Choice Hotels (CHH) Q2 Earnings Top Estimates

Core Viewpoint - Choice Hotels reported quarterly earnings of $1.92 per share, exceeding the Zacks Consensus Estimate of $1.90 per share, and showing an increase from $1.84 per share a year ago, representing an earnings surprise of +1.05% [1] Financial Performance - The company posted revenues of $426.44 million for the quarter ended June 2025, which was slightly below the Zacks Consensus Estimate by 0.15%, and a decrease from $435.16 million in the same quarter last year [2] - Over the last four quarters, Choice Hotels has surpassed consensus EPS estimates three times, but has only topped consensus revenue estimates once [2] Stock Performance - Choice Hotels shares have declined approximately 11.9% since the beginning of the year, contrasting with the S&P 500's gain of 7.1% [3] - The current Zacks Rank for Choice Hotels is 4 (Sell), indicating expectations of underperformance in the near future [6] Future Outlook - The consensus EPS estimate for the upcoming quarter is $2.17 on revenues of $426.24 million, and for the current fiscal year, it is $6.99 on revenues of $1.56 billion [7] - The outlook for the Hotels and Motels industry is currently in the bottom 10% of over 250 Zacks industries, which may negatively impact the stock's performance [8]