Sonder Holdings Inc. (SONDQ) vs Wyndham Hotels & Resorts (WH)

Sonder Holdings Inc. and Wyndham Hotels & Resorts are both Lodging companies. Wyndham Hotels & Resorts is the larger, with a market value of $5.1B against $1.7M — 3059.5× the size. Sonder Holdings Inc. has negative trailing earnings, so its P/E is not meaningful; Wyndham Hotels & Resorts trades at 25.5×. Wyndham Hotels & Resorts grew revenue faster over the last twelve months: −2.14% against −5.47%. Wyndham Hotels & Resorts has the higher net margin (14.7% vs −55.8%) and the higher return on invested capital (8.67% vs 0.00%). Across the 16 metrics below, Wyndham Hotels & Resorts leads on 12 and Sonder Holdings Inc. on 4.

Valuation

Metric SONDQ WH Lodging median
P/E n/m 25.54 26.75
P/S n/m 3.70 2.70
P/B n/m 10.94 6.31
Price to free cash flow n/m 16.25 14.61
EV/EBITDA 21.58 16.03 13.70
EV/Sales 0.25 5.54 3.07
Earnings yield 0.00% 3.91% 2.75%
Free cash flow yield 0.00% 6.15% 5.61%

Profitability

Metric SONDQ WH Lodging median
Gross margin 38.88% 87.66% 35.16%
Operating margin (26.10%) 30.18% 14.37%
Net margin (55.82%) 14.67% 9.62%
Free cash flow margin (13.90%) 22.78% 10.30%
Return on equity 59.64% 39.62% 1.31%
Return on assets (29.69%) 4.82% 0.53%
Return on invested capital 0.00% 8.67% 3.70%

Growth

Metric SONDQ WH Lodging median
Revenue growth (TTM) (5.47%) (2.14%) 5.85%
EPS growth (last fiscal year) 23.48% (30.75%) —
Revenue growth, 5-year CAGR — 1.91% 16.16%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric SONDQ WH Lodging median
Debt to equity (0.31) 5.57 0.00
Current ratio 0.25 0.99 0.99
Net debt to EBITDA 16.38 5.38 3.33

Dividend

Metric SONDQ WH Lodging median
Dividend yield — 1.77% 1.29%
Payout ratio 0.00 0.40 0.02

Size

Metric SONDQ WH Lodging median
Market cap 1.68m 5.14b 4.54b

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