Sunstone Hotel InvestorsSHO -0.85%80 EBITDA Margin % is 25.11% as of Mar. 2026, which is 14% below its 10-year median of 29.31. GuruFocus rates SHO with a GF Score™ of 80/100 and a GF Value™ of $10.90 (Fairly Valued). The stock has 9 warning signs investors should review. Among 750 REITs companies, Sunstone Hotel Investors ranks worse than 85.87% on this metric.
Sunstone Hotel Investors (NYSE:SHO) EBITDA Margin % Explanation
EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.
Sunstone Hotel Investors EBITDA Margin % Related Terms
Sunstone Hotel Investors EBITDA Margin % 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, Sunstone Hotel Investors's EBITDA Margin %, along with its competitors' market caps and EBITDA Margin % 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.
Sunstone Hotel Investors EBITDA Margin % vs REITs Industry
For the REITs industry and Real Estate sector, Sunstone Hotel Investors's EBITDA Margin % distribution charts can be found below:
* The bar in red indicates where Sunstone Hotel Investors's EBITDA Margin % 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.
Sunstone Hotel Investors (SHO) has a EBITDA Margin % of 25.11% as of Mar. 2026. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Sunstone Hotel Investors and its competitors. This is 14% below median its historical median of 29.31. According to the industry distribution chart, Sunstone Hotel Investors ranks #644 out of 750 companies in the REITs industry, placing it in the top 85.9%.
Is Sunstone Hotel Investors' EBITDA Margin % too high?
Sunstone Hotel Investors' current EBITDA Margin % of 25.11% is 14% below median its 10-year median of 29.31. The REITs industry median EBITDA Margin % is 69.61. Sunstone Hotel Investors' value of 25.11% is 63.9% below this industry median. Based on the distribution chart, Sunstone Hotel Investors ranks #644 out of 750 companies in the REITs industry, which is in the bottom quartile relative to peers. Overall, Sunstone Hotel Investors has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Sunstone Hotel Investors' EBITDA Margin % compare to DRH and PEB?
According to the REITs industry distribution chart, Sunstone Hotel Investors ranks #644 out of 750 companies for EBITDA Margin %. This places Sunstone Hotel Investors in the lower half of its industry. The industry median EBITDA Margin % is 69.61. Sunstone Hotel Investors' value of 25.11% is 63.9% below this benchmark. While the company's 10-year median is 29.31 vs. the industry median of 69.61, Sunstone Hotel Investors 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 EBITDA Margin % for a REITs company?
The median EBITDA Margin % among REITs companies is 69.61, based on 750 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sunstone Hotel Investors's current EBITDA Margin % of 25.11% is 63.9% 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 EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Sunstone Hotel Investors and its competitors. For the REITs industry, the median EBITDA Margin % is 69.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sunstone Hotel Investors's current EBITDA Margin % is 25.11%, which is 14% below median its own 10-year median of 29.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sunstone Hotel Investors stock overvalued right now?
Based on GuruFocus' analysis, Sunstone Hotel Investors (SHO) is currently considered Fairly Valued. The stock's GF Value™ is $10.90, compared to a current price of $11.64 — trading 6.8% above its estimated fair value. The current EBITDA Margin % is 25.11%, which is 14% below median its 10-year median of 29.31 and 63.9% below the REITs industry median of 69.61. Sunstone Hotel Investors' overall GF Score™ is 80/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For Sunstone Hotel Investors (SHO), the current EBITDA Margin % is 25.11% as of Mar. 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 Sunstone Hotel Investors (SHO) Overvalued in 2026?
Based on GuruFocus' analysis, Sunstone Hotel Investors stock appears to be overvalued.
The current stock price of $11.64 is trading 6.8% above its estimated GF Value™ of $10.90.
GuruFocus considers Sunstone Hotel Investors to be Fairly Valued.
Key valuation signals for SHO:
EBITDA Margin %: 25.11% (14% below median its 10-year median of 29.31)
GF Value™: $10.90 vs. price of $11.64 (6.8% above fair value)
Industry Position: 63.9% below the REITs median (#644 of 750)
No single metric tells the full story. See the SHO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sunstone Hotel Investors Inc is a real estate investment trust that acquires, owns, manages, and renovates the full-service hotel and select-service hotel properties across various states in the United States. Its firm's portfolio consists upper upscale and luxury hotels located in convention, resort destination and urban markets. Its majority of the hotels operate under a brand owned by Marriott, Hilton, Hyatt, Four Seasons or Montage. It operates geographically in California which generates the majority of its revenue; Florida; and Hawaii. The company's sole source of income is hotel revenue from its Hotel Ownership Segment.
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