SHO
Sunstone Hotel Investors, Inc.
REIT - Hotel & Motel
Market Cap$1.94B
5Y Perf.+15.8%
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Stock Comparison
SHO vs WELL
Revenue, margins, valuation, and 5-year total return — side by side.
WELL
Welltower Inc.
REIT - Healthcare Facilities
Market Cap$151.66B
5Y Perf.+327.2%
SHO vs WELL — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | SHO | WELL |
|---|---|---|
| Industry | REIT - Hotel & Motel | REIT - Healthcare Facilities |
| Market Cap | $1.94B | $151.66B |
| Revenue (TTM) | $986M | $11.63B |
| Net Income (TTM) | $38M | $1.43B |
| Gross Margin | 20.1% | 39.1% |
| Operating Margin | 8.8% | 4.4% |
| Forward P/E | 129.9x | 79.7x |
| Total Debt | $925M | $21.38B |
| Cash & Equiv. | $109M | $5.03B |
SHO vs WELL — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
SHO
WELL
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| Sunstone Hotel Inve… (SHO) | 100 | 115.8 | +15.8% |
| Welltower Inc. (WELL) | 100 | 427.2 | +327.2% |
Price return only. Dividends and distributions are not included.
Quick Verdict: SHO vs WELL
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: WELL leads in 6 of 7 categories, making it the strongest pick for growth and revenue expansion and valuation and capital efficiency. Sunstone Hotel Investors, Inc. is the stronger pick specifically for dividend income and shareholder returns. As sector peers, any of these can serve as alternatives in the same allocation.
SHO
Sunstone Hotel Investors, Inc.
The Real Estate Income Play
SHO is the clearest fit if your priority is income & stability.
- Dividend streak 4 yrs, beta 1.00, yield 4.3%
- 4.3% yield, 4-year raise streak, vs WELL's 1.3%
Best for: income & stability
WELL
Welltower Inc.
The Real Estate Income Play
WELL carries the broadest edge in this set and is the clearest fit for growth exposure and long-term compounding.
- Rev growth 35.8%, EPS growth -11.5%, 3Y rev CAGR 22.7%
- 233.9% 10Y total return vs SHO's 12.0%
- Lower volatility, beta 0.13, Low D/E 49.5%, current ratio 5.34x
Best for: growth exposure and long-term compounding
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | WELL | 35.8% FFO/revenue growth vs SHO's 6.0% |
| Value | WELL | Lower P/E (79.7x vs 129.9x) |
| Quality / Margins | WELL | 12.3% margin vs SHO's 3.8% |
| Stability / Safety | WELL | Beta 0.13 vs SHO's 1.00 |
| Dividends | SHO | 4.3% yield, 4-year raise streak, vs WELL's 1.3% |
| Momentum (1Y) | WELL | +45.8% vs SHO's +27.8% |
| Efficiency (ROA) | WELL | 2.3% ROA vs SHO's 1.3%, ROIC 0.5% vs 2.0% |
SHO vs WELL — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
FY 2025
FY 2025
SHO vs WELL — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLSHOLAGGINGWELL
WELLWelltower Inc.
2leads
SHOSunstone Hotel Invest…
3leads
6 Total Categories
CATEGORYLEADERvs WELLMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
WELL4/6
Valuation MetricsMultiples, price ratios, and targets
SHO4/6
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
SHO6/9
Total Returns1Y, 3Y, 5Y total returns with dividends
WELL6/6
Risk & VolatilityBeta, volatility, and downside exposure
Tied
—
Analyst OutlookRatings, price targets, and dividends
SHO2/2
Income & Cash Flow (Last 12 Months)
WELL leads this category, winning 4 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
WELL is the larger business by revenue, generating $11.6B annually — 11.8x SHO's $986M. WELL is the more profitable business, keeping 12.3% of every revenue dollar as net income compared to SHO's 3.8%. On growth, WELL holds the edge at +40.3% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | SHOSunstone Hotel In… | WELLWelltower Inc. |
|---|---|---|
| RevenueTrailing 12 months | $986M | $11.6B |
| EBITDAEarnings before interest/tax | $190M | $2.8B |
| Net IncomeAfter-tax profit | $38M | $1.4B |
| Free Cash FlowCash after capex | $132M | $2.5B |
| Gross MarginGross profit ÷ Revenue | +20.1% | +39.1% |
| Operating MarginEBIT ÷ Revenue | +8.8% | +4.4% |
| Net MarginNet income ÷ Revenue | +3.8% | +12.3% |
| FCF MarginFCF ÷ Revenue | +13.4% | +21.9% |
| Rev. Growth (YoY)Latest quarter vs prior year | +11.0% | +40.3% |
| EPS Growth (YoY)Latest quarter vs prior year | +7.0% | +22.5% |
WELL leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
SHO leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
At 155.7x trailing earnings, WELL trades at a 36% valuation discount to SHO's 242.3x P/E. On an enterprise value basis, SHO's 13.2x EV/EBITDA is more attractive than WELL's 67.4x.
