Choice Hotels International (FRA:CZH) Moat Score: 7/10 (As of Jul. 25, 2026)

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FRA:CZH Choice Hotels International Inc FRA:CZH
84 GF Score
Price €92.50
GF Value €113.85
! 4 Warning Signs
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What is Choice Hotels International Moat Score?

Choice Hotels International FRA:CZH +0.54% 84 Moat Score is 7 as of Jul. 25, 2026. GuruFocus rates FRA:CZH with a GF Score™ of 84/100 and a GF Value™ of €113.85. The stock has 4 warning signs investors should review. Among 873 Travel & Leisure companies, Choice Hotels International ranks better than 99.43% on this metric.

Choice Hotels International has the Moat Score of 7, which implies that the company might have Wide Moat - Entry-level wide moat, clearly possessing durable advantages.

Choice Hotels International has Wide Moat: Choice Hotels International Inc possesses a wide moat with strong brand strength, a superior distribution network, and significant customer loyalty. It benefits from economies of scale and durable cost advantages, providing it with sustainable pricing power and a robust competitive position.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Choice Hotels International might have Wide Moat - Entry-level wide moat, clearly possessing durable advantages.


Choice Hotels International  (FRA:CZH) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Choice Hotels International Moat Score Related Terms


FRA:CZH vs WH, CVEO, GHG: Moat Score Comparison

For the Lodging subindustry, Choice Hotels International's Moat Score, along with its competitors' market caps and Moat 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.


Choice Hotels International Moat Score vs Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Choice Hotels International's Moat Score distribution charts can be found below:

* The bar in red indicates where Choice Hotels International's Moat Score falls into.


FRA:CZH
84GF Score
Choice Hotels International Inc FRA:CZH
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 7 mean?
Choice Hotels International (FRA:CZH) has a Moat Score of 7 as of Jul. 25, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Choice Hotels International ranks #5 out of 873 companies in the Travel & Leisure industry, placing it in the top 0.59999999999999%.
Is Choice Hotels International's Moat Score too high?
Choice Hotels International's current Moat Score is 7. Based on the distribution chart, Choice Hotels International ranks #5 out of 873 companies in the Travel & Leisure industry, which is in the top quartile — a strong position relative to peers. Overall, Choice Hotels International has a GF Score™ of 84/100, reflecting its overall financial health beyond just this single metric.
How does Choice Hotels International's Moat Score compare to WH and CVEO?
According to the Travel & Leisure industry distribution chart, Choice Hotels International ranks #5 out of 873 companies for Moat Score. This places Choice Hotels International in the top 1% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Travel & Leisure company?
A good Moat Score depends on the Travel & Leisure industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Choice Hotels International's current Moat Score is 7. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Choice Hotels International stock overvalued right now?
Choice Hotels International (FRA:CZH) has a current Moat Score of 7. The stock's GF Value™ is €113.85, compared to a current price of €92.50 — trading 18.8% below its estimated fair value. The current Moat Score is 7. Choice Hotels International's overall GF Score™ is 84/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Choice Hotels International (FRA:CZH), the current Moat Score is 7 as of Jul. 25, 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 Choice Hotels International (FRA:CZH) Overvalued in 2026?

Based on GuruFocus' analysis, Choice Hotels International stock appears to be undervalued. The current stock price of €92.50 is trading 18.8% below its estimated GF Value™ of €113.85.

Key valuation signals for FRA:CZH:

  • Moat Score: 7
  • GF Value™: €113.85 vs. price of €92.50 (18.8% below fair value)
  • GF Score™: 84/100 with 4 warning signs

No single metric tells the full story. See the FRA:CZH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Choice Hotels International Business Description

Other Exchanges CHH:USACZH:Germany
Address 915 Meeting Street, Suite 600, North Bethesda, MD, USA, 20852
At year-end 2025, Choice Hotels operated 657,000 rooms across the economy, midscale, upscale, and extended-stay segments. Comfort Inn and Comfort Suites are the largest brands (27% of the company's total rooms), while Ascend and Cambria (10%) are lifestyle and select-service brands, and WoodSpring (5%) is the company's largest extended-stay brand. Choice closed on its Radisson acquisition in August 2022, which added about 70,000 rooms. Franchises account for 100% of total revenue, and the United States represented 78% of total rooms in 2025.
84GF Score

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

€92.50
Price
€113.85
GF Value