Choice Hotels International Stock Market Value
| CHH Stock | USD 117.07 0.26 0.22% |
| Symbol | Choice |
Choice Hotels Intern Price To Book Ratio
Is Choice Hotels' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Choice Hotels. If investors know Choice will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Choice Hotels listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.44) | Dividend Share 1.15 | Earnings Share 5.07 | Revenue Per Share 14.646 | Quarterly Revenue Growth (0.11) |
The market value of Choice Hotels Intern is measured differently than its book value, which is the value of Choice that is recorded on the company's balance sheet. Investors also form their own opinion of Choice Hotels' value that differs from its market value or its book value, called intrinsic value, which is Choice Hotels' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Choice Hotels' market value can be influenced by many factors that don't directly affect Choice Hotels' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Choice Hotels' value and its price as these two are different measures arrived at by different means. Investors typically determine if Choice Hotels is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Choice Hotels' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Choice Hotels 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Choice Hotels' stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Choice Hotels.
| 10/22/2023 |
| 04/19/2024 |
If you would invest 0.00 in Choice Hotels on October 22, 2023 and sell it all today you would earn a total of 0.00 from holding Choice Hotels International or generate 0.0% return on investment in Choice Hotels over 180 days. Choice Hotels is related to or competes with Yatra Online, Despegar Corp, Mondee Holdings, MakeMyTrip, and TripAdvisor. Choice Hotels International, Inc., together with its subsidiaries, operates as a hotel franchisor worldwide More
Choice Hotels Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Choice Hotels' stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Choice Hotels International upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.55 | |||
| Information Ratio | (0.01) | |||
| Maximum Drawdown | 8.69 | |||
| Value At Risk | (2.46) | |||
| Potential Upside | 2.46 |
Choice Hotels Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Choice Hotels' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Choice Hotels' standard deviation. In reality, there are many statistical measures that can use Choice Hotels historical prices to predict the future Choice Hotels' volatility.| Risk Adjusted Performance | 0.0251 | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.12) | |||
| Sortino Ratio | (0.01) | |||
| Treynor Ratio | 0.0391 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Choice Hotels' price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Choice Hotels Intern Backtested Returns
We consider Choice Hotels very steady. Choice Hotels Intern secures Sharpe Ratio (or Efficiency) of 0.0187, which signifies that the company had a 0.0187% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Choice Hotels International, which you can use to evaluate the volatility of the firm. Please confirm Choice Hotels' Mean Deviation of 1.21, downside deviation of 1.55, and Risk Adjusted Performance of 0.0251 to double-check if the risk estimate we provide is consistent with the expected return of 0.0315%. Choice Hotels has a performance score of 1 on a scale of 0 to 100. The firm shows a Beta (market volatility) of 1.04, which signifies a somewhat significant risk relative to the market. Choice Hotels returns are very sensitive to returns on the market. As the market goes up or down, Choice Hotels is expected to follow. Choice Hotels Intern right now shows a risk of 1.68%. Please confirm Choice Hotels Intern total risk alpha, downside variance, daily balance of power, as well as the relationship between the maximum drawdown and skewness , to decide if Choice Hotels Intern will be following its price patterns.
Auto-correlation | 0.07 |
Virtually no predictability
Choice Hotels International has virtually no predictability. Overlapping area represents the amount of predictability between Choice Hotels time series from 22nd of October 2023 to 20th of January 2024 and 20th of January 2024 to 19th of April 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Choice Hotels Intern price movement. The serial correlation of 0.07 indicates that barely 7.0% of current Choice Hotels price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.07 | |
| Spearman Rank Test | 0.3 | |
| Residual Average | 0.0 | |
| Price Variance | 26.71 |
Choice Hotels Intern lagged returns against current returns
Autocorrelation, which is Choice Hotels stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Choice Hotels' stock expected returns. We can calculate the autocorrelation of Choice Hotels returns to help us make a trade decision. For example, suppose you find that Choice Hotels has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Choice Hotels regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Choice Hotels stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Choice Hotels stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Choice Hotels stock over time.
Current vs Lagged Prices |
| Timeline |
Choice Hotels Lagged Returns
When evaluating Choice Hotels' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Choice Hotels stock have on its future price. Choice Hotels autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Choice Hotels autocorrelation shows the relationship between Choice Hotels stock current value and its past values and can show if there is a momentum factor associated with investing in Choice Hotels International.
Regressed Prices |
| Timeline |
Choice Hotels Investors Sentiment
The influence of Choice Hotels' investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Choice. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to Choice Hotels' public news can be used to forecast risks associated with an investment in Choice. The trend in average sentiment can be used to explain how an investor holding Choice can time the market purely based on public headlines and social activities around Choice Hotels International. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Choice Hotels' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Choice Hotels' and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Choice Hotels' news discussions. The higher the estimated score, the more favorable is the investor's outlook on Choice Hotels.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Choice Hotels in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Choice Hotels' short interest history, or implied volatility extrapolated from Choice Hotels options trading.
Pair Trading with Choice Hotels
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Choice Hotels position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Choice Hotels will appreciate offsetting losses from the drop in the long position's value.Moving against Choice Stock
| 0.6 | EVRI | Everi Holdings Financial Report 8th of May 2024 | PairCorr |
| 0.47 | WW | WW International Financial Report 2nd of May 2024 | PairCorr |
The ability to find closely correlated positions to Choice Hotels could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Choice Hotels when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Choice Hotels - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Choice Hotels International to buy it.
The correlation of Choice Hotels is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Choice Hotels moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Choice Hotels Intern moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Choice Hotels can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Choice Hotels Correlation, Choice Hotels Volatility and Choice Hotels Alpha and Beta module to complement your research on Choice Hotels. Note that the Choice Hotels Intern information on this page should be used as a complementary analysis to other Choice Hotels' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Global Correlations module to find global opportunities by holding instruments from different markets.
Complementary Tools for Choice Stock analysis
When running Choice Hotels' price analysis, check to measure Choice Hotels' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Choice Hotels is operating at the current time. Most of Choice Hotels' value examination focuses on studying past and present price action to predict the probability of Choice Hotels' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Choice Hotels' price. Additionally, you may evaluate how the addition of Choice Hotels to your portfolios can decrease your overall portfolio volatility.
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Choice Hotels technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.