The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.
He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.
He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.
What he found was something that exceeded his most optimistic expectations.
Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.
Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).
Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.
Sotherly Hotels Piotroski F-Score Related Terms
Sotherly Hotels Piotroski F-Score Historical Data
* Premium members only.
The historical data trend for Sotherly Hotels's Piotroski F-Score 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.
SOHO vs AHT, IHT, BHR: Piotroski F-Score Comparison
For the REIT - Hotel & Motel subindustry, Sotherly Hotels's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score 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.
Sotherly Hotels Piotroski F-Score vs REITs Industry
For the REITs industry and Real Estate sector, Sotherly Hotels's Piotroski F-Score distribution charts can be found below:
* The bar in red indicates where Sotherly Hotels's Piotroski F-Score 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.
*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.
Profitability
Question 1. Return on Assets (ROA)
Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.
Score 1 if positive, 0 if negative.
Sotherly Hotels's current Net Income (TTM) was -0.3.
==> Negative ==> Score 0.
Question 2. Cash Flow Return on Assets (CFROA)
Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.
Sotherly Hotels's return on assets of this year was -0.00064103. Sotherly Hotels's return on assets of last year was 0.00412464.
==> Last year is higher ==> Score 0.
Question 4. Quality of Earnings (Accrual)
Compare Cash flow return on assets (2) to return on assets (1)
Sotherly Hotels's gearing of this year was 0.83237355. Sotherly Hotels's gearing of last year was 0.84766958.
==> This year is lower or equal to last year. ==> Score 1.
Question 6. Change in Working Capital (Liquidity)
Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.
Score 1 if this year's current ratio is higher, 0 if it's lower
Sotherly Hotels's current ratio of this year was 1.59226045. Sotherly Hotels's current ratio of last year was 1.62785831.
==> Last year's current ratio is higher ==> Score 0.
Question 7. Change in Shares in Issue
Compare the number of shares in issue this year, to the number in issue last year.
Score 0 if there is larger number of shares in issue this year, 1 otherwise.
Sotherly Hotels's number of shares in issue this year was 20.395. Sotherly Hotels's number of shares in issue last year was 19.434.
==> There is larger number of shares in issue this year. ==> Score 0.
Efficiency
Question 8. Change in Gross Margin
Compare this year's gross margin (Gross Profit divided by sales) to last year's.
Score 1 if this year's gross margin is higher, 0 if it's lower.
Sotherly Hotels's gross margin of this year was 0.24722038. Sotherly Hotels's gross margin of last year was 0.25789883.
==> Last year's gross margin is higher ==> Score 0.
Question 9. Change in asset turnover
Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.
Score 1 if this year's asset turnover ratio is higher, 0 if it's lower
Sotherly Hotels's asset turnover of this year was 0.43154318. Sotherly Hotels's asset turnover of last year was 0.44936895.
==> Last year's asset turnover is higher ==> Score 0.
Evaluation
Piotroski F-Score
=
Que. 1
+
Que. 2
+
Que. 3
+
Que. 4
+
Que. 5
+
Que. 6
+
Que. 7
+
Que. 8
+
Que. 9
=
0
+
1
+
0
+
1
+
1
+
0
+
0
+
0
+
0
=
3
Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3
Sotherly Hotels has an F-score of 3. It is a bad or low score, which usually implies poor business operation.
Sotherly Hotels (SOHO) has a Piotroski F-Score of 3 as of Jul. 05, 2026. The Piotroski F-score grades a company's business operating strength from 0-9. View historical data on Sotherly Hotels and its competitors. This is 40% below median its historical median of 5.00. Over the past decade, Sotherly Hotels' Piotroski F-Score has ranged from 1.00 to 7.00.
Is Sotherly Hotels' Piotroski F-Score too high?
Sotherly Hotels' current Piotroski F-Score of 3 is 40% below median its 10-year median of 5.00. Over the past 10 years, this metric has ranged from a low of 1.00 to a high of 7.00. The REITs industry median Piotroski F-Score is 6.00. Sotherly Hotels' value of 3 is 50% below this industry median. Overall, Sotherly Hotels has a GF Score™ of 45/100, reflecting its overall financial health beyond just this single metric.
How does Sotherly Hotels' Piotroski F-Score compare to AHT and IHT?
Sotherly Hotels' Piotroski F-Score of 3 can be compared against companies in the REITs industry. The industry median Piotroski F-Score is 6.00. Sotherly Hotels' value of 3 is 50% below this benchmark. Historically, Sotherly Hotels' own Piotroski F-Score has ranged from 1.00 to 7.00 over the past decade. While the company's 10-year median is 5.00 vs. the industry median of 6.00, Sotherly Hotels 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 Piotroski F-Score for a REITs company?
The median Piotroski F-Score among REITs companies is 6.00, based on 888 companies in the industry. Companies in the top quartile (top 25%) have a Piotroski F-Score significantly above this median, while those in the bottom quartile fall well below. However, Piotroski F-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sotherly Hotels's current Piotroski F-Score of 3 is 50% 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 Piotroski F-Score mean?
A high Piotroski F-Score can signal that a stock is expensive relative to its fundamentals. The Piotroski F-score grades a company's business operating strength from 0-9. View historical data on Sotherly Hotels and its competitors. For the REITs industry, the median Piotroski F-Score is 6.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sotherly Hotels's current Piotroski F-Score is 3, which is 40% below median its own 10-year median of 5.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sotherly Hotels stock overvalued right now?
Sotherly Hotels (SOHO) has a current Piotroski F-Score of 3. The stock's GF Value™ is $1.36, compared to a current price of $2.25 — trading 65.4% above its estimated fair value. The current Piotroski F-Score is 3, which is 40% below median its 10-year median of 5.00 and 50% below the REITs industry median of 6.00. Sotherly Hotels' overall GF Score™ is 45/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Piotroski F-Score calculated?
Piotroski F-Score is calculated from a company's financial statements. For Sotherly Hotels (SOHO), the current Piotroski F-Score is 3 as of Jul. 05, 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 Sotherly Hotels (SOHO) Overvalued in 2026?
Based on GuruFocus' analysis, Sotherly Hotels stock appears to be overvalued.
The current stock price of $2.25 is trading 65.4% above its estimated GF Value™ of $1.36.
Key valuation signals for SOHO:
Piotroski F-Score: 3 (40% below median its 10-year median of 5.00)
GF Value™: $1.36 vs. price of $2.25 (65.4% above fair value)
No single metric tells the full story. See the SOHO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sotherly Hotels Inc is engaged in Hotel operations. The company is a self-managed and self-administered lodging real estate investment trust that was formed to own, acquire, renovate, and reposition full-service, upscale, and upper-upscale hotel properties located in primary markets in the mid-Atlantic and southern United States. It generates revenue through the rooms, food, beverage, and other services. Geographically, the group has its presence in the regions of Florida, Georgia, Indiana, Maryland, North Carolina, Pennsylvania, Texas, and Virginia.
45GF Score
Get the complete analysis for SOHO
Piotroski F-Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
SOHO has been successfully added to your 
