expand its market reach and drive occupancy rates across its hotels.

Wyndham Hotels & Resorts Financial Statement Overview

Summary

Wyndham Hotels & Resorts shows strong profitability 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.

Income Statement

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

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

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.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.44B	1.41B	1.40B	1.50B	1.56B	1.30B
Gross Profit	1.11B	1.41B	815.00M	830.00M	795.00M	531.00M
EBITDA	653.00M	568.00M	582.00M	638.00M	524.00M	54.00M
Net Income	338.00M	289.00M	289.00M	355.00M	244.00M	-132.00M
Balance Sheet
Total Assets	4.35B	4.22B	4.03B	4.12B	4.27B	4.64B
Cash, Cash Equivalents and Short-Term Investments	70.00M	103.00M	66.00M	161.00M	171.00M	493.00M
Total Debt	2.63B	2.47B	2.21B	2.08B	2.09B	2.60B
Total Liabilities	3.76B	3.57B	3.29B	3.16B	3.18B	3.68B
Stockholders Equity	583.00M	650.00M	746.00M	962.00M	1.09B	963.00M
Cash Flow
Free Cash Flow	294.00M	241.00M	339.00M	360.00M	389.00M	34.00M
Operating Cash Flow	349.00M	290.00M	376.00M	399.00M	426.00M	67.00M
Investing Cash Flow	-111.00M	-65.00M	-66.00M	179.00M	-34.00M	-31.00M
Financing Cash Flow	-247.00M	-175.00M	-402.00M	-584.00M	-713.00M	363.00M

Wyndham Hotels & Resorts Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 72.81
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: 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 72.81 is below the 20-day moving average (MA) of 77.75, below the 50-day MA of 75.79, and below the 200-day MA of 80.49, indicating a bearish trend. The MACD of -0.72 indicates Positive momentum. The RSI at 37.11 is Neutral, neither overbought nor oversold. The STOCH value of 10.81 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for WH.

Wyndham Hotels & Resorts Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HTHT	74 Outperform	$14.67B	28.36	32.28%	3.60%	5.70%	9.53%
IHG	70 Neutral	$20.32B	28.62	―	1.21%	8.89%	23.20%
WH	67 Neutral	$5.50B	16.76	57.98%	2.13%	3.38%	38.04%
HLT	67 Neutral	$69.38B	43.37	―	0.21%	6.68%	48.03%
CHH	63 Neutral	$4.63B	12.26	1418.13%	1.32%	2.76%	56.02%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
H	56 Neutral	$14.85B	-169.49	-2.45%	0.36%	2.61%	-106.74%

Wyndham Hotels & Resorts Corporate Events

Wyndham Hotels Expands Board with New Appointment

On November 13, 2025, Wyndham Hotels & Resorts announced the appointment of Alexandra A. Jung to its Board of Directors, expanding the board to nine members. Jung, with over 25 years of investment management experience, will serve on the Corporate Governance and Audit Committees. Her extensive expertise in various sectors, including hotel and leisure, is expected to contribute to Wyndham’s sustained growth and strategic positioning in the industry.

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 CFO Michele Allen Announces Departure

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.