Latest Ratios: P/E Ratio 4.7x · EV/EBITDA 2.6x · ROE 10.8%. (2015–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $116M | $171M | $260M | $384M | $382M | $816M | $1.4B | $1.1B | $1.3B | — | — |
| Enterprise Value | $89M | $-15440690 | $483M | $1.5B | $1.9B | $1.2B | $920M | $863M | $84M | — | — |
| P/E Ratio → | 4.73 | 1.02 | 2.37 | 1.42 | — | 9.21 | 5.28 | 2.53 | 3.27 | — | — |
| P/S Ratio | 0.72 | 0.16 | 0.19 | 0.24 | 0.40 | 0.41 | 1.48 | 1.03 | 1.36 | — | — |
| P/B Ratio | 0.49 | 0.11 | 0.17 | 0.26 | 0.23 | 0.40 | 0.61 | 0.57 | 0.69 | — | — |
| P/FCF | 39.35 | 8.51 | 0.88 | 1.05 | 1.80 | — | 7.48 | 2.71 | 3.12 | — | — |
| P/OCF | 2.88 | 0.62 | 0.70 | 0.84 | 1.36 | 2.26 | 4.64 | 2.18 | 2.32 | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | -0.01 | 0.36 | 0.89 | 2.04 | 0.62 | 0.99 | 0.79 | 0.09 | — | — |
| EV / EBITDA | 2.63 | -0.07 | 1.74 | 3.21 | — | 4.93 | 2.39 | 1.58 | 0.15 | — | — |
| EV / EBIT | 4.30 | -0.07 | 2.38 | 3.68 | — | 5.82 | 2.88 | 1.37 | 0.16 | — | — |
| EV / FCF | — | -0.77 | 1.65 | 3.96 | 9.08 | — | 4.98 | 2.09 | 0.20 | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 34.9% | 34.9% | 38.8% | 41.8% | 37.2% | 28.2% | 57.8% | 69.0% | 70.3% | 70.0% | 62.9% |
| Operating Margin | 12.8% | 12.8% | 12.1% | 20.6% | -51.5% | 6.6% | 34.3% | 46.2% | 56.6% | 49.8% | 48.2% |
| Net Profit Margin | 15.2% | 15.2% | 8.2% | 16.6% | -45.0% | 4.5% | 28.1% | 40.5% | 41.7% | 36.7% | 41.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 10.8% | 10.8% | 7.4% | 17.2% | -23.0% | 4.1% | 12.4% | 23.2% | 32.2% | 35.5% | 29.5% |
| ROA | 3.4% | 3.4% | 2.2% | 5.0% | -8.2% | 2.0% | 6.6% | 13.0% | 16.5% | 15.7% | 16.2% |
| ROIC | 6.7% | 6.7% | 5.7% | 8.8% | -12.9% | 4.6% | 13.7% | 32.2% | 74.3% | 105.5% | 116.7% |
| ROCE | 3.8% | 3.8% | 4.3% | 8.5% | -12.9% | 3.9% | 10.3% | 19.1% | 32.6% | 33.3% | 25.7% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.92 | 0.92 | 1.15 | 1.24 | 1.35 | 0.35 | 0.07 | 0.03 | 0.03 | — | — |
| Debt / EBITDA | 6.43 | 6.43 | 6.17 | 4.05 | — | 2.85 | 0.39 | 0.11 | 0.11 | — | — |
| Net Debt / Equity | — | -0.12 | 0.15 | 0.72 | 0.93 | 0.20 | -0.21 | -0.13 | -0.65 | -0.28 | -0.87 |
| Net Debt / EBITDA | -0.81 | -0.81 | 0.80 | 2.36 | — | 1.65 | -1.20 | -0.48 | -2.15 | -0.39 | -2.58 |
| Debt / FCF | — | -9.28 | 0.76 | 2.91 | 7.28 | — | -2.50 | -0.63 | -2.92 | -0.35 | -2.05 |
| Interest Coverage | 27.83 | 27.83 | 32.25 | 28.07 | -17.01 | 13.77 | 92.37 | 250.84 | 983.22 | 317.53 | — |
Net cash position: cash ($1.7B) exceeds total debt ($1.5B)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.61 | 1.61 | 1.57 | 1.21 | 1.18 | 1.47 | 1.82 | 1.47 | 3.63 | 1.83 | 3.26 |
| Quick Ratio | 1.60 | 1.60 | 1.57 | 1.20 | 1.16 | 1.46 | 1.82 | 1.47 | 3.62 | 1.82 | 3.25 |
| Cash Ratio | 1.41 | 1.41 | 1.28 | 0.90 | 0.60 | 0.81 | 1.33 | 1.12 | 3.34 | 1.54 | 2.38 |
| Asset Turnover | — | 0.23 | 0.27 | 0.32 | 0.17 | 0.42 | 0.23 | 0.29 | 0.31 | 0.44 | 0.35 |
| Inventory Turnover | 145.05 | 145.05 | 119.54 | 46.30 | 27.10 | 283.51 | 103.17 | 133.52 | 110.28 | 99.21 | 130.21 |
| Days Sales Outstanding | — | 46.26 | 70.39 | 30.98 | 303.90 | 141.32 | 55.87 | 34.41 | 25.05 | 25.27 | 20.53 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 5.3% | 24.5% | 27.3% | — | 10.7% | 39.2% | — | 20.2% | 15.6% | — | — |
| Payout Ratio | 25.1% | 25.1% | 64.5% | — | — | 361.0% | — | 51.3% | 50.9% | 202.9% | 6.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 21.1% | 97.6% | 42.2% | 70.2% | — | 10.9% | 19.0% | 39.5% | 30.6% | — | — |
| FCF Yield | 2.5% | 11.7% | 113.0% | 95.5% | 55.7% | — | 13.4% | 36.8% | 32.1% | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.1% | 5.1% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — | — |
| Total Shareholder Yield | 5.3% | 24.5% | 27.4% | 5.1% | 10.7% | 39.2% | 0.0% | 20.2% | 15.6% | — | — |
| Shares Outstanding | — | $101M | $102M | $102M | $103M | $103M | $103M | $102M | $99M | $203M | $203M |
Sustained Revenue Contraction
According to current market data, GHG trades at a P/E of 4.65 and an EV/EBITDA of 2.57, which, based on reported figures, suggests the market is pricing in a permanent impairment of the company's growth prospects rather than a cyclical downturn in the Chinese lodging sector.
