Diamondrock Hospitality Co (FRA:HBO) EV-to-EBIT: 17.82 (As of Aug. 03, 2026) — 16% Below Median

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FRA:HBO Diamondrock Hospitality Co FRA:HBO
65 GF Score
Price €11.40
GF Value €8.03
Valuation Significantly Overvalued
! 8 Warning Signs
View Full Analysis

What is Diamondrock Hospitality Co EV-to-EBIT?

Diamondrock Hospitality Co FRA:HBO +2.70% 65 EV-to-EBIT is 17.82 as of Aug. 03, 2026, which is 16% below its 10-year median of 21.20. GuruFocus rates FRA:HBO with a GF Score™ of 65/100 and a GF Value™ of €8.03 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 656 REITs companies, Diamondrock Hospitality Co ranks better than 51.52% on this metric.

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Diamondrock Hospitality Co's Enterprise Value is €3,301.7 Mil. Diamondrock Hospitality Co's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was €185.3 Mil. Therefore, Diamondrock Hospitality Co's EV-to-EBIT for today is 17.82.

The historical rank and industry rank for Diamondrock Hospitality Co's EV-to-EBIT or its related term are showing as below:

FRA:HBO' s EV-to-EBIT Range Over the Past 10 Years
Min: -21.75   Med: 21.2   Max: 152.62
Current: 17.7

During the past 13 years, the highest EV-to-EBIT of Diamondrock Hospitality Co was 152.62. The lowest was -21.75. And the median was 21.20.

FRA:HBO's EV-to-EBIT is ranked better than
51.52% of 656 companies
in the REITs industry
Industry Median: 18.18 vs FRA:HBO: 17.70

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Diamondrock Hospitality Co's Enterprise Value for the quarter that ended in Jun. 2026 was €3,118.9 Mil. Diamondrock Hospitality Co's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was €185.3 Mil. Diamondrock Hospitality Co's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jun. 2026 was 5.94%.


Diamondrock Hospitality Co  (FRA:HBO) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

Diamondrock Hospitality Co's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jun. 2026 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Jun. 2026 ) =EBIT / Enterprise Value (Q: Jun. 2026 )
=185.301/3118.9476
=5.94 %

Diamondrock Hospitality Co's Enterprise Value for the quarter that ended in Jun. 2026 was €3,118.9 Mil.
Diamondrock Hospitality Co's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €185.3 Mil.

* 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 EV-to-EBIT Related Terms


Diamondrock Hospitality Co EV-to-EBIT Historical Data

* Premium members only.

The historical data trend for Diamondrock Hospitality Co's EV-to-EBIT 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.

Diamondrock Hospitality Co EV-to-EBIT Chart

Diamondrock Hospitality Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only -20.43 19.41 21.25 26.31 18.28

Diamondrock Hospitality Co Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
EV-to-EBIT 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 20.29 21.26 18.28 18.68 16.69

FRA:HBO vs PK, SHO, PEB: EV-to-EBIT Comparison

For the REIT - Hotel & Motel subindustry, Diamondrock Hospitality Co's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT 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 EV-to-EBIT vs REITs Industry

For the REITs industry and Real Estate sector, Diamondrock Hospitality Co's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Diamondrock Hospitality Co's EV-to-EBIT falls into.


FRA:HBO
65GF Score
Diamondrock Hospitality Co FRA:HBO
EV-to-EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Diamondrock Hospitality Co EV-to-EBIT Calculation

Diamondrock Hospitality Co's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=3301.654/185.301
=17.82

Diamondrock Hospitality Co's current Enterprise Value is €3,301.7 Mil.
Diamondrock Hospitality Co's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €185.3 Mil.

* 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.

Frequently Asked Questions Learn more about EV-to-EBIT →
What does a EV-to-EBIT of 17.82 mean?
Diamondrock Hospitality Co (FRA:HBO) has a EV-to-EBIT of 17.82 as of Aug. 03, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Diamondrock Hospitality Co and its competitors. This is 16% below median its historical median of 21.20. According to the industry distribution chart, Diamondrock Hospitality Co ranks #318 out of 656 companies in the REITs industry, placing it in the top 48.5%.
Is Diamondrock Hospitality Co's EV-to-EBIT too high?
Diamondrock Hospitality Co's current EV-to-EBIT of 17.82 is 16% below median its 10-year median of 21.20. The REITs industry median EV-to-EBIT is 18.18. Diamondrock Hospitality Co's value of 17.82 is 2% below this industry median. Based on the distribution chart, Diamondrock Hospitality Co ranks #318 out of 656 companies in the REITs industry, which is above the industry midpoint. Overall, Diamondrock Hospitality Co has a GF Score™ of 65/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Diamondrock Hospitality Co's EV-to-EBIT compare to PK and SHO?
According to the REITs industry distribution chart, Diamondrock Hospitality Co ranks #318 out of 656 companies for EV-to-EBIT. This puts Diamondrock Hospitality Co in the upper half of its industry. The industry median EV-to-EBIT is 18.18. Diamondrock Hospitality Co's value of 17.82 is 2% below this benchmark. While the company's 10-year median is 21.20 vs. the industry median of 18.18, 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 EV-to-EBIT for a REITs company?
The median EV-to-EBIT among REITs companies is 18.18, based on 656 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Diamondrock Hospitality Co's current EV-to-EBIT of 17.82 is 2% 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 EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Diamondrock Hospitality Co and its competitors. For the REITs industry, the median EV-to-EBIT is 18.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Diamondrock Hospitality Co's current EV-to-EBIT is 17.82, which is 16% below median its own 10-year median of 21.20. 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 EV-to-EBIT is 17.82, which is 16% below median its 10-year median of 21.20 and 2% below the REITs industry median of 18.18. Diamondrock Hospitality Co's overall GF Score™ is 65/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Diamondrock Hospitality Co (FRA:HBO), the current EV-to-EBIT is 17.82 as of Aug. 03, 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:

  • EV-to-EBIT: 17.82 (16% below median its 10-year median of 21.20)
  • GF Value™: €8.03 vs. price of €11.40 (42% above fair value)
  • GF Score™: 65/100 with 8 warning signs
  • Industry Position: 2% below the REITs median (#318 of 656)

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 Co Business Description

Industry Real EstateREITs
Other Exchanges DRH:USA
Address 7373 Wisconsin Avenue, Suite 1400, Bethesda, MD, USA, 20814
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.
65GF Score

Get the complete analysis for FRA:HBO

EV-to-EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€11.40
Price
€8.03
GF Value