Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Diamondrock Hospitality CoFRA:HBO +2.70%66 Cash Ratio is 0.31 as of Jun. 2026, which is 6% below its 10-year median of 0.33. GuruFocus rates FRA:HBO with a GF Score™ of 66/100 and a GF Value™ of €8.03 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 727 REITs companies, Diamondrock Hospitality Co ranks worse than 53.65% on this metric.
Diamondrock Hospitality Co has a Cash Ratio of 0.31. It indicates that there are more current liabilities than Cash, Cash Equivalents, Marketable Securities, and the company does not have sufficient cash on hand to pay off its short-term debt.
The historical rank and industry rank for Diamondrock Hospitality Co's Cash Ratio or its related term are showing as below:
FRA:HBO'
s Cash Ratio Range Over the Past 10 Years
Min: 0.09 Med: 0.33 Max: 1.39
Current: 0.31
During the past 13 years, Diamondrock Hospitality Co's highest Cash Ratio was 1.39. The lowest was 0.09. And the median was 0.33.
FRA:HBO's Cash Ratio is ranked worse than 53.65% of 727
companies
in the REITs industry
Industry Median: 0.36
vs FRA:HBO: 0.31
Diamondrock Hospitality Co (FRA:HBO) Cash Ratio Explanation
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
Diamondrock Hospitality Co Cash Ratio Related Terms
Diamondrock Hospitality Co Cash Ratio Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the REIT - Hotel & Motel subindustry, Diamondrock Hospitality Co's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Diamondrock Hospitality Co Cash Ratio vs REITs Industry
For the REITs industry and Real Estate sector, Diamondrock Hospitality Co's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Diamondrock Hospitality Co's Cash Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Diamondrock Hospitality Co (FRA:HBO) has a Cash Ratio of 0.31 as of Jun. 2026. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Diamondrock Hospitality Co and its competitors. This is near median its historical median of 0.33. Over the past decade, Diamondrock Hospitality Co's Cash Ratio has ranged from 0.09 to 1.39. According to the industry distribution chart, Diamondrock Hospitality Co ranks #390 out of 727 companies in the REITs industry, placing it in the top 53.6%.
Is Diamondrock Hospitality Co's Cash Ratio too high?
Diamondrock Hospitality Co's current Cash Ratio of 0.31 is near median its 10-year median of 0.33. Over the past 10 years, this metric has ranged from a low of 0.09 to a high of 1.39. The REITs industry median Cash Ratio is 0.36. Diamondrock Hospitality Co's value of 0.31 is 13.9% below this industry median. Based on the distribution chart, Diamondrock Hospitality Co ranks #390 out of 727 companies in the REITs industry, which is below the industry midpoint. Overall, Diamondrock Hospitality Co has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Diamondrock Hospitality Co's Cash Ratio compare to PK and SHO?
According to the REITs industry distribution chart, Diamondrock Hospitality Co ranks #390 out of 727 companies for Cash Ratio. This places Diamondrock Hospitality Co in the lower half of its industry. The industry median Cash Ratio is 0.36. Diamondrock Hospitality Co's value of 0.31 is 13.9% below this benchmark. Historically, Diamondrock Hospitality Co's own Cash Ratio has ranged from 0.09 to 1.39 over the past decade. While the company's 10-year median is 0.33 vs. the industry median of 0.36, Diamondrock Hospitality Co has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Ratio for a REITs company?
The median Cash Ratio among REITs companies is 0.36, based on 727 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Diamondrock Hospitality Co's current Cash Ratio of 0.31 is 13.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Diamondrock Hospitality Co and its competitors. For the REITs industry, the median Cash Ratio is 0.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Diamondrock Hospitality Co's current Cash Ratio is 0.31, which is near median its own 10-year median of 0.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Diamondrock Hospitality Co stock overvalued right now?
Based on GuruFocus' analysis, Diamondrock Hospitality Co (FRA:HBO) is currently considered Significantly Overvalued. The stock's GF Value™ is €8.03, compared to a current price of €11.40 — trading 42% above its estimated fair value. The current Cash Ratio is 0.31, which is near median its 10-year median of 0.33 and 13.9% below the REITs industry median of 0.36. Diamondrock Hospitality Co's overall GF Score™ is 66/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For Diamondrock Hospitality Co (FRA:HBO), the current Cash Ratio is 0.31 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Diamondrock Hospitality Co (FRA:HBO) Overvalued in 2026?
Based on GuruFocus' analysis, Diamondrock Hospitality Co stock appears to be overvalued.
The current stock price of €11.40 is trading 42% above its estimated GF Value™ of €8.03.
GuruFocus considers Diamondrock Hospitality Co to be Significantly Overvalued.
Key valuation signals for FRA:HBO:
Cash Ratio: 0.31 (near median its 10-year median of 0.33)
GF Value™: €8.03 vs. price of €11.40 (42% above fair value)
Industry Position: 13.9% below the REITs median (#390 of 727)
No single metric tells the full story. See the FRA:HBO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Diamondrock Hospitality Company is a real estate investment trust that owns lodging properties. Its business is to acquire, own, manage, and renovate full-service hotel properties in the United States. It operates in cities such as Chicago, Boston, New York, Denver, and others. Within DiamondRock's holdings, the majority of the hotel brands include Marriott, Starwood, and Hilton. The company operates in one reportable segment: The hotel ownership segment, which is comprised of upper upscale and luxury chain scale hotels that offer hotel rooms, food and beverage and other ancillary guest services.
66GF Score
Get the complete analysis for FRA:HBO
Cash Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:HBO has been successfully added to your 