The valuation multiples appear significantly compressed relative to global peers like Hilton or Marriott, which often trade at double-digit EBITDA multiples. This disconnect suggests that investors are heavily discounting the company's earnings due to the recent -18.32% revenue contraction and the inherent risks of the Chinese economy, potentially ignoring the optionality provided by the firm's substantial cash reserves.
As reported in recent financial statements, GHG's ROIC has trended into negative territory, reaching -0.7% in 2025Q4, which indicates that the company is currently failing to generate returns above its cost of capital as it navigates a period of significant operational consolidation.
The decline in ROIC from positive levels in 2024 suggests that the company's asset-light franchise model is struggling to offset the drag from its remaining leased-and-operated portfolio. This trend warrants further investigation into whether the current capital allocation strategy is effectively utilizing the firm's large cash pile to drive future growth or if it is merely preserving capital in a stagnant environment.
Based on the provided quarterly data, GHG's cash conversion cycle has expanded to 43 days in 2025Q4, which, according to historical trends, indicates a weakening in the company's ability to efficiently manage its receivables and payables during this period of top-line revenue decline.
The increase in DSO to 67 days suggests that the company may be offering more lenient credit terms to its franchisees to maintain occupancy, which could be masking underlying demand weakness. Investors should monitor whether this trend continues, as it may signal a deterioration in the quality of the company's franchise relationships and a potential increase in future bad debt risk.
As indicated by recent balance sheet filings, GHG maintains a current ratio of 1.61, which, when compared to the company's historical liquidity profile, suggests that the firm possesses a substantial buffer to withstand prolonged periods of negative operating cash flow and market stress.
The company's ability to maintain a quick ratio of 1.60 despite the recent revenue contraction highlights the strength of its cash-heavy balance sheet. While this liquidity provides a significant safety net, it also raises questions regarding the efficiency of capital deployment, as the firm appears to be holding significant cash rather than reinvesting in its core hospitality operations.
The P/E ratio is frequently misapplied to GHG, as it fails to account for the company's massive cash position, which, based on reported figures, significantly distorts the earnings multiple and masks the underlying profitability of the core hotel management business.
Analysts should instead focus on EV/EBITDA or an adjusted P/E that excludes interest income from the cash pile to better understand the true earning power of the franchise network. Relying on standard P/E multiples in this context may lead to an inaccurate assessment of the company's valuation, as it treats the cash-rich balance sheet as a liability rather than a strategic asset.
Includes 30+ ratios · 11 years · Updated daily
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Quick answers to the most common questions about buying GHG stock.
GreenTree Hospitality Group Ltd.'s current P/E ratio is 4.7x. The historical average is 3.6x. This places it at the 71th percentile of its historical range.
GreenTree Hospitality Group Ltd.'s current EV/EBITDA is 2.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 2.3x.
GreenTree Hospitality Group Ltd.'s return on equity (ROE) is 10.8%. The historical average is 16.3%.
Based on historical data, GreenTree Hospitality Group Ltd. is trading at a P/E of 4.7x. This is at the 71th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
GreenTree Hospitality Group Ltd.'s current dividend yield is 5.30% with a payout ratio of 25.1%.
GreenTree Hospitality Group Ltd. has 34.9% gross margin and 12.8% operating margin. Operating margin between 10-20% is typical for established companies.
GreenTree Hospitality Group Ltd.'s Debt/EBITDA ratio is 6.4x, indicating high leverage. A ratio above 4x may signal elevated financial risk.