Park Hotels & Resorts (NYSE:PK) versus RLJ Lodging Trust (OTCMKTS:RLJ.PA) Critical Survey

Park Hotels & Resorts (NYSE:PK) and RLJ Lodging Trust (OTCMKTS:RLJ.PA) are both real estate companies, but which is the better investment? We will compare the two companies based on the strength of their valuation, institutional ownership, profitability, earnings, dividends, risk and analyst recommendations.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Park Hotels & Resorts and RLJ Lodging Trust, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Park Hotels & Resorts	1	11	2	0	2.07
RLJ Lodging Trust	0	0	0	0	0.00

Park Hotels & Resorts currently has a consensus target price of $13.92, indicating a potential downside of 7.65%. Given RLJ Lodging Trust’s higher probable upside, analysts clearly believe RLJ Lodging Trust is more favorable than Park Hotels & Resorts.

Profitability

This table compares Park Hotels & Resorts and RLJ Lodging Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Park Hotels & Resorts	-6.41%	-5.23%	-2.04%
RLJ Lodging Trust	N/A	N/A	N/A

Institutional & Insider Ownership

92.7% of Park Hotels & Resorts shares are held by institutional investors. 2.5% of Park Hotels & Resorts shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Park Hotels & Resorts and RLJ Lodging Trust”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Park Hotels & Resorts	$2.54 billion	1.19	-$283.00 million	($0.83)	-18.16
RLJ Lodging Trust	N/A	N/A	N/A	N/A	N/A

RLJ Lodging Trust has lower revenue, but higher earnings than Park Hotels & Resorts.

Summary

Park Hotels & Resorts beats RLJ Lodging Trust on 5 of the 9 factors compared between the two stocks.

About Park Hotels & Resorts

Park Hotels & Resorts, Inc. operates as a real estate investment trust, which owns and operates hotels and resorts. It operates through the Consolidated Hotels and Unconsolidated Hotels segments. Its portfolio of hotels and resorts include the Waldorf Astoria Hotels and Resorts, Conrad Hotels & Resorts, Hilton Hotels & Resorts, DoubleTree by Hilton, Embassy Suites by Hilton, Hilton Garden Inn, Hampton by Hilton, and Curio. The company was founded by Conrad Hilton in 1919 and is headquartered in Tysons, VA.

About RLJ Lodging Trust

RLJ Lodging Trust is a self-advised, publicly traded real estate investment trust that owns primarily premium-branded, high-margin, focused-service and compact full-service hotels. The Company's portfolio consists of 103 hotels with approximately 22,570 rooms, located in 23 states and the District of Columbia and an ownership interest in one unconsolidated hotel with 171 rooms.