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The PE Ratio (TTM), or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). As of today (2026-07-25), Choice Hotels International's share price is
€92.50.
Choice Hotels International's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 was €6.36. Therefore, Choice Hotels International's PE Ratio (TTM) for today is 14.55.
The historical rank and industry rank for Choice Hotels International's PE Ratio (TTM) or its related term are showing as below:
FRA:CZH'
s PE Ratio (TTM) Range Over the Past 10 Years
Min: 10.54 Med: 23.26 Max: 161.91
Current: 14.89
During the past 13 years, the highest PE Ratio (TTM) of Choice Hotels International was 161.91. The lowest was 10.54. And the median was 23.26.
FRA:CZH's PE Ratio (TTM) is ranked better than 60.96% of 561
companies
in the Travel & Leisure industry
Industry Median: 17.63
vs FRA:CZH: 14.89
During the past 12 months, Choice Hotels International's average EPS without NRIGrowth Rate was 2.00% per year.
During the past 3 years, the average EPS without NRIGrowth Rate was 9.60% per year.
During the past 5 years, the average EPS without NRIGrowth Rate was 23.10% per year.
During the past 10 years, the average EPS without NRIGrowth Rate was 12.20% per year.
During the past 13 years, Choice Hotels International's highest 3-Year average EPS without NRI Growth Rate was 45.00% per year. The lowest was -8.30% per year. And the median was 9.35% per year.
Choice Hotels International (FRA:CZH) PE Ratio (TTM) Explanation
The PE Ratio (TTM) can be viewed as the number of years it takes for the company to earn back the price you pay for the stock. For example, if a company earns $2 a share per year, and the stock is traded at $30, the PE Ratio (TTM) is 15. Therefore it takes 15 years for the company to earn back the $30 you paid for its stock, assuming the earnings stays constant over the next 15 years.
In real business, earnings never stay constant. If a company can grow its earnings, it takes fewer years for the company to earn back the price you pay for the stock. If a company's earnings decline it takes more years. As a shareholder, you want the company to earn back the price you pay as soon as possible. Therefore, lower P/E stocks are more attractive than higher P/E stocks so long as the PE Ratio (TTM) is positive. Also for stocks with the same PE Ratio (TTM), the one with faster growth business is more attractive.
If a company loses money, the PE Ratio (TTM) becomes meaningless.
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the PE Ratio (TTM) divided by the growth ratio. He thinks a company with a PE Ratio (TTM) equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a PE Ratio (TTM) of 20, instead of a company growing 10% a year with a PE Ratio (TTM) of 10.
Because the PE Ratio (TTM) measures how long it takes to earn back the price you pay, the PE Ratio (TTM) can be applied to the stocks across different industries. That is why it is the one of the most important and widely used indicators for the valuation of stocks.
Investors need to be aware that the PE Ratio (TTM) can be misleading a lot of times, especially when the underlying business is cyclical and unpredictable. As Peter Lynch pointed out, cyclical businesses have higher profit margins at the peaks of the business cycles. Their earnings are high and PE Ratio (TTM)s are artificially low. It is usually a bad idea to buy a cyclical business when the PE Ratio (TTM) is low. A better ratio to identify the time to buy a cyclical businesses is the PS Ratio .
PE Ratio (TTM) can also be affected by non-recurring-items such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio (TTM).
Choice Hotels International PE Ratio (TTM) Related Terms
Choice Hotels International PE Ratio (TTM) 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.
FRA:CZH vs WH, CVEO, GHG: PE Ratio (TTM) Comparison
For the Lodging subindustry, Choice Hotels International's PE Ratio (TTM), along with its competitors' market caps and PE Ratio (TTM) 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 PE Ratio (TTM) vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Choice Hotels International's PE Ratio (TTM) distribution charts can be found below:
* The bar in red indicates where Choice Hotels International's PE Ratio (TTM) falls into.
Choice Hotels International PE Ratio (TTM) Calculation
The PE Ratio (TTM), or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). It is the most widely used ratio in the valuation of stocks.
Choice Hotels International's Share Price of today is €92.50.
Choice Hotels International's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €6.36.
* 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.
