HST - Host Hotels & Resorts, Inc.
Price:
--
--
|
CONSENSUS:
Buy
DETAILS
|
PRICE TARGET:
$20.67
DETAILS
HIGH:
$23.00
LOW:
$18.00
MEDIAN:
$20.50
CONSENSUS:
$20.67
DOWNSIDE:
7.64%
AlphaVal
Deterministic, archetype-aware fair value
Real Estate Investment Trust
85% confidence
Primary model: P/FFO × Default REIT Multiple
Adjust Assumptions
22.1x
$
Key Value Driver
FFO/share ($2.28) × default P/FFO multiple
Implied Market Multiple
9.8x
Plain-Language Summary
Our base-case estimate uses P/FFO × Default REIT Multiple. We then blend that result with the average analyst price target of $20.67 from 42 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $41.44 per share.
Warnings
Standard profit figures are misleading for real estate companies — large non-cash accounting charges make profits look artificially low. Dividend yield and funds from operations are better measures.
Dividend yield of 7.5% is unusually high — make sure the company generates enough cash to keep paying it.
Wall Street's average price target is $20.67 (from 42 analysts). Our estimate is 144% above the consensus -- consider that gap carefully.
Key Risks
- P/E and EV/EBITDA are structurally wrong for REITs — use P/FFO and NAV
- Interest rate sensitivity: REIT multiples compress when rates rise
- FFO approximation (NI + D&A) may include gains on property sales — verify