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Host Hotels & Resorts (Host Hotels & Resorts) Degree of Financial Leverage : 1.00 (As of Dec. 2023)


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What is Host Hotels & Resorts Degree of Financial Leverage?

Degree of Financial Leverage (DFL) measures the percentage change in EPS for a unit change in Earnings Before Interest and Taxes (EBIT). Host Hotels & Resorts's Degree of Financial Leverage for the quarter that ended in Dec. 2023 was 1.00. The higher Degree of Financial Leverage, the more volatile earnings will be.

The industry rank for Host Hotels & Resorts's Degree of Financial Leverage or its related term are showing as below:

HST's Degree of Financial Leverage is ranked better than
56.53% of 674 companies
in the REITs industry
Industry Median: 1.07 vs HST: 1.00

Host Hotels & Resorts Degree of Financial Leverage Historical Data

The historical data trend for Host Hotels & Resorts's Degree of Financial Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Host Hotels & Resorts Degree of Financial Leverage Chart

Host Hotels & Resorts Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Financial Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.72 1.11 0.88 -5.44 1.00

Host Hotels & Resorts Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Degree of Financial Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -5.44 1.32 1.19 1.88 1.00

Competitive Comparison of Host Hotels & Resorts's Degree of Financial Leverage

For the REIT - Hotel & Motel subindustry, Host Hotels & Resorts's Degree of Financial Leverage, along with its competitors' market caps and Degree of Financial Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Host Hotels & Resorts's Degree of Financial Leverage Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Host Hotels & Resorts's Degree of Financial Leverage distribution charts can be found below:

* The bar in red indicates where Host Hotels & Resorts's Degree of Financial Leverage falls into.



Host Hotels & Resorts Degree of Financial Leverage Calculation

Host Hotels & Resorts's Degree of Financial Leverage for the quarter that ended in Dec. 2023 is calculated as:

Degree of Financial Leverage=% Change in Earnings per Share (Diluted)**/% Change in EBIT
=( 1.04 (Dec. 2023) / 0.88 (Dec. 2022) - 1 )/( 975 (Dec. 2023) / 825 (Dec. 2022) - 1 )
=0.1818/0.1818
=1.00***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EPS and EBIT was used to calculate Degree of Financial Leverage.
*** Please be aware that the Degree of Financial Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Host Hotels & Resorts  (NAS:HST) Degree of Financial Leverage Explanation

Degree of Financial Leverage (DFL) is a leverage ratio that measures the sensitivity of a company’s Earnings per Share (EPS) to fluctuations in its operating income, also referred to as Earnings Before Interest and Taxes (EBIT), resulting from adjustments in its capital structure. DFL is an essential tool for companies to assess the appropriate level of debt or financial leverage in their capital structure. When EBIT remains relatively stable, it results in stable earnings and earnings per share. In such cases, the company may consider taking on substantial debt. However, for companies operating in industries with significant fluctuations in EBIT, it is advisable to keep debt at a manageable level.

The higher Degree of Financial Leverage, the more volatile earnings will be. Because interest is a fixed expense, leverage can amplify earnings and EPS. This is beneficial when EBIT is growing, but it can become problematic in tough economic conditions when EBIT is under pressure.

Be Aware

The use of financial leverage varies across different industries and business sectors, and the application of Degree of Financial Leverage (DFL) should be adjusted accordingly.


Host Hotels & Resorts Degree of Financial Leverage Related Terms

Thank you for viewing the detailed overview of Host Hotels & Resorts's Degree of Financial Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Host Hotels & Resorts (Host Hotels & Resorts) Business Description

Traded in Other Exchanges
Address
4747 Bethesda Avenue, Suite 1300, Bethesda, MD, USA, 20814
Host Hotels & Resorts owns 77 predominantly urban and resort upper-upscale and luxury hotel properties representing nearly 42,000 rooms, mainly in the United States. Host recently sold off the company's interests in a joint venture owning a portfolio of hotels throughout Europe and also sold other joint ventures that owned properties in Asia and the United States. The majority of Host's portfolio operates under the Marriott and Starwood brands.
Executives
Sourav Ghosh officer: SVP, Business Intelligence, other: SVP, Business Intelligence 6903 ROCKLEDGE DRIVE, 15TH FLOOR, BETHESDA MD 20817
Nathan S Tyrrell officer: VP, Corp Finance & Asst Treas. 6903 ROCKLEDGE DRIVE, SUITE 1500, BETHESDA MD 20817
James F Risoleo officer: Executive Vice President
Mary Baglivo director C/O SAATCHI & SAATCHI, 17 HUDSON STREET, NEW YORK NY 10014
Walter C Rakowich director 14100 E 35TH PL, AURORA CO 80011
Mari Sifo officer: Executive Vice President and 4747 BETHESDA AVENUE, SUITE 1300, BETHESDA MD 20814
Diana Laing director THE MACERICH COMPANY, 401 WILSHIRE BVLD., STE. 700, SANTA MONICA CA 90401
Herman E Bulls director JONES LANG LASALLE, 1801 K STREET NW SUITE 1000, WASHINGTON DC 20006
Joanne G. Hamilton officer: Executive Vice President 6903 ROCKLEDGE DRIVE, SUITE 1500, BETHESDA MD 20817
Joseph Ottinger officer: See Remarks 4747 BETHESDA AVENUE, 13TH FLOOR, BETHESDA MD 20814
Brian G Macnamara officer: Sr. Vice President, Controller 6903 ROCKLEDGE DRIVE, 15TH FLOOR, BETHESDA MD 20817
Bair Sheila Colleen director 6903 ROCKLEDGE DRIVE, SUITE 1500, BETHESDA MD 20817
Richard E Marriott director, officer: Chairman of the Board 10400 FERNWOOD ROAD, BETHESDA MD 20817
Julie P Aslaksen officer: EVP, General Counsel & Sec. 4747 BETHESDA AVENUE, SUITE 1300, BETHESDA MD 20814
Michael E Lentz officer: Mng. Dir. - Global Development, other: Mng. Dir. - Global Development 6903 ROCKLEDGE DRIVE, SUITE 1500, BETHESDA MD 20817

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