Core Insights - Wyndham Hotels & Resorts Inc. is currently viewed as one of the most undervalued stocks on the NYSE, with Wells Fargo initiating coverage at an Equal Weight rating and a price target of $82 [1][3] - Despite the perceived undervaluation, analysts express caution due to overly optimistic consensus earnings estimates, indicating a neutral stance until improvements in Revenue Per Available Room (PAR) or fee growth are observed [1][3] Financial Performance - In Q3 2023, Wyndham reported a 5% year-over-year decline in Revenue PAR, with Fee-Related and Other Revenues totaling $382 million, reflecting a 3% decrease [2][3] - The company achieved a 21% increase in room openings and a 24% increase in deals signed during the quarter, contributing to a 9% net room growth internationally and a 4% increase in the global pipeline, which now stands at a record 257,000 rooms across approximately 2,200 hotels [2] - The full-year Revenue PAR outlook has been revised to a decline of 2% to 3% in constant currency, a reduction from previous expectations, while Fee-Related and Other Revenues are projected to be between $1.43 billion and $1.45 billion [3]

Group 1 - Baron Focused Growth Fund reported a 4.83% appreciation in Q3 2025, underperforming the Russell 2500 Growth Index's 10.73% gain due to economic growth slowdown concerns affecting Consumer Discretionary stocks [1] - The fund's performance was negatively impacted by rising competitive pressures affecting the valuations of some holdings [1] Group 2 - Choice Hotels International, Inc. (NYSE:CHH) experienced a one-month return of -10.03% and a 52-week loss of 36.67%, closing at $91.50 per share with a market capitalization of $4.23 billion on November 4, 2025 [2] - The decline in Choice Hotels' shares by 15.6% during the quarter hurt the fund's performance by 44 basis points, driven by concerns over slowing revenue-per-available-room (RevPAR) growth [3] - Management is reducing exposure to RevPAR fluctuations by expanding higher-margin, non-RevPAR fee income and leveraging a 70-million-member loyalty database for partnerships [3] - The company is focusing on adding higher-revenue units at a low single-digit rate, emphasizing larger room sizes and premium royalty rates [3] - Revenue growth is expected to accelerate due to a robust pipeline of new projects and synergies from the Radisson Americas acquisition [3] - Choice Hotels has a strong balance sheet, positioning it to return capital to shareholders through dividends and share repurchases [3]