OYO vs Hyatt Hotels Which Is More Attractive?

OYO and Hyatt Hotels are two major players in the global hospitality industry, each offering unique investment opportunities for stakeholders. OYO, known for its disruptive approach to hotel management and technology-driven business model, has rapidly expanded its reach across multiple countries. On the other hand, Hyatt Hotels, a well-established luxury hotel chain, has a strong brand reputation and loyal customer base. Both stocks have their strengths and weaknesses, making them interesting options for investors looking to diversify their portfolios in the hospitality sector.

OYO or Hyatt Hotels?

When comparing OYO and Hyatt Hotels, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between OYO and Hyatt Hotels.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. OYO has a dividend yield of 2.5%, while Hyatt Hotels has a dividend yield of 0.38%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. OYO reports a 5-year dividend growth of 15.68% year and a payout ratio of 0.00%. On the other hand, Hyatt Hotels reports a 5-year dividend growth of 0.00% year and a payout ratio of 5.52%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with OYO P/E ratio at 12.27 and Hyatt Hotels's P/E ratio at 11.43. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. OYO P/B ratio is 0.76 while Hyatt Hotels's P/B ratio is 4.26.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, OYO has seen a 5-year revenue growth of 0.58%, while Hyatt Hotels's is 0.62%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with OYO's ROE at 6.34% and Hyatt Hotels's ROE at 37.33%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥2427.00 for OYO and $158.00 for Hyatt Hotels. Over the past year, OYO's prices ranged from ¥1888.00 to ¥2864.00, with a yearly change of 51.69%. Hyatt Hotels's prices fluctuated between $124.40 and $168.20, with a yearly change of 35.21%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.