| Metric | SHOSunstone Hotel In… | WELLWelltower Inc. |
|---|---|---|
| Market CapShares × price | $1.9B | $151.7B |
| Enterprise ValueMkt cap + debt − cash | $2.8B | $168.0B |
| Trailing P/EPrice ÷ TTM EPS | 242.32x | 155.73x |
| Forward P/EPrice ÷ next-FY EPS est. | 129.91x | 79.69x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 13.18x | 67.37x |
| Price / SalesMarket cap ÷ Revenue | 2.02x | 14.22x |
| Price / BookPrice ÷ Book value/share | 1.02x | 3.40x |
| Price / FCFMarket cap ÷ FCF | 24.68x | 53.25x |
SHO leads this category, winning 4 of 6 comparable metrics.
Profitability & Efficiency
SHO leads this category, winning 6 of 9 comparable metrics.
Profitability & Efficiency
WELL delivers a 3.5% return on equity — every $100 of shareholder capital generates $3 in annual profit, vs $2 for SHO. SHO carries lower financial leverage with a 0.48x debt-to-equity ratio, signaling a more conservative balance sheet compared to WELL's 0.49x. On the Piotroski fundamental quality scale (0–9), WELL scores 7/9 vs SHO's 5/9, reflecting strong financial health.
| Metric | SHOSunstone Hotel In… | WELLWelltower Inc. |
|---|---|---|
| ROE (TTM)Return on equity | +1.9% | +3.5% |
| ROA (TTM)Return on assets | +1.3% | +2.3% |
| ROICReturn on invested capital | +2.0% | +0.5% |
| ROCEReturn on capital employed | +2.5% | +0.6% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 7 |
| Debt / EquityFinancial leverage | 0.48x | 0.49x |
| Net DebtTotal debt minus cash | $816M | $16.3B |
| Cash & Equiv.Liquid assets | $109M | $5.0B |
| Total DebtShort + long-term debt | $925M | $21.4B |
| Interest CoverageEBIT ÷ Interest expense | 1.58x | 0.26x |
SHO leads this category, winning 6 of 9 comparable metrics.
Total Returns (Dividends Reinvested)
WELL leads this category, winning 6 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in WELL five years ago would be worth $31,193 today (with dividends reinvested), compared to $9,226 for SHO. Over the past 12 months, WELL leads with a +45.8% total return vs SHO's +27.8%. The 3-year compound annual growth rate (CAGR) favors WELL at 43.3% vs SHO's 3.1% — a key indicator of consistent wealth creation.
| Metric | SHOSunstone Hotel In… | WELLWelltower Inc. |
|---|---|---|
| YTD ReturnYear-to-date | +13.3% | +16.2% |
| 1-Year ReturnPast 12 months | +27.8% | +45.8% |
| 3-Year ReturnCumulative with dividends | +9.7% | +194.0% |
| 5-Year ReturnCumulative with dividends | -7.7% | +211.9% |
| 10-Year ReturnCumulative with dividends | +12.0% | +233.9% |
| CAGR (3Y)Annualised 3-year return | +3.1% | +43.3% |
WELL leads this category, winning 6 of 6 comparable metrics.
Risk & Volatility
Evenly matched — SHO 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 SHO's 1.00 beta. A beta below 1.0 means the stock typically moves less than the S&P 500.
| Metric | SHOSunstone Hotel In… | WELLWelltower Inc. |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 1.00x | 0.13x |
| 52-Week HighHighest price in past year | $10.33 | $219.59 |
| 52-Week LowLowest price in past year | $8.14 | $142.65 |
| % of 52W HighCurrent price vs 52-week peak | +99.2% | +98.6% |
| RSI (14)Momentum oscillator 0–100 | 65.6 | 57.6 |
| Avg Volume (50D)Average daily shares traded | 1.6M | 2.6M |
Evenly matched — SHO and WELL each lead in 1 of 2 comparable metrics.
