WH
Wyndham Hotels & Resorts Inc
Price:  
85.5 
USD
Volume:  
770,927
United States | Hotels, Restaurants & Leisure

WH Fair Value

26 %
Upside

What is the fair value of WH?

As of 2025-05-22, the Fair Value of Wyndham Hotels & Resorts Inc (WH) is 107.77 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 85.5 USD, the upside of Wyndham Hotels & Resorts Inc is 26%.

Is WH a good investment?

With the market price of 85.5 USD and our fair value calculation, Wyndham Hotels & Resorts Inc (WH) is a good investment. Investing in WH stocks now will result in a potential gain of 26%.

85.5 USD
Stock Price
107.77 USD
Fair Price
FAIR VALUE CALCULATION

WH Fair Value

Peter Lynch's formula is:

WH Fair Value
= Earnings Growth Rate x TTM EPS
WH Fair Value
= 25 x 4.31
WH Fair Value
= 107.77

The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.

Historical Earnings
12-202012-202112-202212-202312-20245Y Avg
Net income-132244355289289209
YoY growth-184.1%284.8%45.5%-18.6%0%25.5%

WH Fair Value - Peers Benchmarking

Market Cap (mil)EPS Fair Value Upside
a
Expedia Group Inc20,3259.1228.5243.4%
Norwegian Cruise Line Holdings Ltd7,6361.923.4736.3%
Choice Hotels International Inc5,9586.7167.7731.4%
Hilton Grand Vacations Inc3,6670.41.8-95.4%
Extended Stay America Inc3,6360.31.4-93.2%
Travel + Leisure Co3,1986.3127.26164.3%
Marriott Vacations Worldwide Corp2,2986.6165.65149.1%
Playa Hotels & Resorts NV1,7180.52.45-81.8%
Target Hospitality Corp7130.718.03149.7%
Bluegreen Vacations Corp6760.84.14-55.6%

WH Fair Value - Key Data

Market Cap (mil)6,625
P/E19.8x
Forward P/E22.7x
EPS4.31
Avg earnings growth rate25.5%
TTM earnings334

WH Fair Value - Formula's Origin

Peter Lynch is one of the most legendary investors/fund managers of all time. His philosophy for stock investing is very simple and straightforward: he invests in stocks that are undervalued, meaning its P/E is less than or equal to its earnings growth rate. He believes that if a stock is trading at its fair value, the PEG ratio, which was also invented by him, should be 1.

Therefore, his formula to determine a company's fair value is:

Peter Lynch Fair Value = Earnings Growth Rate * EPS * PEG

PEG is set to 1 so we can ignore it in the calculation. Based on the formula, if the earnings growth rate of a company is 15%, Peter Lynch is willing to buy its share up to P/E = 15.