AI Spotlight on IHG
Company Description
InterContinental Hotels Group PLC owns, manages, franchises, and leases hotels in the Americas, Europe, Asia, the Middle East, Africa, and Greater China.The company operates hotels under the Six Senses, Regent, InterContinental Hotels & Resorts, Vignette Collection, Kimpton Hotels & Restaurants, Hotel Indigo, EVEN Hotels, HUALUXE, Holiday Inn, Holiday Inn Express, Holiday Inn Club Vacations, avid, Staybridge Suites, Atwell Suites, Candlewood Suites, voco, and Crowne Plaza.It also provides IHG Rewards loyalty program.
As of December 31, 2021, the company operated 5,991 hotels and 880,327 rooms in approximately 100 countries.InterContinental Hotels Group PLC was founded in 1777 and is headquartered in Denham, the United Kingdom.
Market Data
Last Price | 10820 |
Change Percentage | 0.28% |
Open | 10770 |
Previous Close | 10790 |
Market Cap ( Millions) | 17083 |
Volume | 710311 |
Year High | 10910 |
Year Low | 7032 |
M A 50 | 10025.76 |
M A 200 | 8576.57 |
Financial Ratios
FCF Yield | 3.35% |
Dividend Yield | 0.80% |
ROE | -30.10% |
Debt / Equity | -162.30% |
Net Debt / EBIDTA | 241.45% |
Price To Book | -10.04 |
Price Earnings Ratio | 34.67 |
Price To FCF | 29.87 |
Price To sales | 4.96 |
EV / EBITDA | 21.17 |
News
- 09:45 - InterContinental Hotels Group PLC's (LON:IHG) Intrinsic Value Is Potentially 24% Below Its Share Price
- Jan -28 - AVANA and IHG Launch Co-Lending Construction Program to Fuel US Hotel Development
- Jan -20 - Hereβs Why Vulcan Value Partners Sold InterContinental Hotels Group PLC (IHG)
- Jan -17 - IHG Hotels & Resorts marks 50 years since entering Greater China and celebrates over 800 open hotels in the region
- Jan -06 - InterContinental Hotels Group (NYSE:IHG): Upside Potential in Line with Growing Business
- Jan -02 - All You Need to Know About InterContinental Hotels (IHG) Rating Upgrade to Buy
- Dec -30 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 30
- Dec -30 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 30
- Dec -27 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 27
- Dec -24 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 24
- Dec -23 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 23
- Dec -23 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 23
- Dec -20 - Best paying FTSE 100 stocks of 2024
- Dec -20 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 20
- Dec -19 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 19
- Dec -19 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 19
- Dec -18 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 18
- Dec -18 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 18
- Dec -17 - FTC bans junk fees on event tickets, hotel bookings
- Dec -17 - InterContinental Hotels Group PLC Announces Transaction in Own Shares - December 17
Business Breakdown
Expected Mid-Term Growth
Segment nΒ°1 -> System Fund and Reimbursable
Expected Growth : 8.3 %
What the company do ?
System Fund is a centralized fund for IHG's loyalty program, and Reimbursable is a fund for reimbursing hotel owners for loyalty program expenses.
Why we expect these perspectives ?
InterContinental Hotels Group PLC's System Fund and Reimbursable segments drove 8.3% growth, fueled by increased RevPAR, expanded global footprint, and strategic partnerships. Strong brand recognition, efficient cost management, and investments in digital transformation also contributed to the growth.
Segment nΒ°2 -> Americas
Expected Growth : 4.65 %
What the company do ?
The Americas segment of InterContinental Hotels Group PLC includes hotels in the United States, Canada, Mexico, and Latin America.
Why we expect these perspectives ?
Strong brand presence, increasing travel demand, and strategic partnerships drive growth in Americas for InterContinental Hotels Group PLC. Additionally, investments in digital transformation, loyalty programs, and expansion into new markets contribute to the 4.65% growth rate.
Segment nΒ°3 -> Europe, Middle East, Asia and Africa
Expected Growth : 4.73 %
What the company do ?
Europe, Middle East, Asia and Africa (EMEAA) is a geographic segment of InterContinental Hotels Group PLC, encompassing hotels in these regions.
Why we expect these perspectives ?
