On the stock market since 1996, it operates in the world of consumer spending. It has 1,754 employees. Now — the numbers.
This is an established company with proven profits.
Revenue is spread across several lines; no single product carries the company.
The gap is $2.1B. In times of high interest rates, a gap like that can squeeze a company.
Executives buying with their own money is usually read as confidence in the company’s future.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit power and business quality lead the class.
Clearly below the class average.
Clearly below the class average.
This grade is a blend: the profit side is strong, the sales tempo slow.
Clearly below the class average.
Financial Strength: The cash-and-debt balance is thin; the buffer for hard times is slim.
Price Momentum: The stock has lagged the market in recent months; investor interest is weak right now.
The stock trades 30% below its peak. The market has trimmed its expectations for the company.
The net profit margin is 23% — still a thick cushion, though costs have been eating into it lately.
Over the last 12 months, company executives reported 73 buys and 32 sells. Management buying with its own money is usually read as a good sign.
It pays out $1.15 per share each year — regular cash for whoever holds the stock.
The balance sheet offers little cushion against a rough stretch. Report-card grade: 34/100.
Buyers haven’t stepped back in yet; the price hasn’t found its footing. Report-card grade: 41/100. For a turnaround signal, the stock first needs to close the gap with the market.
Today’s price already includes part of tomorrow’s optimism. Report-card grade: 45/100.
On our five-subject report card, CHH sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: CHH is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s whether the price paid for the stock is too high.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.