Choice Hotels International acquires Harvest Hosts for $130M, aiming to leverage RV travel data and cross-sell to its loyalty base. CHH maintains FY 2026 adjusted EBITDA guidance of $635–$650M and buybacks of $175–$225M, with post-deal leverage at ~3.4x EBITDA. Valuation scenarios yield a midpoint price target of $122.68 (~20% upside), supporting a 'Buy' rating versus Wall Street's 'Hold.'
Choice Hotels is acquiring Harvest Hosts for about $130 million, expanding into RV travel and extending its asset-light strategy beyond traditional lodging.
Choice Hotels International, Inc. (CHH) Presents at Bank of America Gaming and Lodging Conference 2026 Transcript
Choice Hotels (CHH) reported earnings 30 days ago. What's next for the stock?
Choice Hotels International (CHH) has struggled over the past year, with the market seemingly focused on the transient headwinds affecting its U.S. business. CHH's business model is attractive. Its largely franchised system drives recurring royalty revenue, with key metrics being the royalty rate, system room count, and RevPAR. CHH's recent results show signs of improvement, with U.S. RevPAR and system growth both at their strongest levels in several quarters.
Choice Hotels International remains a Buy based on my assessment of its quarterly results and updated full-year outlook. CHH's Q2 2026 EBITDA rose 6.3% YoY to $175.4M, with EPS up 5.2%, reflecting superior domestic royalty pricing, international portfolio expansion, and non-room platform monetization. Management raised FY2026 EBITDA guidance midpoint to $642.5M, and also increased its U.S. royalty rate and global net unit growth targets for the current year.
Choice Hotels International NYSE: CHH reported second-quarter results marked by higher adjusted EBITDA, improving U.S. room-growth trends and an increase in full-year guidance for several operating measures.
Choice Hotels International, Inc. (CHH) Q2 2026 Earnings Call Transcript
Although the revenue and EPS for Choice Hotels (CHH) give a sense of how its business performed in the quarter ended June 2026, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Choice Hotels (CHH) came out with quarterly earnings of $2.02 per share, beating the Zacks Consensus Estimate of $1.97 per share. This compares to earnings of $1.92 per share a year ago.
Choice Hotels (CHH) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Baron Focused Growth Fund had a disappointing start to 2026, with a decline of 4.99% (Institutional Shares) compared with a 3.52% loss for the Russell 2500 Growth Index (the Benchmark). Top contributors were Space Exploration Technologies Corp., FIGS, Inc., and Choice Hotels International, Inc. Top detractors were Tesla, Inc., CoStar Group, Inc., and On Holding AG.