Stock analysis · Bull Rankings model

DRH analysis

DiamondRock Hospitality CompanyREIT - Hotel & Motel. Scored on the same transparent model behind the daily rankings.

DRH
DiamondRock Hospitality Company · REIT - Hotel & Motel
Yield3.5%B
Rev-0.8%D+
D/E0.78B+
72.9REIT strength
$12.70$2.6B
1Y Target$13.56Analyst consensus · 13 analysts
5Y Target$19.85Compound horizon
10Y Target$29.45Long-dated conviction
Yield3.5%
B
Yield 3.5% — modest income · REITs are valued on FFO / AFFO, which our data source doesn't provide — we grade income, growth, and sector-relative leverage instead.
Rev-0.8%
D+
Revenue -0.8% — shrinking; needs a catalyst to reverse
D/E0.78
B+
D/E 0.78 — below the Real Estate debt median (≈40th pctile)

Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.

Financial strength · 72.9 / 100
Profitability83.0
Value (P/B)65.2
Income74.6

A peer-relative read for reits on profitability (ROE, depreciation-adjusted), valuation, and covered income — the quality-growth (FCF/ROIC) screen doesn't apply to balance-sheet businesses. Not comparable to the 0–100 quality-growth score shown on other stocks.

Entry · Margin of safety
52-week rangeNear 52-week high
8% off the 12-month high

Model-generatedGenerated by the Bull Rankings model from this company's reported fundamentals, and checked against the figures shown above.

Why now
REIT - Hotel & Motel · market cap $2.6b. 8% off the 52-week high of $13.79. 13 sell-side analysts rate this a Buy with a mean 1-yr target of $13.56 (implying +7% upside).
Moat
Net margin 14% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent.
Risk
Mature compounder — the risk is paying up for quality at a moment when growth is decelerating. Watch for sequential revenue + margin trends; the inflection from "compounder" to "ex-compounder" is hard to spot until the multiple already started compressing.
Horizon
1-3 yr $13.56 (13-analyst consensus) — fundamentals + valuation re-rating. 5 yr $19.85 at ~9% CAGR — compounding case rests on the competitive position widening. 10 yr $29.45 if current growth sustains into durable earnings power.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.

Not enough history yet — the model records DRH's score after each daily run, and the chart appears once a few days have accumulated.

DRH at a glance

FINANCIAL STRENGTH · REITPROFITABILITY83VALUE65COVERED INCOME7572.9/100 on our peer scale — not the quality-growth score.
ONE-YEAR MOVE VS ITS BETAFLATThis stock+48%Trailing one-year price change. Price history is not an inputto the Bull Rankings score.
PRICE IN ITS 52-WEEK RANGE$12.7$7.5 LOWHIGH $13.8Trading at the 83rd percentile of its 52-week range ($7.5–$13.8).

Every figure here comes from the same audited fundamentals behind the score. Charts drawn from data the score does not use say so on the card.

Analyst estimate revisions

30-day change+5.4%
90-day change+7.3%
Forward EPS estimate$0.59

Over the last 90 days, what analysts expect DRH to earn is materially higher (+7.3%). The estimate is derived from price and forward P/E captured at the same instant, so a moving share price does not move this number — only a changed forecast does.

A rising estimate means expectations are improving, not that the price has failed to keep up — and estimates get cut as readily as they get raised. It is not part of the Bull Rankings score. Biggest movers across the market →

Shares to buy
157
Position size
$1,994
4.0% of portfolio
Stop price
$9.52
25% below $12.70
$ at risk if stopped
$498.47
budget $500.00 · 1% of portfolio

Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.

DiamondRock Hospitality Company (DRH): score, valuation & FAQ

DiamondRock Hospitality Company (DRH) is a REIT - Hotel & Motel company. As a bank, insurer or REIT it runs on a different financial model from the rest of the market, so Bull Rankings grades it on a sector-appropriate card — price-to-book, dividend yield, payout ratio and cash-flow coverage — rather than the 0–100 quality-growth score used elsewhere. The read below is a transparent screen, not a buy recommendation.

Its strongest graded signals are D/E (B+), while Rev (D+) rate weaker.

Is DRH a good stock to buy?

Bull Rankings grades DRH on a sector-appropriate card — price-to-book, dividend yield, payout and cash-flow coverage — rather than a single quality-growth score. That is driven by D/E (B+). A score is a quantitative screen of DiamondRock Hospitality Company's fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

How does Bull Rankings grade DRH?

As a bank, insurer or REIT, DRH isn't given a quality-growth score — signals like free cash flow, debt-to-equity and P/E don't translate cleanly to a balance-sheet business. Instead it's graded on a sector-appropriate card: price-to-book, dividend yield, payout ratio and operating-cash-flow coverage, where it rates strongest on D/E (B+) and weakest on Rev (D+).

Is DRH overvalued or undervalued?

We don't compute a reliable discounted-cash-flow value for DRH — typically because it is not yet consistently profitable or free-cash-flow positive — so its valuation rests on growth and price-to-sales rather than on earnings-based intrinsic value. Judge it on the trajectory of the business, not a single multiple.

What are the main risks of investing in DRH?

Mature compounder — the risk is paying up for quality at a moment when growth is decelerating. Watch for sequential revenue + margin trends; the inflection from "compounder" to "ex-compounder" is hard to spot until the multiple already started compressing.

New to these metrics? The guides explain free cash flow, how the score works, and more in the learn hub — or run another name through the screener.

Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial advisor.

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