Reviewing GreenTree Hospitality Group (GHG) & Its Peers

GreenTree Hospitality Group (NYSE:GHG) is one of 382 publicly-traded companies in the “Hotels, Restaurants & Leisure” industry, but how does it weigh in compared to its rivals? We will compare GreenTree Hospitality Group to related companies based on the strength of its earnings, dividends, analyst recommendations, valuation, institutional ownership, risk and profitability.

Risk and Volatility

GreenTree Hospitality Group has a beta of 0.65, suggesting that its stock price is 35% less volatile than the S&P 500. Comparatively, GreenTree Hospitality Group’s rivals have a beta of 1.44, suggesting that their average stock price is 44% more volatile than the S&P 500.

Valuation and Earnings

This table compares GreenTree Hospitality Group and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
GreenTree Hospitality Group	$156.92 million	$23.85 million	20.42
GreenTree Hospitality Group Competitors	$3.42 billion	$250.20 million	-162.08

GreenTree Hospitality Group’s rivals have higher revenue and earnings than GreenTree Hospitality Group. GreenTree Hospitality Group is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Institutional & Insider Ownership

8.1% of GreenTree Hospitality Group shares are held by institutional investors. Comparatively, 48.7% of shares of all “Hotels, Restaurants & Leisure” companies are held by institutional investors. 88.7% of GreenTree Hospitality Group shares are held by company insiders. Comparatively, 22.1% of shares of all “Hotels, Restaurants & Leisure” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares GreenTree Hospitality Group and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GreenTree Hospitality Group	4.14%	2.49%	0.84%
GreenTree Hospitality Group Competitors	2.45%	-40.43%	2.13%

Analyst Ratings

This is a summary of current ratings and target prices for GreenTree Hospitality Group and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GreenTree Hospitality Group	1	0	0	0	1.00
GreenTree Hospitality Group Competitors	3812	17303	25622	907	2.50

As a group, “Hotels, Restaurants & Leisure” companies have a potential upside of 58.42%. Given GreenTree Hospitality Group’s rivals stronger consensus rating and higher probable upside, analysts plainly believe GreenTree Hospitality Group has less favorable growth aspects than its rivals.

Summary

GreenTree Hospitality Group rivals beat GreenTree Hospitality Group on 9 of the 13 factors compared.

About GreenTree Hospitality Group

GreenTree Hospitality Group Ltd., through its subsidiaries, develops leased-and-operated, and franchised-and-managed hotels under the GreenTree Inns brand in the People's Republic of China. It also engages in investment holding activities; and provision of information technology services. The company was founded in 2004 and is headquartered in Shanghai, the People's Republic of China.