GURUFOCUS.COM » STOCK LIST » Real Estate » REITs » Pebblebrook Hotel Trust (NYSE:PEBPRBCL.PFD) » Definitions » Degree of Operating Leverage

PEBPRBCL.PFD (Pebblebrook Hotel Trust) Degree of Operating Leverage : 65.64 (As of Sep. 2024)


View and export this data going back to 2011. Start your Free Trial

What is Pebblebrook Hotel Trust Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Pebblebrook Hotel Trust's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was 65.64. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Pebblebrook Hotel Trust's Degree of Operating Leverage or its related term are showing as below:

PEBPRBCL.PFD's Degree of Operating Leverage is ranked worse than
93.78% of 740 companies
in the REITs industry
Industry Median: 1.11 vs PEBPRBCL.PFD: 65.64

Pebblebrook Hotel Trust Degree of Operating Leverage Historical Data

The historical data trend for Pebblebrook Hotel Trust's Degree of Operating Leverage can be seen below:

* 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.

* Premium members only.

Pebblebrook Hotel Trust Degree of Operating Leverage Chart

Pebblebrook Hotel Trust Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.48 3.24 -1.02 -1.10 -1,475.04

Pebblebrook Hotel Trust Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -306.16 -1,475.04 83.11 -83.64 65.64

Competitive Comparison of Pebblebrook Hotel Trust's Degree of Operating Leverage

For the REIT - Hotel & Motel subindustry, Pebblebrook Hotel Trust's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating Leverage 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.


Pebblebrook Hotel Trust's Degree of Operating Leverage Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Pebblebrook Hotel Trust's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Pebblebrook Hotel Trust's Degree of Operating Leverage falls into.



Pebblebrook Hotel Trust Degree of Operating Leverage Calculation

Pebblebrook Hotel Trust's Degree of Operating Leverage for the quarter that ended in Sep. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 88.357 (Sep. 2024) / 28.776 (Sep. 2023) - 1 )/( 1449.797 (Sep. 2024) / 1405.467 (Sep. 2023) - 1 )
=2.0705/0.0315
=65.64***

* 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.

** TTM data of EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Pebblebrook Hotel Trust  (NYSE:PEBPRBCL.PFD) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Pebblebrook Hotel Trust Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Pebblebrook Hotel Trust's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Pebblebrook Hotel Trust Business Description

Traded in Other Exchanges
Address
4747 Bethesda Avenue, Suite 1100, Bethesda, MD, USA, 20814
Pebblebrook Hotel Trust currently owns upper upscale and luxury hotels with 11,924 rooms across 46 hotels in the United States. Pebblebrook acquired LaSalle Hotel Properties, which owned 10,451 rooms across 41 US hotels, in November 2018, though management has sold many of those hotels over the past few years. Pebblebrook's portfolio consists mostly of independent hotels with no brand affiliations, though the combined company does own and operate some hotels under Marriott, Starwood, InterContinental, Hilton, and Hyatt brands.
Executives
Bonny W Simi director 4747 BETHESDA AVENUE, SUITE 1100, BETHESDA MD 20814
Phillip M. Miller director 2 BETHESDA METRO CENTER, SUITE 1530, BETHESDA MD 20814
Thomas Charles Fisher officer: CIO 4747 BETHESDA AVENUE, SUITE 1100, BETHESDA MD 20814
Martin H. Nesbitt director 10319 WESTLAKE DRIVE, SUITE 112, BETHESDA MD 20817
Laura Wright director 2702 LOVE FIELD DRIVE, P.O. BOX 36611, DALLAS TX 75235-1611
Michael J Schall director C/O ESSEX PROPERTY TRUST, 1100 PARK PLACE, SUITE 200, SAN MATEO CA 94403
Cydney Donnell director MAYS BUSINESS SCHOOL AT TEXAS A&M UNIV, DEPARTMENT OF FINANCE, 306 WEHNER BLDG, COLLEGE STATION TX 77843-4218
Earl E Webb director AVISON YOUNG, 400 SKOKIE BLVD., SUITE 825, NORTHBROOK IL 60062
Raymond D Martz officer: Executive VP, and CFO 4747 BETHESDA AVENUE, SUITE 1100, BETHESDA MD 20814
Ron E. Jackson director 10319 WESTLAKE DRIVE, SUITE 112, BETHESDA MD 20817
Jon E Bortz director, 10 percent owner, officer: Chairman, President and CEO 4747 BETHESDA AVENUE, SUITE 1100, BETHESDA MD 20814