Host Hotels & Resorts, Inc. logo HST - Host Hotels & Resorts, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 23
HOLD 18
SELL 2
STRONG
SELL
0
| PRICE TARGET: $25.18 DETAILS
HIGH: $27.00
LOW: $23.00
MEDIAN: $26.25
CONSENSUS: $25.18
UPSIDE: 3.03%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Real Estate Investment Trust 85% confidence

Primary model: P/FFO × Default REIT Multiple

Valuation Signal Undervalued Strong
Trading 42.9% below fair value
Current Price $24.44
Bear Case $35.24 44.2% upside ($35.24 - $24.44) / $24.44 = 44.2% $2.28 FFO × 18x
Fair Value $42.79 75.1% upside ($42.79 - $24.44) / $24.44 = 75.1% $2.28 FFO × 22x
Bull Case $50.34 106.0% upside ($50.34 - $24.44) / $24.44 = 106.0% $2.28 FFO × 26x

Adjust Assumptions

22.1x
2.28$

Key Value Driver

FFO/share ($2.28) × default P/FFO multiple

Implied Market Multiple 10.7x

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 $25.18 from 43 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $42.79 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 6.8% is unusually high — make sure the company generates enough cash to keep paying it.
Wall Street's average price target is $25.18 (from 43 analysts). Our estimate is 100% 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