DRH
DiamondRock Hospitality Company
DRH's fundamentals are strong and it looks cheap: trading at 18x earnings, below its usual 25x. Analysts expect strong earnings growth.
DRH Fundamentals
| Metric | Status |
|---|---|
| Stable | |
| Strong | |
| N/A | |
| N/A |
DRH's profitability is currently strong, and its revenue is stable. Free cash flow and net leverage aren't meaningful measures for real estate companies like DRH.
DRH PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Cheap | 17x | $13.81 | -4% |
| Current | 18x | $14.38 | — |
| Forward | 22x | $14.38 | — |
| Fair | 25x | $19.88 | +38% |
| Expensive | 34x | $27.22 | +89% |
Historical ranges are pointers, not guarantees.
DRH's PE is in its cheap range at 18x. On analysts' estimates for next year's earnings, today's price would be 22x.
DRH Forward outlook
| Metric | Outlook |
|---|---|
| Deteriorating | |
| Strong growth | |
| Stable | |
| Strongly improving | |
| Limited | |
| Moderate |
Analysts expect DRH's earnings to grow and its profitability to improve, with its revenue holding steady.
DRH Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $0.66 | -16% |
| Q3 2026 | $0.79 | +204% |
| Q2 2026 | $0.73 | +170% |
| Q1 2026 | $0.47 | +147% |
| Q4 2025 | $0.44 | +144% |
| Q3 2025 | $0.26 | -7.1% |
| Q2 2025 | $0.27 | -6.9% |
| Q1 2025 | $0.19 | -47% |
| Q4 2024 | $0.18 | -50% |
DRH earned $0.79 per share over the past year, about three times what it earned the year before.
DRH Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $297.6M | +4.3% |
| Q2 2026 | $318.3M | +4.1% |
| Q1 2026 | $258.2M | +1.3% |
| Q4 2025 | $274.5M | -1.6% |
| Q3 2025 | $285.4M | +0.1% |
| Q2 2025 | $305.7M | -1.2% |
| Q1 2025 | $254.9M | -0.6% |
| Q4 2024 | $279.1M | +5.9% |
DRH's revenue grew through 2023 and has held roughly level since: $298M last quarter, up 4.3% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 17% | +1.8 points |
| Q2 2026 | 23% | +4.7 points |
| Q1 2026 | 11% | +1.4 points |
| Q4 2025 | 14% | +12 points |
| Q3 2025 | 15% | +0.3 points |
| Q2 2025 | 18% | +5.1 points |
| Q1 2025 | 9.7% | +1 points |
| Q4 2024 | 1.6% | -8.4 points |
DRH's operating margin was 17% last quarter, up 1.8 points from the same quarter a year ago.
DRH Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $53.8M | -2.1% |
| Q2 2026 | $60.1M | +3.9% |
| Q1 2026 | $1.1M | -45% |
| Q4 2025 | $47.3M | -10% |
| Q3 2025 | $54.9M | +41% |
| Q2 2025 | $57.9M | +49% |
| Q1 2025 | $2M | -83% |
| Q4 2024 | $52.6M | -0.5% |
DRH's free cash flow was $162M over the past year, down 3% from the year before. Free cash flow isn't a meaningful measure for real estate companies like DRH.
DRH Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | +0.6% | +1.3M shares |
| 1 year | +0.5% | +1M shares |
| 3 years | -2.3% | -4.8M shares |
| 5 years | -2.3% | -4.8M shares |
| Available history | +2.3% | +4.7M shares |
DRH has 207M diluted shares, about the same as a year ago.
| Quarter | Spent |
|---|---|
| Q3 2026 | — |
| Q2 2026 | $1.9M |
| Q1 2026 | — |
| Q4 2025 | $1.6M |
| Q3 2025 | $11.8M |
| Q2 2025 | $12.6M |
| Q1 2025 | $11.1M |
| Q4 2024 | — |
DRH spent $3M buying back its own shares over the past year, down 90% from the year before.
DRH Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 3.5x | Elevated |
| Q2 2026 | 4.1x | High |
| Q1 2026 | 5.4x | High |
| Q4 2025 | 6.3x | High |
| Q3 2025 | 7.4x | High |
| Q2 2025 | 7.5x | High |
| Q1 2025 | 8.8x | High |
| Q4 2024 | 9.1x | High |
DRH's net debt is about 3.5 years of its operating earnings (EBITDA), down from 7.4 years a year ago. Net leverage isn't a meaningful measure for real estate companies like DRH.
DRH Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 72.7 | Overbought |
| Stochastic | 83.0 | Overbought |
DRH's weekly RSI is 73 (overbought) and its Stochastic is 83 (overbought).
DRH PE vs Real Estate Sector
| Metric | DRH | Sector median | Relative |
|---|---|---|---|
| PE | 18x | 24x | 24% below |
| PE % | 20 | 23 | 3 pts below |
DRH is trading at 18x earnings, a 24% discount to the Real Estate sector's median of 24x.
DRH Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $13.4 | 7% above |
| 20 week MA | $12.9 | 12% above |
| 50 week MA | $11.2 | 29% above |
| 100 week MA | $9.64 | 49% above |
| 200 week MA | $9.12 | 58% above |
DRH is in an uptrend: it's above all five of its weekly moving averages, and 58% above its 200-week average.
DRH Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $11.2 | $8.41 | -25% |
| 2021 | $8.41 | $9.54 | +13% |
| 2022 | $9.54 | $8.21 | -14% |
| 2023 | $8.21 | $9.39 | +14% |
| 2024 | $9.39 | $9.21 | -1.9% |
| 2025 | $9.21 | $9.17 | -0.4% |
| 2026 YTD | $9.17 | $14.4 | +57% |
DRH is up 57% so far in 2026, after finishing lower in four of the previous six years.