REIT - Hotel & Motel · NASDAQ
Current Price
$21.06
Intrinsic Value
Use the calculator below to estimate
Run a full DCF analysis on Host Hotels & Resorts, Inc. with auto-filled fundamentals, adjustable assumptions, and sensitivity heatmap.
Host Hotels & Resorts, Inc. is an S&P 500 company and is the largest lodging real estate investment trust and one of the largest owners of luxury and upper-upscale hotels. The Company currently owns 74 properties in the United States and five properties internationally totaling approximately 46,100 rooms. The Company also holds non-controlling interests in six domestic and one international joint ventures. Guided by a disciplined approach to capital allocation and aggressive asset management, the Company partners with premium brands such as Marriott®, Ritz-Carlton®, Westin®, Sheraton®, W®, St. Regis®, The Luxury Collection®, Hyatt®, Fairmont®, Hilton®, Swissôtel®, ibis® and Novotel®, as well as independent brands. For additional information, please visit the Company's website at www.hosthotels.com.
ROIC (TTM)
6.2%
ROE (TTM)
11.5%
FCF Yield
5.95%
Based on trailing twelve-month data, HST shows a free cash flow per share of N/A and a ROIC of 6.2%, key inputs for stock valuation using the DCF method. The P/FCF ratio of N/A and FCF yield of 5.95% are important context metrics when evaluating HST's stock valuation relative to peers.
The intrinsic value of HST depends on assumptions about future growth rate, discount rate (WACC), and terminal value. A DCF model discounts projected free cash flows back to present value — small changes in WACC can shift the estimate by 20% or more, which is why sensitivity analysis is essential.
Whether HST is undervalued depends on comparing the DCF-derived intrinsic value to the current market price of $21.06. A positive margin of safety (intrinsic value above market price) suggests potential undervaluation, but the degree of confidence depends on the reliability of your growth and discount rate assumptions.
To perform a DCF valuation on Host Hotels & Resorts, Inc.: (1) Start with the trailing free cash flow per share as the base, (2) project future FCF growth over 5-10 years based on REIT - Hotel & Motel industry trends and company fundamentals, (3) apply a discount rate (WACC) reflecting HST's risk profile, and (4) add a terminal value for cash flows beyond the projection period.
DCF (Discounted Cash Flow) estimates what a company is worth today based on its future cash generation. For Host Hotels & Resorts, Inc., this means projecting how much free cash flow the REIT - Hotel & Motel will produce over the next 5-10 years, then discounting those amounts to today's dollars. HST's ROIC of 6.2% suggests the company may face challenges generating returns above its cost of capital.
WACC (Weighted Average Cost of Capital) is the discount rate in a DCF model — it reflects the minimum return investors require. For HST, the capital structure and equity risk premium determine WACC. A 1% increase in WACC typically reduces the intrinsic value by 10-15%.
