May. 22 at 3:35 PM
$GHG The gap between GHG and main China comparisons continue to grow. ATAT on fire this morning - up 12% and hitting ATH. They just released and have 1,727 hotels, or 194,559 hotel rooms in China and
$34 million in net income the past quarter and now pushing
$4.3 billion in market cap but more of a L&O model than franchise. In comparison, GHG has 4,336 hotels with 316,461 hotel rooms with a
$190 million market cap with ~
$10 million in net income this past quarter. So 1/3rd the net income but 1/50th the market cap. Plus GHG selling below tangible book compared to ATAT that is selling at
$34 but tangible book of only
$2.90. You can argue growth rates, etc. but this is getting more and more stretched. Someone just buy GHG already and get this over with.