Analyst Outlook
SHO leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
Wall Street rates SHO as "Hold" and WELL as "Buy". Consensus price targets imply 4.6% upside for WELL (target: $227) vs 2.4% for SHO (target: $11). For income investors, SHO offers the higher dividend yield at 4.34% vs WELL's 1.28%.
| Metric | SHOSunstone Hotel In… | WELLWelltower Inc. |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Buy |
| Price TargetConsensus 12-month target | $10.50 | $226.50 |
| # AnalystsCovering analysts | 28 | 34 |
| Dividend YieldAnnual dividend ÷ price | +4.3% | +1.3% |
| Dividend StreakConsecutive years of raises | 4 | 2 |
| Dividend / ShareAnnual DPS | $0.44 | $2.76 |
| Buyback YieldShare repurchases ÷ mkt cap | +5.6% | 0.0% |
SHO leads this category, winning 2 of 2 comparable metrics.
Key Takeaway
SHO leads in 3 of 6 categories (Valuation Metrics, Profitability & Efficiency). WELL leads in 2 (Income & Cash Flow, Total Returns). 1 tied.
Best OverallSunstone Hotel Investors, I… (SHO)Leads 3 of 6 categories
Loading custom metrics...
SHO vs WELL: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is SHO 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 6. 0% for Sunstone Hotel Investors, Inc. (SHO). Welltower Inc. (WELL) offers the better valuation at 155. 7x trailing P/E (79. 7x 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 — SHO or WELL?
On trailing P/E, Welltower Inc.
(WELL) is the cheapest at 155. 7x versus Sunstone Hotel Investors, Inc. at 242. 3x. On forward P/E, Welltower Inc. is actually cheaper at 79. 7x.
03Which is the better long-term investment — SHO or WELL?
Over the past 5 years, Welltower Inc.
(WELL) delivered a total return of +211. 9%, compared to -7. 7% for Sunstone Hotel Investors, Inc. (SHO). Over 10 years, the gap is even starker: WELL returned +233. 9% versus SHO's +12. 0%. 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 — SHO or WELL?
By beta (market sensitivity over 5 years), Welltower Inc.
(WELL) is the lower-risk stock at 0. 13β versus Sunstone Hotel Investors, Inc. 's 1. 00β — meaning SHO is approximately 654% more volatile than WELL relative to the S&P 500. On balance sheet safety, Sunstone Hotel Investors, Inc. (SHO) carries a lower debt/equity ratio of 48% versus 49% for Welltower Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — SHO or WELL?
By revenue growth (latest reported year), Welltower Inc.
(WELL) is pulling ahead at 35. 8% versus 6. 0% for Sunstone Hotel Investors, Inc. (SHO). On earnings-per-share growth, the picture is similar: Welltower Inc. grew EPS -11. 5% year-over-year, compared to -69. 8% for Sunstone Hotel Investors, 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 — SHO or WELL?
Welltower Inc.
(WELL) is the more profitable company, earning 8. 8% net margin versus 2. 6% for Sunstone Hotel Investors, Inc. — meaning it keeps 8. 8% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: SHO leads at 7. 8% versus 3. 3% for WELL. At the gross margin level — before operating expenses — WELL leads at 39. 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 SHO or WELL more undervalued right now?
On forward earnings alone, Welltower Inc.
(WELL) trades at 79. 7x forward P/E versus 129. 9x for Sunstone Hotel Investors, Inc. — 50. 2x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for WELL: 4. 6% to $226. 50.
08Which pays a better dividend — SHO or WELL?
All stocks in this comparison pay dividends.
Sunstone Hotel Investors, Inc. (SHO) offers the highest yield at 4. 3%, versus 1. 3% for Welltower Inc. (WELL).
09Is SHO 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, +233. 9% 10Y return). Both have compounded well over 10 years (WELL: +233. 9%, SHO: +12. 0%), 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 SHO 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: SHO 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>
%
(SHO: 11.0% · WELL: 40.3%)Net Margin>
%
(SHO: 3.8% · WELL: 12.3%)P/E Ratio<
x
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