Intercontinental Hotels Group Stock Piotroski F Score

IHG Stock  USD 122.27  0.82  0.68%   
This module uses fundamental data of InterContinental to approximate its Piotroski F score. InterContinental F Score is determined by combining nine binary scores representing 3 distinct fundamental categories of InterContinental Hotels Group. These three categories are profitability, efficiency, and funding. Some research analysts and sophisticated value traders use Piotroski F Score to find opportunities outside of the conventional market and financial statement analysis.They believe that some of the new information about InterContinental financial position does not get reflected in the current market share price suggesting a possibility of arbitrage. Check out InterContinental Altman Z Score, InterContinental Correlation, InterContinental Valuation, as well as analyze InterContinental Alpha and Beta and InterContinental Hype Analysis.
  
At this time, InterContinental's Net Debt To EBITDA is most likely to decrease significantly in the upcoming years. The InterContinental's current Interest Debt Per Share is estimated to increase to 20.45, while Long Term Debt is projected to decrease to roughly 1.7 B. At this time, InterContinental's Stock Based Compensation To Revenue is most likely to increase slightly in the upcoming years. The InterContinental's current Capex To Depreciation is estimated to increase to 1.69, while Dividend Yield is projected to decrease to 0.02.
At this time, it appears that InterContinental's Piotroski F Score is Strong. Although some professional money managers and academia have recently criticized Piotroski F-Score model, we still consider it an effective method of predicting the state of the financial strength of any organization that is not predisposed to accounting gimmicks and manipulations. Using this score on the criteria to originate an efficient long-term portfolio can help investors filter out the purely speculative stocks or equities playing fundamental games by manipulating their earnings..
7.0
Piotroski F Score - Strong
Current Return On Assets

Positive

Focus
Change in Return on Assets

Decreased

Focus
Cash Flow Return on Assets

Positive

Focus
Current Quality of Earnings (accrual)

Improving

Focus
Asset Turnover Growth

Decrease

Focus
Current Ratio Change

Increase

Focus
Long Term Debt Over Assets Change

Lower Leverage

Focus
Change In Outstending Shares

Decrease

Focus
Change in Gross Margin

Increase

Focus

InterContinental Piotroski F Score Drivers

The critical factor to consider when applying the Piotroski F Score to InterContinental is to make sure InterContinental is not a subject of accounting manipulations and runs a healthy internal audit department. So, if InterContinental's auditors report directly to the board (not management), the managers will be reluctant to manipulate simply due to the fear of punishment. On the other hand, the auditors will be free to investigate the ledgers properly because they know that the board has their back. Below are the main accounts that are used in the Piotroski F Score model. By analyzing the historical trends of the mains drivers, investors can determine if InterContinental's financial numbers are properly reported.
Current ValueLast YearChange From Last Year 10 Year Trend
Asset Turnover0.520.9607
Way Down
Pretty Stable
Gross Profit Margin0.470.2971
Way Up
Slightly volatile
Total Current Liabilities1.2 B2.2 B
Way Down
Slightly volatile
Non Current Liabilities TotalB4.6 B
Way Down
Slightly volatile
Total AssetsB4.8 B
Significantly Down
Very volatile
Total Current Assets1.2 B2.1 B
Way Down
Very volatile
Total Cash From Operating Activities650.8 M893 M
Way Down
Slightly volatile

InterContinental Hotels F Score Driver Matrix

One of the toughest challenges investors face today is learning how to quickly synthesize historical financial statements and information provided by the company, SEC reporting, and various external parties in order to project the various growth rates. Understanding the correlation between InterContinental's different financial indicators related to revenue, expenses, operating profit, and net earnings helps investors identify and prioritize their investing strategies towards InterContinental in a much-optimized way.

About InterContinental Piotroski F Score

F-Score is one of many stock grading techniques developed by Joseph Piotroski, a professor of accounting at the Stanford University Graduate School of Business. It was published in 2002 under the paper titled Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers. Piotroski F Score is based on binary analysis strategy in which stocks are given one point for passing 9 very simple fundamental tests, and zero point otherwise. According to Mr. Piotroski's analysis, his F-Score binary model can help to predict the performance of low price-to-book stocks.

Common Stock Shares Outstanding

166.06 Million

At this time, InterContinental's Common Stock Shares Outstanding is most likely to decrease significantly in the upcoming years.

InterContinental ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, InterContinental's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to InterContinental's managers, analysts, and investors.
Environmental
Governance
Social

About InterContinental Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze InterContinental Hotels Group's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of InterContinental using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of InterContinental Hotels Group based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.

Currently Active Assets on Macroaxis

When determining whether InterContinental Hotels is a strong investment it is important to analyze InterContinental's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact InterContinental's future performance. For an informed investment choice regarding InterContinental Stock, refer to the following important reports:
Is Hotels, Resorts & Cruise Lines space 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 InterContinental. If investors know InterContinental 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 InterContinental 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
(0.20)
Dividend Share
1.572
Earnings Share
3.88
Revenue Per Share
3.8904
Quarterly Revenue Growth
0.043
The market value of InterContinental Hotels is measured differently than its book value, which is the value of InterContinental that is recorded on the company's balance sheet. Investors also form their own opinion of InterContinental's value that differs from its market value or its book value, called intrinsic value, which is InterContinental's 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 InterContinental's market value can be influenced by many factors that don't directly affect InterContinental's 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 InterContinental's value and its price as these two are different measures arrived at by different means. Investors typically determine if InterContinental is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, InterContinental's 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.