DRH
DiamondRock Hospitality Company
REIT - Hotel & Motel
Market Cap$2.17B
5Y Perf.+78.0%
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Stock Comparison
DRH vs WELL
Revenue, margins, valuation, and 5-year total return — side by side.
WELL
Welltower Inc.
REIT - Healthcare Facilities
Market Cap$149.25B
5Y Perf.+320.4%
DRH vs WELL — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | DRH | WELL |
|---|---|---|
| Industry | REIT - Hotel & Motel | REIT - Healthcare Facilities |
| Market Cap | $2.17B | $149.25B |
| Revenue (TTM) | $1.12B | $11.63B |
| Net Income (TTM) | $104M | $1.43B |
| Gross Margin | 43.0% | 39.1% |
| Operating Margin | 12.2% | 4.4% |
| Forward P/E | 20.2x | 78.4x |
| Total Debt | $1.19B | $21.38B |
| Cash & Equiv. | $68M | $5.03B |
DRH vs WELL — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
DRH
WELL
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| DiamondRock Hospita… (DRH) | 100 | 178.0 | +78.0% |
| Welltower Inc. (WELL) | 100 | 420.4 | +320.4% |
Price return only. Dividends and distributions are not included.
Quick Verdict: DRH vs WELL
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: DRH leads in 4 of 7 categories, making it the strongest pick for valuation and capital efficiency and dividend income and shareholder returns. Welltower Inc. is the stronger pick specifically for growth and revenue expansion and profitability and margin quality. As sector peers, any of these can serve as alternatives in the same allocation.
DRH
DiamondRock Hospitality Company
The Real Estate Income Play
DRH carries the broadest edge in this set and is the clearest fit for value and dividends.
- Lower P/E (20.2x vs 78.4x)
- 4.4% yield, 1-year raise streak, vs WELL's 1.3%
- +49.6% vs WELL's +42.7%
Best for: value and dividends
WELL
Welltower Inc.
The Real Estate Income Play
WELL is the clearest fit if your priority is income & stability and growth exposure.
- Dividend streak 2 yrs, beta 0.13, yield 1.3%
- Rev growth 35.8%, EPS growth -11.5%, 3Y rev CAGR 22.7%
- 223.1% 10Y total return vs DRH's 40.2%
Best for: income & stability and growth exposure
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | WELL | 35.8% FFO/revenue growth vs DRH's -0.8% |
| Value | DRH | Lower P/E (20.2x vs 78.4x) |
| Quality / Margins | WELL | 12.3% margin vs DRH's 9.3% |
| Stability / Safety | WELL | Beta 0.13 vs DRH's 0.97, lower leverage |
| Dividends | DRH | 4.4% yield, 1-year raise streak, vs WELL's 1.3% |
| Momentum (1Y) | DRH | +49.6% vs WELL's +42.7% |
| Efficiency (ROA) | DRH | 3.4% ROA vs WELL's 2.3%, ROIC 4.6% vs 0.5% |
DRH vs WELL — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
FY 2025
FY 2025
DRH vs WELL — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLDRHLAGGINGWELL
WELLWelltower Inc.
1leads
DRHDiamondRock Hospitali…
2leads
6 Total Categories
CATEGORYLEADERvs WELLMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
Tied
—
Valuation MetricsMultiples, price ratios, and targets
DRH6/6
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
DRH7/8
Total Returns1Y, 3Y, 5Y total returns with dividends
WELL4/6
Risk & VolatilityBeta, volatility, and downside exposure
Tied
—
Analyst OutlookRatings, price targets, and dividends
Tied
—
Income & Cash Flow (Last 12 Months)
Evenly matched — DRH and WELL each lead in 3 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
WELL is the larger business by revenue, generating $11.6B annually — 10.3x DRH's $1.1B. Profitability is closely matched — net margins range from 12.3% (WELL) to 9.3% (DRH). On growth, WELL holds the edge at +40.3% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | DRHDiamondRock Hospi… | WELLWelltower Inc. |
|---|---|---|
| RevenueTrailing 12 months | $1.1B | $11.6B |
| EBITDAEarnings before interest/tax | $280M | $2.8B |
| Net IncomeAfter-tax profit | $104M | $1.4B |
| Free Cash FlowCash after capex | $161M | $2.5B |
| Gross MarginGross profit ÷ Revenue | +43.0% | +39.1% |
| Operating MarginEBIT ÷ Revenue | +12.2% | +4.4% |
| Net MarginNet income ÷ Revenue | +9.3% | +12.3% |
| FCF MarginFCF ÷ Revenue | +14.3% | +21.9% |
| Rev. Growth (YoY)Latest quarter vs prior year | +1.3% | +40.3% |
| EPS Growth (YoY)Latest quarter vs prior year | +56.6% | +22.5% |
Evenly matched — DRH and WELL each lead in 3 of 6 comparable metrics.