It can also be calculated from the numbers for the whole company:
There are at least three kinds of PE Ratio (TTM)s used by different investors. They are Trailing Twelve Month PE Ratio (TTM) or PE Ratio (TTM) (TTM), Forward PE Ratio, or PE Ratio without NRI. A new PE Ratio (TTM) based on inflation-adjusted normalized PE Ratio (TTM) is called Shiller PE Ratio, after Yale professor Robert Shiller.
In the calculation of PE Ratio (TTM), the earnings per share used are the earnings per share over the past 12 months. For Forward PE Ratio, the earnings are the expected earnings for the next twelve months. In the case of PE Ratio without NRI, the reported earnings less the non-recurring items are used.
For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. Since it looks at the average over the last 10 years, Shiller PE Ratio is also called PE10.
Choice Hotels International (FRA:CZH) has a PE Ratio (TTM) of 14.55 as of Jul. 25, 2026. Trailing 12-month P/E ratio is the ratio of share price to a company's trailing 12-month earnings per share. View historical data on Choice Hotels International and its competitors. This is 37% below median its historical median of 23.26. Over the past decade, Choice Hotels International's PE Ratio (TTM) has ranged from 10.54 to 161.91. According to the industry distribution chart, Choice Hotels International ranks #219 out of 561 companies in the Travel & Leisure industry, placing it in the top 39%.
Is Choice Hotels International's PE Ratio (TTM) too high?
Choice Hotels International's current PE Ratio (TTM) of 14.55 is 37% below median its 10-year median of 23.26. Over the past 10 years, this metric has ranged from a low of 10.54 to a high of 161.91. The Travel & Leisure industry median PE Ratio (TTM) is 17.63. Choice Hotels International's value of 14.55 is 17.5% below this industry median. Based on the distribution chart, Choice Hotels International ranks #219 out of 561 companies in the Travel & Leisure industry, which is above the industry midpoint. 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 PE Ratio (TTM) compare to WH and CVEO?
According to the Travel & Leisure industry distribution chart, Choice Hotels International ranks #219 out of 561 companies for PE Ratio (TTM). This puts Choice Hotels International in the upper half of its industry. The industry median PE Ratio (TTM) is 17.63. Choice Hotels International's value of 14.55 is 17.5% below this benchmark. Historically, Choice Hotels International's own PE Ratio (TTM) has ranged from 10.54 to 161.91 over the past decade. While the company's 10-year median is 23.26 vs. the industry median of 17.63, Choice Hotels International 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 PE Ratio (TTM) for a Travel & Leisure company?
The median PE Ratio (TTM) among Travel & Leisure companies is 17.63, based on 561 companies in the industry. Companies in the top quartile (top 25%) have a PE Ratio (TTM) significantly above this median, while those in the bottom quartile fall well below. However, PE Ratio (TTM) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Choice Hotels International's current PE Ratio (TTM) of 14.55 is 17.5% 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 PE Ratio (TTM) mean?
A high PE Ratio (TTM) can signal that a stock is expensive relative to its fundamentals. Trailing 12-month P/E ratio is the ratio of share price to a company's trailing 12-month earnings per share. View historical data on Choice Hotels International and its competitors. For the Travel & Leisure industry, the median PE Ratio (TTM) is 17.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Choice Hotels International's current PE Ratio (TTM) is 14.55, which is 37% below median its own 10-year median of 23.26. 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 PE Ratio (TTM) of 14.55. The stock's GF Value™ is €113.84, compared to a current price of €92.50 — trading 18.7% below its estimated fair value. The current PE Ratio (TTM) is 14.55, which is 37% below median its 10-year median of 23.26 and 17.5% below the Travel & Leisure industry median of 17.63. 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 PE Ratio (TTM) calculated?
PE Ratio (TTM) is calculated from a company's financial statements. For Choice Hotels International (FRA:CZH), the current PE Ratio (TTM) is 14.55 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 18.7% below its estimated GF Value™ of €113.84.
Key valuation signals for FRA:CZH:
PE Ratio (TTM): 14.55 (37% below median its 10-year median of 23.26)
GF Value™: €113.84 vs. price of €92.50 (18.7% below fair value)
Industry Position: 17.5% below the Travel & Leisure median (#219 of 561)
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.
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
Get the complete analysis for FRA:CZH
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