Apple Hospitality REIT, Inc. (APLE) vs Park Hotels & Resorts Inc. (PK)

Apple Hospitality REIT, Inc. and Park Hotels & Resorts Inc. are both Reit Hotel & Motel companies. Apple Hospitality REIT, Inc. is the larger, with a market value of $4.0B against $3.2B — 1.3× the size. Park Hotels & Resorts Inc. has negative trailing earnings, so its P/E is not meaningful; Apple Hospitality REIT, Inc. trades at 23.0×. Apple Hospitality REIT, Inc. grew revenue faster over the last twelve months: 1.17% against −1.36%. Apple Hospitality REIT, Inc. has the higher net margin (12.2% vs −6.41%) and the higher return on invested capital (3.40% vs 0.49%). Both pay a dividend; Park Hotels & Resorts Inc. yields more (6.29% vs 5.63%). Across the 21 metrics below, Apple Hospitality REIT, Inc. leads on 14 and Park Hotels & Resorts Inc. on 7.

Valuation

Metric APLE PK Reit Hotel & Motel median
P/E 23.04 n/m 26.14
P/S 2.79 1.25 1.47
P/B 1.28 1.05 1.05
Price to free cash flow 14.47 29.19 7.55
EV/EBITDA 15.72 20.22 12.25
EV/Sales 4.95 2.67 2.83
Earnings yield 4.34% (5.22%) (0.37%)
Free cash flow yield 6.91% 3.43% 7.02%

Profitability

Metric APLE PK Reit Hotel & Motel median
Gross margin 60.06% 65.09% 37.37%
Operating margin 17.93% 2.05% 9.53%
Net margin 12.17% (6.41%) (0.66%)
Free cash flow margin 19.32% 4.29% 17.01%
Return on equity 5.53% (5.08%) 0.53%
Return on assets 3.58% (1.97%) (0.26%)
Return on invested capital 3.40% 0.49% 2.16%

Growth

Metric APLE PK Reit Hotel & Motel median
Revenue growth (TTM) 1.17% (1.36%) 1.17%
EPS growth (last fiscal year) (16.85%) (241.58%) (16.85%)
Revenue growth, 5-year CAGR 18.60% 24.43% 24.43%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric APLE PK Reit Hotel & Motel median
Debt to equity 0.51 1.29 0.83
Current ratio 0.73 1.53 1.34
Net debt to EBITDA 3.64 11.46 5.14

Dividend

Metric APLE PK Reit Hotel & Motel median
Dividend yield 5.63% 6.29% 3.15%
Payout ratio 1.30 — 1.24

Size

Metric APLE PK Reit Hotel & Motel median
Market cap 3.98b 3.17b 1.78b

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