Intercontinental Hotels Group American Depositary Shares (Each representing one Ordinary Share) (IHG)

FairStock Score: 44/100 — MIXED

Key Financials

Current Price$162.4
Market Cap$21.6B
P/E Ratio34.48
ROE—%
Dividend Yield1.17%
SectorConsumer Cyclical

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

At $160.89 on 2026-10-13, IHG is a collection of lodging brands and franchise systems, with 13,049 employees. The business model can be attractive: franchising and managing hotels usually requires less capital than owning real estate, and a portfolio from Holiday Inn to InterContinental may create scale and switching costs. The provided FairStock ROCE of 15.50% suggests the enterprise earns respectable returns on capital, a positive sign of business quality. But I am a demanding buyer. The FairStock P/E of 34.16 at that close prices in a lot of optimism. The dividend yield is only 1.18%, and beta of 1.03 suggests market-like volatility. More troubling is the financial-health picture: FairStock Piotroski F-Score is 1/9 and Altman Z-Score is 1.20, both weak warnings in this dataset. The FairStock Score of 48/100 offers little margin of safety. Growth is opaque because revenue growth and profit growth are not available, and the Lynch category is none because there are only 0 years of filed results, needing 3. That missing history prevents me from judging whether earnings are durable or cyclical. A great brand portfolio and franchise model can be a moat, but without consistent filed results, I cannot underwrite the growth trajectory. At this price, the stock looks fairly to richly valued rather than a Graham bargain. I would wait for more complete historical financials and stronger balance-sheet signals before treating it as a value opportunity.

In plain English: InterContinental Hotels Group runs and franchises hotel brands worldwide, including Holiday Inn and InterContinental. It earns a solid return on the capital it uses, but the share price looks high compared with its profits, and some financial-health checks are weak.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer