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Huazhu Group Ltd(HTHT)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL RECENCY
1-STAR RATING
SELL
SELL for 1 day
PROFIT SINCE LAST BUY
-9.47%
LAST CLOSE
$43.12
09/14/2026
(24-hour delay)

Advisory History & Simulated Performance *

*as per simulation (see disclosures)
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Upturn Advisory & Investor View for HTHT

09/14/2026: HTHT (1-star) is a SELL. SELL for 1 day. Simulated Profits (-9.47%). Updated daily EoD!

Huazhu Group Ltd is a major Chinese hotel operator that has grown into a significant industry player through its manachise model and strong loyalty program. The company is known for its efficient technology-driven platform, which enables it to maintain a broad portfolio ranging from budget to luxury brands. Its main growth story involves capturing more of the premium market while maintaining scale in its core economy segments. However, investors must consider risks such as intense competition, high exposure to the Chinese domestic economy, and the operational hurdles of managing international assets. The stock may best suit growth-oriented investors monitoring travel recovery and management's execution on upscale expansion.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorStrong fitThe company continues to expand its hotel count and brand portfolio across a large and growing domestic market.
Momentum investorMixed fitMomentum is conditional on positive travel data and domestic economic recovery signals in China.
Value investorMixed fitValuation depends heavily on the cyclicity of the travel industry and recovery of consumer spending.
Dividend investorWeak fitThe company prioritizes reinvestment into infrastructure and acquisitions over regular dividend payments.
Low-risk investorWeak fitExposure to Chinese macroeconomic volatility and the cyclical nature of the hotel industry increases risk profile.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityHighThe stock is highly sensitive to travel demand shifts and economic sentiment in China.
Valuation riskMediumMarket expectations for growth must be balanced against potential economic slowdowns.
Competition risk (Hospitality industry)HighIntense competition from domestic and global chains can pressure margins.
Business qualityMedium / highThe company has strong operating margins and a robust technology stack.
Dividend incomeLowDividends are not a core feature of the capital return strategy.
Execution riskMediumManaging a diverse portfolio of international and domestic brands requires high-level operational excellence.

Price Behavior

Downtrend
PRICE PATH

Downtrend

The stock has experienced a sustained decline in price over recent periods.

Smooth
PRICE STABILITY

Smooth

The stock has moved along a generally orderly path with only modest fluctuations.

Analysis of Past Performance

Type Stock
Historic Profit -3.76%
Avg. Invested days 32
Today’s Advisory SELL
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 3.0
Stock Returns Performance Upturn Returns Performance icon 1.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 09/14/2026

Upturn Scorecard

Upturn Star Rating

HTHT receives a 4-star rating, supported by solid unit economics, solid company fundamentals, solid quantitative characteristics, and solid analyst coverage. The rating is constrained by weak price momentum.

Company Fundamentals

HTHT has solid overall fundamentals (4 stars), with solid financial health, solid growth momentum, and solid ownership. In FY2025 versus FY2024, strong earnings growth (+62.1%) and strong cash generation (FCF margin 29.8%) are partially offset by moderate revenue growth (+3.0%), modest insider ownership of 1.13%.

Financial Health Rating

HTHT's financial health is supported by strong cash strength, including free-cash-flow generation of $7.3B (29.8% of revenue). Liquidity is moderate (3 stars), which helps explain the 4-star overall score.

Growth Momentum Score

Earnings growth is HTHT's strongest growth driver at +62.1% FY2025 versus FY2024 (strong, 5 stars). By comparison, while revenue growth (+3.0%, moderate) and free-cash-flow growth (+9.0%, moderate) hold the profile back, so recent growth is not broad-based across the business.

Ownership

Institutional ownership is 55.0% and approximately 62.2% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership of 1.13% provides only moderate management-shareholder alignment.

Top 5 Institutional Investors

Schroder Investment Management Group 4.86%
Capital Research & Mgmt Co - Division 3 4.05%
JPMorgan Chase & Co 3.78%
BlackRock Inc 3.03%
Amvescap Plc. 2.85%

Unit Economics (Per $1K Revenue)

HTHT generates approximately $394 of gross profit, $254 of operating income, and $298 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Strong cash conversion and healthy margins support the rating, although capital efficiency remains below the highest tier.

Economic Dimensions

Effective Tax Rate: 29.70%

Quantitative Style Profile

HTHT has a high-quality, large-cap, liquid, relatively low-volatility profile. Weak momentum is the primary drawback.

Style Classification

Quality Focused

Value-OrientedQuality TiltLow VolatilityLarge / Mega Cap StabilityHighly Liquid / Institution-Friendly

Key Highlights

Company Size Large-Cap Stock
Market Capitalization 13.12B USD
Price to earnings Ratio 30.47
1Y Target Price 60.59
Price to earnings Ratio 30.47
1Y Target Price 60.59
Volume (30-day avg) 1.6M shares
Beta 0.13
52 Weeks Range 34.92 - 54.11
Updated Date 09/13/2026
52 Weeks Range 34.92 - 54.11
Updated Date 09/13/2026
Dividends yield (FY) 5.04%
Basic EPS (TTM) 1.4

How Company Makes Money

Business areaWhat it includesRetail investor read
Hotel OperationsRevenue from leased-and-owned hotels and management/franchise fees from partner properties.The company earns money both by running its own hotels and by charging fees to let others operate under their brands.
Geography: ChinaThe vast majority of properties and revenue generation.Success is primarily linked to travel trends and consumer spending power within China.

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

Revenue by Geography

Geography revenue - Year on Year

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Earnings Date

Report Date 2026-08-17
When Before Market
Estimate 0.65
Actual 0.7

Profitability

Profit Margin 18.93%
Operating Margin (TTM) 31.15%

Management Effectiveness

Return on Assets (TTM) 7.45%
Return on Equity (TTM) 38.13%

Valuation

Trailing PE 30.47
Forward PE 35.34
Enterprise Value 16.05B
Price to Sales(TTM) 0.49
Enterprise Value 16.05B
Price to Sales(TTM) 0.49
Enterprise Value to Revenue 4.05
Enterprise Value to EBITDA 12
Shares Outstanding 307.52M
Shares Floating 191.33M
Shares Outstanding 307.52M
Shares Floating 191.33M
Percent Insiders 1.13
Percent Institutions 55.03

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Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About Huazhu Group Ltd

Exchange NASDAQ
Headquarters -
IPO Launch date 2010-03-26
CEO -
Sector Consumer Cyclical
Industry Lodging
Full time employees 26458
Full time employees 26458

H World Group Limited develops and operates leased and owned, manachised, and franchised hotels in the People's Republic of China. The company operates hotels under its own brands, such as HanTing Hotel, Ni Hao Hotel, Hi Inn, Elan Hotel, Zleep Hotels, Ibis Hotel, JI Hotel, Orange Hotel, Starway Hotel, Ibis Styles Hotel, Crystal Orange Hotel, IntercityHotel, Grand JI Hotel, Manxin Hotel, Mercure Hotel, Madison Hotel, Novotel Hotel, CitiGO Hotel, MAXX, Joya Hotel, Blossom House, Steigenberger Hotels & Resorts, Jaz in the City, Grand Mercure Hotel, Steigenberger Icons, and Song Hotels. The company was formerly known as Huazhu Group Limited and changed its name to H World Group Limited in June 2022. H World Group Limited was founded in 2005 and is headquartered in Shanghai, the People's Republic of China.