Apple Hospitality REIT, Inc. (APLE) vs Pebblebrook Hotel Trust (PEB)

Apple Hospitality REIT, Inc. and Pebblebrook Hotel Trust are both Reit Hotel & Motel companies. Apple Hospitality REIT, Inc. is the larger, with a market value of $4.3B against $2.3B — 1.8× the size. Pebblebrook Hotel Trust has negative trailing earnings, so its P/E is not meaningful; Apple Hospitality REIT, Inc. trades at 23.9×. Apple Hospitality REIT, Inc. grew revenue faster over the last twelve months: 3.25% against 2.76%. Apple Hospitality REIT, Inc. has the higher net margin (12.6% vs −6.54%) and the higher return on invested capital (3.56% vs 0.69%). Both pay a dividend; Apple Hospitality REIT, Inc. yields more (5.08% vs 0.19%). Across the 21 metrics below, Apple Hospitality REIT, Inc. leads on 13 and Pebblebrook Hotel Trust on 8.

Valuation

Metric APLE PEB Reit Hotel & Motel median
P/E 23.94 n/m 28.97
P/S 3.05 1.57 1.57
P/B 1.42 0.98 1.22
Price to free cash flow 15.54 7.00 7.89
EV/EBITDA 16.16 16.71 11.96
EV/Sales 5.13 3.02 2.84
Earnings yield 4.18% (3.77%) 0.18%
Free cash flow yield 6.44% 14.29% 6.68%

Profitability

Metric APLE PEB Reit Hotel & Motel median
Gross margin 0.00% 25.90% 32.55%
Operating margin 18.29% 3.09% 9.93%
Net margin 12.62% (6.54%) 0.34%
Free cash flow margin 26.98% 22.49% 19.63%
Return on equity 5.83% (3.91%) 0.59%
Return on assets 3.78% (1.83%) 0.14%
Return on invested capital 3.56% 0.69% 2.34%

Growth

Metric APLE PEB Reit Hotel & Motel median
Revenue growth (TTM) 3.25% 2.76% 2.76%
EPS growth (last fiscal year) (16.85%) (130.77%) (16.85%)
Revenue growth, 5-year CAGR 18.60% 27.21% 24.43%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric APLE PEB Reit Hotel & Motel median
Debt to equity 0.50 0.86 0.80
Current ratio 0.00 1.38 1.15
Net debt to EBITDA 3.64 6.79 5.14

Dividend

Metric APLE PEB Reit Hotel & Motel median
Dividend yield 5.08% 0.19% 3.05%
Payout ratio 1.22 — 1.19

Size

Metric APLE PEB Reit Hotel & Motel median
Market cap 4.28b 2.32b 1.96b

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