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Diamondrock Hospitality Company

DRH

Last
$12.62
Day
+0.2%
1y
+64.5%
5y
+31.1%
52w
-8.6%
SPY YTD
+13.3%
XLRE
+1.2%
Earnings
2026-11-0323d
EMA 21
12.43
EMA 50
12.36
EMA 200
11.19
20d high
-2.4%
5y high
-8.6%
5y range
84th
Website · 35 employees · United States

Positions held

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Score
28
Hold
swing
Signal
Buy
Target
$13.50
Stop
$12.15
Stop distance
3.7%
Target vs last
+7.0%

Bull / bear case

Site-generated summary from fundamentals, news, and score — not investment advice. As of 2026-10-08.

Bull case
  • Diamondrock Hospitality Company is well-positioned in the hotel and motel REIT sector, benefiting from a recovering travel industry and increasing demand for accommodations.
  • In Q2 2026, revenue increased by 23% compared to the previous quarter, reaching $318 million.
  • The gross margin improved to 60.9%, up from 54.4% in the prior quarter.
Bear case
  • The company faces challenges with a high debt-to-equity ratio of 78.244, which may impact financial stability during economic downturns.
  • In 2025, the operating margin was only 14.4%, indicating potential inefficiencies in cost management.
  • The forward P/E ratio stands at 20.97, suggesting that the stock may be overvalued relative to its earnings growth potential.

Fundamentals

Market cap$2.59BEnterprise value$3.67BTrailing P/E17.50Forward P/E21.36
PEG2.52Price / book1.69Beta1.03Dividend yield3.49%
Revenue growth4.1%Earnings growth144.4%Gross margin29.5%Operating margin23.0%
Profit margin13.5%ROE9.9%ROA3.8%Debt / equity0.78
Current ratio5.59Free cash flow$76.13MAnalyst recommendationbuyMean target$13.96
52w high$13.7952w low$7.48

Quarterly

2026-Q22026-Q12025-Q42025-Q32025-Q22025-Q1
Revenue$318M$258M$275M$285M$306M—
Op margin23.0%11.1%13.1%15.7%18.4%—
Net income$90.5M$14.5M$26.2M$22.5M$40.8M—
Gross margin60.9%54.4%55.2%55.9%56.4%—
Gross profit$194M$140M$152M$160M$172M—
Operating income$73.3M$28.6M$36.0M$44.8M$56.1M—
  • Revenue +23% vs prior quarter ($318M vs $258M).
  • Gross margin 60.9% (was 54.4% prior quarter).
  • Operating margin expanded to 23%.

Yearly (6y)

20252024202320222021
Revenue$1.1B$1.1B$1.1B$1.0B—
Op margin14.4%12.7%13.7%16.2%—
Net income$101M$48.0M$86.3M$109M—
Gross margin55.2%54.7%54.7%56.8%—
Gross profit$618M$618M$588M$569M—
Operating income$162M$143M$148M$162M—
Headline scan

No flags

• No distress or material-risk keywords in recent headlines (keyword scan only — not a guarantee).

News

DRH · daily+2.4% over 13 sessions
Close EMA21 EMA50 EMA200
12.0812.2912.5112.7312.952026-092026-092026-092026-092026-102026-102026-10
Quarterly · revenue, net income, margins
Revenue Net income Gross margin Op margin
$0M$80M$159M$239M$318M0%30%61%2025-Q22025-Q32025-Q42026-Q12026-Q2