Valuation Metrics
DRH leads this category, winning 6 of 6 comparable metrics.
Valuation Metrics
At 24.2x trailing earnings, DRH trades at a 84% valuation discount to WELL's 153.3x P/E. On an enterprise value basis, DRH's 12.0x EV/EBITDA is more attractive than WELL's 66.4x.
| Metric | DRHDiamondRock Hospi… | WELLWelltower Inc. |
|---|---|---|
| Market CapShares × price | $2.2B | $149.2B |
| Enterprise ValueMkt cap + debt − cash | $3.3B | $165.6B |
| Trailing P/EPrice ÷ TTM EPS | 24.23x | 153.25x |
| Forward P/EPrice ÷ next-FY EPS est. | 20.25x | 78.42x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 11.97x | 66.40x |
| Price / SalesMarket cap ÷ Revenue | 1.94x | 13.99x |
| Price / BookPrice ÷ Book value/share | 1.52x | 3.35x |
| Price / FCFMarket cap ÷ FCF | 13.40x | 52.41x |
DRH leads this category, winning 6 of 6 comparable metrics.
Profitability & Efficiency
DRH leads this category, winning 7 of 8 comparable metrics.
Profitability & Efficiency
DRH delivers a 6.9% return on equity — every $100 of shareholder capital generates $7 in annual profit, vs $3 for WELL. WELL carries lower financial leverage with a 0.49x debt-to-equity ratio, signaling a more conservative balance sheet compared to DRH's 0.81x.
| Metric | DRHDiamondRock Hospi… | WELLWelltower Inc. |
|---|---|---|
| ROE (TTM)Return on equity | +6.9% | +3.5% |
| ROA (TTM)Return on assets | +3.4% | +2.3% |
| ROICReturn on invested capital | +4.6% | +0.5% |
| ROCEReturn on capital employed | +6.0% | +0.6% |
| Piotroski ScoreFundamental quality 0–9 | 7 | 7 |
| Debt / EquityFinancial leverage | 0.81x | 0.49x |
| Net DebtTotal debt minus cash | $1.1B | $16.3B |
| Cash & Equiv.Liquid assets | $68M | $5.0B |
| Total DebtShort + long-term debt | $1.2B | $21.4B |
| Interest CoverageEBIT ÷ Interest expense | 2.57x | 0.26x |
DRH leads this category, winning 7 of 8 comparable metrics.
Total Returns (Dividends Reinvested)
WELL leads this category, winning 4 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in WELL five years ago would be worth $30,234 today (with dividends reinvested), compared to $11,553 for DRH. Over the past 12 months, DRH leads with a +49.6% total return vs WELL's +42.7%. The 3-year compound annual growth rate (CAGR) favors WELL at 42.5% vs DRH's 11.0% — a key indicator of consistent wealth creation.
| Metric | DRHDiamondRock Hospi… | WELLWelltower Inc. |
|---|---|---|
| YTD ReturnYear-to-date | +17.9% | +14.3% |
| 1-Year ReturnPast 12 months | +49.6% | +42.7% |
| 3-Year ReturnCumulative with dividends | +36.6% | +189.5% |
| 5-Year ReturnCumulative with dividends | +15.5% | +202.3% |
| 10-Year ReturnCumulative with dividends | +40.2% | +223.1% |
| CAGR (3Y)Annualised 3-year return | +11.0% | +42.5% |
WELL leads this category, winning 4 of 6 comparable metrics.
Risk & Volatility
Evenly matched — DRH and WELL each lead in 1 of 2 comparable metrics.
Risk & Volatility
WELL is the less volatile stock with a 0.13 beta — it tends to amplify market swings less than DRH's 0.97 beta. A beta below 1.0 means the stock typically moves less than the S&P 500.
| Metric | DRHDiamondRock Hospi… | WELLWelltower Inc. |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.97x | 0.13x |
| 52-Week HighHighest price in past year | $10.98 | $219.59 |
| 52-Week LowLowest price in past year | $7.31 | $142.65 |
| % of 52W HighCurrent price vs 52-week peak | +97.1% | +97.0% |
| RSI (14)Momentum oscillator 0–100 | 64.8 | 60.2 |
| Avg Volume (50D)Average daily shares traded | 1.9M | 2.6M |
Evenly matched — DRH and WELL each lead in 1 of 2 comparable metrics.
Analyst Outlook
Evenly matched — DRH and WELL each lead in 1 of 2 comparable metrics.
