Hostelworld Group (LSE:HSW) Moat Score: 3/10 (As of Jul. 05, 2026)


LSE:HSW Hostelworld Group PLC LSE:HSW
82 GF Score
Price £1.08
GF Value £1.45
Valuation Modestly Undervalued
! 1 Warning Sign
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What is Hostelworld Group Moat Score?

Hostelworld Group LSE:HSW -0.92% 82 Moat Score is 3 as of Jul. 05, 2026. GuruFocus rates LSE:HSW with a GF Score™ of 82/100 and a GF Value™ of £1.45 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 879 Travel & Leisure companies, Hostelworld Group ranks better than 84.41% on this metric.

Hostelworld Group has the Moat Score of 3, which implies that the company might have No Moat - Very weak/transient advantages.

Hostelworld Group has No Moat: Hostelworld operates in a highly competitive online travel market with low switching costs and limited brand differentiation. It lacks significant intellectual property or regulatory barriers, and its market share is not dominant enough to ensure sustainable advantages.

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 Hostelworld Group might have No Moat - Very weak/transient advantages.

Hostelworld Group  (LSE:HSW) 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

Hostelworld Group Moat Score Related Terms

LSE:HSW vs BKNG, ABNB, RCL: Moat Score Comparison

For the Travel Services subindustry, Hostelworld Group'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.

Hostelworld Group Moat Score vs Travel & Leisure Industry

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

* The bar in red indicates where Hostelworld Group's Moat Score falls into.


LSE:HSW
82GF Score
Hostelworld Group PLC LSE:HSW
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 3 mean?
Hostelworld Group (LSE:HSW) has a Moat Score of 3 as of Jul. 05, 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, Hostelworld Group ranks #137 out of 879 companies in the Travel & Leisure industry, placing it in the top 15.6%.
Is Hostelworld Group's Moat Score too high?
Hostelworld Group's current Moat Score is 3. Based on the distribution chart, Hostelworld Group ranks #137 out of 879 companies in the Travel & Leisure industry, which is in the top quartile — a strong position relative to peers. Overall, Hostelworld Group has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hostelworld Group's Moat Score compare to BKNG and ABNB?
According to the Travel & Leisure industry distribution chart, Hostelworld Group ranks #137 out of 879 companies for Moat Score. This places Hostelworld Group in the top 16% 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. Hostelworld Group's current Moat Score is 3. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hostelworld Group stock overvalued right now?
Based on GuruFocus' analysis, Hostelworld Group (LSE:HSW) is currently considered Modestly Undervalued. The stock's GF Value™ is £1.45, compared to a current price of £1.08 — trading 25.5% below its estimated fair value. The current Moat Score is 3. Hostelworld Group's overall GF Score™ is 82/100 with 1 warning sign 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 Hostelworld Group (LSE:HSW), the current Moat 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 Hostelworld Group (LSE:HSW) Overvalued in 2026?

Based on GuruFocus' analysis, Hostelworld Group stock appears to be undervalued. The current stock price of £1.08 is trading 25.5% below its estimated GF Value™ of £1.45. GuruFocus considers Hostelworld Group to be Modestly Undervalued.

Key valuation signals for LSE:HSW:

  • Moat Score: 3
  • GF Value™: £1.45 vs. price of £1.08 (25.5% below fair value)
  • GF Score™: 82/100 with 1 warning sign

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

Hostelworld Group Business Description

Address Charlemont Street, Floor 3, Charlemont Exchange, Dublin, IRL, D02 VN88
Hostelworld Group PLC is a social network-powered Online Travel Agent (OTA) focused on the hostel market. It has developed and promoted the Hostelworld brand, operating a two-sided marketplace focused on the hostelling category. The Hostel partners load their bed inventory to the company's platform, which it markets to customers via its website and mobile Android and iOS apps. In addition, the Hostelworld platform has a series of social features on its platform that connect travellers in hostels and cities based on their booking data. Geographically, it derives maximum revenue from Europe, followed by Asia, Africa and Oceania, and the Americas.
82GF Score

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

£1.08
Price
£1.45
GF Value