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Pebblebrook Hotel Trust (FRA:PD0) Financial Strength : 4 (As of Mar. 2024)


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What is Pebblebrook Hotel Trust Financial Strength?

Pebblebrook Hotel Trust has the Financial Strength Rank of 4.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

Pebblebrook Hotel Trust did not have earnings to cover the interest expense. Pebblebrook Hotel Trust's debt to revenue ratio for the quarter that ended in Mar. 2024 was 2.01. As of today, Pebblebrook Hotel Trust's Altman Z-Score is 0.26.


Competitive Comparison of Pebblebrook Hotel Trust's Financial Strength

For the REIT - Hotel & Motel subindustry, Pebblebrook Hotel Trust's Financial Strength, along with its competitors' market caps and Financial Strength 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.


Pebblebrook Hotel Trust's Financial Strength Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Pebblebrook Hotel Trust's Financial Strength distribution charts can be found below:

* The bar in red indicates where Pebblebrook Hotel Trust's Financial Strength falls into.



Pebblebrook Hotel Trust Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Pebblebrook Hotel Trust's Interest Expense for the months ended in Mar. 2024 was €-24 Mil. Its Operating Income for the months ended in Mar. 2024 was €-5 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was €2,285 Mil.

Pebblebrook Hotel Trust's Interest Coverage for the quarter that ended in Mar. 2024 is

Pebblebrook Hotel Trust did not have earnings to cover the interest expense.

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Pebblebrook Hotel Trust's Debt to Revenue Ratio for the quarter that ended in Mar. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(39.88 + 2285.236) / 1155.772
=2.01

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Pebblebrook Hotel Trust has a Z-score of 0.26, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 0.26 is in distress zone. This implies bankruptcy possibility in the next two years.

* 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.


Pebblebrook Hotel Trust  (FRA:PD0) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Pebblebrook Hotel Trust has the Financial Strength Rank of 4.


Pebblebrook Hotel Trust Financial Strength Related Terms

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Pebblebrook Hotel Trust (FRA:PD0) Business Description

Traded in Other Exchanges
Address
4747 Bethesda Avenue, Suite 1100, Bethesda, MD, USA, 20814
Pebblebrook Hotel Trust currently owns upper-upscale and luxury hotels with 12,134 rooms across 47 hotels in the United States. Pebblebrook acquired LaSalle Hotel Properties, which owned 10,451 rooms across 41 U.S. hotels, in December 2018, though management has sold many of those hotels over the past few years. Pebblebrook's portfolio consists mostly of independent hotels with no brand affiliations, though the combined company does own and operate some hotels under Marriott, Starwood, InterContinental, Hilton, and Hyatt brands.

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