H World Group (FRA:CL4) Risk Assessment

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:CL4 H World Group Ltd FRA:CL4
82 GF Score
Price €3.66
GF Value €3.91
! 1 Warning Sign
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What is H World Group Risk Assessment?

Risk Assessment represents the investment risk of a stock derived from our exclusive method. It suggests how risky the investment opportunity is based on the valuation and the fundamental performance of the stock. It is derived from following key aspects:

1. GuruFocus internally developed valuations of the stock, such as GF valuation.
2. Quality Rank, a business quality indicator developed by GuruFocus.
3. Fundamental performance: Piotroski F-Score, Altman Z-Score, Beneish M-Score, etc.
4. Growth opportunities: 5-year revenue growth rate, 5-Year EPS without NRI Growth Rate, etc.

Value investors are always willing to find undervalued stocks. However, not all the undervalued stocks are good deals, we should also be careful of how risky the investment opportunity is. We believe that if the company's financial strength and profitability are strong, and the stock price is within a reasonable range of the GF valuation, or stock has a high return with its price being undervalued, then it might be a good investment opportunity with low risk.

Based on those aspects listed above, GuruFocus believes the risk assessment of H World Group is: No Data: Cannot be evaluated.

H World Group  (FRA:CL4) Risk Assessment Explanation

Based on the four aspects listed above, GuruFocus provides the following 7 evaluations:

All-in-One Screener Examples (1)
Low Risk: Strong fundamentals, worth long-term holding
Moderate Risk: Sensitive, better choose undervalued stock
High Risk: High uncertainty with risk-return tradeoff
High Risk: Good fundamentals, beware of shrinking business
High Risk: Sensitive to economic or industry trends
High Risk: High uncertainty
No Data: Cannot be evaluated

(1) These are some simple examples. You can access our Risk Assessment filter under All-in-One Screener’s Fundamental tab and set your own criteria.

H World Group Risk Assessment Related Terms

FRA:CL4 vs H, WH, CHH: Risk Assessment Comparison

For the Lodging subindustry, H World Group's Risk Assessment, along with its competitors' market caps and Risk Assessment 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.

H World Group Risk Assessment vs Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, H World Group's Risk Assessment distribution charts can be found below:

* The bar in red indicates where H World Group's Risk Assessment falls into.


FRA:CL4
82GF Score
H World Group Ltd FRA:CL4
Risk Assessment is just one metric. See GF Score™, valuation, warning signs, and more.
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Is H World Group (FRA:CL4) Overvalued in 2026?

Based on GuruFocus' analysis, H World Group stock appears to be undervalued. The current stock price of €3.66 is trading 6.4% below its estimated GF Value™ of €3.91.

Key valuation signals for FRA:CL4:

  • Risk Assessment:
  • GF Value™: €3.91 vs. price of €3.66 (6.4% below fair value)
  • GF Score™: 82/100 with 1 warning sign

No single metric tells the full story. See the FRA:CL4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

H World Group Business Description

Address No. 1299 Fenghua Road, Jiading District, Shanghai, CHN, 201803
H World Group Ltd a foremost, fast-growing multi-brand hotel group with international operations. The principal business activities of the Company are to develop and operate leased and owned, manachised and franchised hotels mainly in the PRC or PRC Mainland. The Group has two operating segments which are legacy Huazhu and legacy DH according to the way management intends to evaluate results and allocate resources within the Group. The majority of revenue comes from legacy Huazhu. The company has presence in Greater China and also Outside Greater China.
82GF Score

Get the complete analysis for FRA:CL4

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

€3.66
Price
€3.91
GF Value