Analyst Outlook
Wall Street rates DRH as "Hold" and WELL as "Buy". Consensus price targets imply 6.3% upside for WELL (target: $227) vs -2.5% for DRH (target: $10). For income investors, DRH offers the higher dividend yield at 4.43% vs WELL's 1.30%.
| Metric | DRHDiamondRock Hospi… | WELLWelltower Inc. |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Buy |
| Price TargetConsensus 12-month target | $10.39 | $226.50 |
| # AnalystsCovering analysts | 28 | 34 |
| Dividend YieldAnnual dividend ÷ price | +4.4% | +1.3% |
| Dividend StreakConsecutive years of raises | 1 | 2 |
| Dividend / ShareAnnual DPS | $0.47 | $2.76 |
| Buyback YieldShare repurchases ÷ mkt cap | +7.2% | 0.0% |
Evenly matched — DRH and WELL each lead in 1 of 2 comparable metrics.
Key Takeaway
DRH leads in 2 of 6 categories (Valuation Metrics, Profitability & Efficiency). WELL leads in 1 (Total Returns). 3 tied.
Best OverallDiamondRock Hospitality Com… (DRH)Leads 2 of 6 categories
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DRH vs WELL: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is DRH or WELL a better buy right now?
For growth investors, Welltower Inc.
(WELL) is the stronger pick with 35. 8% revenue growth year-over-year, versus -0. 8% for DiamondRock Hospitality Company (DRH). DiamondRock Hospitality Company (DRH) offers the better valuation at 24. 2x trailing P/E (20. 2x forward), making it the more compelling value choice. Analysts rate Welltower Inc. (WELL) a "Buy" — based on 34 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — DRH or WELL?
On trailing P/E, DiamondRock Hospitality Company (DRH) is the cheapest at 24.
2x versus Welltower Inc. at 153. 3x. On forward P/E, DiamondRock Hospitality Company is actually cheaper at 20. 2x.
03Which is the better long-term investment — DRH or WELL?
Over the past 5 years, Welltower Inc.
(WELL) delivered a total return of +202. 3%, compared to +15. 5% for DiamondRock Hospitality Company (DRH). Over 10 years, the gap is even starker: WELL returned +223. 1% versus DRH's +40. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — DRH or WELL?
By beta (market sensitivity over 5 years), Welltower Inc.
(WELL) is the lower-risk stock at 0. 13β versus DiamondRock Hospitality Company's 0. 97β — meaning DRH is approximately 633% more volatile than WELL relative to the S&P 500. On balance sheet safety, Welltower Inc. (WELL) carries a lower debt/equity ratio of 49% versus 81% for DiamondRock Hospitality Company — giving it more financial flexibility in a downturn.
05Which is growing faster — DRH or WELL?
By revenue growth (latest reported year), Welltower Inc.
(WELL) is pulling ahead at 35. 8% versus -0. 8% for DiamondRock Hospitality Company (DRH). On earnings-per-share growth, the picture is similar: DiamondRock Hospitality Company grew EPS 144. 4% year-over-year, compared to -11. 5% for Welltower Inc.. Over a 3-year CAGR, WELL leads at 22. 7% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — DRH or WELL?
DiamondRock Hospitality Company (DRH) is the more profitable company, earning 9.
1% net margin versus 8. 8% for Welltower Inc. — meaning it keeps 9. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: DRH leads at 14. 4% versus 3. 3% for WELL. At the gross margin level — before operating expenses — DRH leads at 55. 2%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is DRH or WELL more undervalued right now?
On forward earnings alone, DiamondRock Hospitality Company (DRH) trades at 20.
2x forward P/E versus 78. 4x for Welltower Inc. — 58. 2x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for WELL: 6. 3% to $226. 50.
08Which pays a better dividend — DRH or WELL?
All stocks in this comparison pay dividends.
DiamondRock Hospitality Company (DRH) offers the highest yield at 4. 4%, versus 1. 3% for Welltower Inc. (WELL).
09Is DRH or WELL better for a retirement portfolio?
For long-horizon retirement investors, Welltower Inc.
(WELL) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 13), 1. 3% yield, +223. 1% 10Y return). Both have compounded well over 10 years (WELL: +223. 1%, DRH: +40. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between DRH and WELL?
Both stocks operate in the Real Estate sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
In terms of investment character: DRH is a small-cap income-oriented stock; WELL is a mid-cap high-growth stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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Revenue Growth>
%
(DRH: 1.3% · WELL: 40.3%)Net Margin>
%
(DRH: 9.3% · WELL: 12.3%)P/E Ratio<
x
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