{'Europe': 'Strong RevPAR growth driven by robust demand, favorable currency exchange rates, and strategic brand portfolio.', 'Middle East': 'Government-led tourism initiatives, infrastructure development, and growing business travel demand fuel growth.', 'Asia': 'Rapid urbanization, increasing middle-class disposable income, and strategic partnerships drive expansion.', 'Africa': 'Infrastructure development, growing tourism, and increasing business travel demand driven by natural resource investments.'}
Segment nΒ°4 -> Central
Expected Growth : 4.78 %
What the company do ?
The Central is a loyalty program from InterContinental Hotels Group PLC, rewarding members with points for stays, redeemable for free nights and exclusive benefits.
Why we expect these perspectives ?
InterContinental Hotels Group PLC's Central segment growth of 4.78% is driven by increasing demand for luxury travel, strategic expansion in high-growth markets, and effective cost management. Additionally, the company's focus on digital transformation, loyalty programs, and partnerships with local businesses have contributed to the segment's growth.
Segment nΒ°5 -> Greater China
Expected Growth : 7.4 %
What the company do ?
Greater China, from InterContinental Hotels Group PLC, refers to the region encompassing mainland China, Hong Kong, Macau, and Taiwan, a key market for the hospitality industry.
Why we expect these perspectives ?
Strong demand from Chinese travelers, government support for tourism infrastructure development, and strategic partnerships with local companies drove 7.4% growth in Greater China for InterContinental Hotels Group PLC. Additionally, the group's focus on mid-scale and luxury brands, such as Holiday Inn and InterContinental, resonated with the growing middle class and affluent consumers in the region.
Intercontinental Hotels Group Plc Products
Product Range | What is it ? |
---|---|
InterContinental Hotels & Resorts | Luxury hotels and resorts offering upscale accommodations and amenities |
Kimpton Hotels & Restaurants | Boutique hotels offering unique design, amenities, and culinary experiences |
Hotel Indigo | Boutique hotels offering unique, locally-inspired design and amenities |
Crowne Plaza Hotels & Resorts | Upscale hotels offering business-friendly amenities and services |
voco Hotels | Upscale hotels offering high-quality amenities and services |
Holiday Inn Hotels & Resorts | Mid-scale hotels offering comfortable accommodations and amenities |
Holiday Inn Express | Limited-service hotels offering convenient, affordable accommodations |
avid hotels | Select-service hotels offering modern design and amenities |
Staybridge Suites | Extended-stay hotels offering spacious suites and amenities |
Candlewood Suites | Extended-stay hotels offering spacious suites and amenities |
InterContinental Hotels Group PLC's Porter Forces
Threat Of Substitutes
InterContinental Hotels Group PLC faces moderate threat from substitutes, as customers have various options for accommodations, including Airbnb, hostels, and budget hotels. However, the company's strong brand reputation and loyalty program help to mitigate this threat.
Bargaining Power Of Customers
Customers have significant bargaining power due to the high level of competition in the hospitality industry. InterContinental Hotels Group PLC must invest in customer loyalty programs and personalized services to maintain customer loyalty.
Bargaining Power Of Suppliers
Suppliers have limited bargaining power due to the company's large scale of operations and diversified supply chain. InterContinental Hotels Group PLC can negotiate favorable terms with suppliers, reducing costs and improving profitability.
Threat Of New Entrants
The threat of new entrants is low due to the high barriers to entry in the hospitality industry, including significant capital requirements and regulatory hurdles. InterContinental Hotels Group PLC's established brand and global presence provide a competitive advantage.
Intensity Of Rivalry
The hospitality industry is highly competitive, with many established players and new entrants vying for market share. InterContinental Hotels Group PLC must focus on differentiating its brands, investing in digital marketing, and improving operational efficiency to maintain its market position.
Capital Structure
Value | |
---|---|
Debt Weight | 218.76% |
Debt Cost | 4.31% |
Equity Weight | -118.76% |
Equity Cost | 8.81% |
WACC | -1.03% |
Leverage | -184.21% |
InterContinental Hotels Group PLC : Quality Control
InterContinental Hotels Group PLC passed 4 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
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PNDX-B.ST | Pandox AB (publ) owns, operates, and leases hotel properties. The company operates through Property Management and Operator Activities segments. As of March 11, 2022, it operated 157 hotels with approximately β¦ |
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