GreenTree Hospitality Group Ltd. (GHG) AI Stock Analysis

GreenTree Hospitality Group Ltd. operates and manages hotels across the People's Republic of China, primarily under the GreenTree brand. The company utilizes a dual model consisting of leased-and-operated hotels and a network of franchised-and-managed properties spanning economy to mid-scale categories. As of December 31, 2021, GreenTree operated 66 leased-and-operated hotels with 7,064 rooms and managed 4,593 franchised-and-managed locations with 330,089 rooms across 367 cities. In addition, it had 1,225 hotels with 91,887 rooms under development or contracted. Established in 2004 and based in Shanghai, GreenTree employs 2,287 people.

Revenue has contracted in recent years, falling 17.4% in FY2024 to $1.34B and dropping 18.3% to $1.10B in FY2025. Despite lower top-line results, FY2025 net income reached $166.8M with an operating margin of 12.8%, compared to net income of $110.0M and an operating margin of 12.1% in FY2024. Over the 5-year period from FY2020 to FY2025, revenue grew at a CAGR of 3.4%. For the trailing twelve months ended June 30, 2026, revenue totaled $1.01B with an EPS of $0.01. During the quarter ended June 30, 2026, revenue fell 18.7% year-over-year and quarterly earnings dropped 87.1%.

As of June 30, 2026, GreenTree Hospitality held $1.98B in cash and short-term investments against total debt of $1.51B, yielding net cash of $468.2M. Total assets stood at $4.80B and shareholders' equity was $1.63B, resulting in a debt-to-equity ratio of 0.93 and a current ratio of 1.70. Operating cash flow in FY2025 was $274.1M, generating free cash flow of $20.1M. Capital allocation in FY2025 included $254.0M in capital expenditures, $41.9M in dividends paid, and $5,327 spent on share buybacks.

At $0.94 per share on October 16, 2026, GreenTree Hospitality had a market cap of $95.4M and an enterprise value of $32.0M. The stock traded at a trailing P/E of 94.5x, well above the 18.0x median of its US-listed Consumer Cyclical peers. However, its price-to-sales ratio of 0.1x and EV/EBITDA of 3.0x traded below the peer medians of 0.7x and 11.1x. Over the prior year, the stock fell 51.5% while the S&P 500 rose 16.8%. Over a 5-year span, the stock dropped 86.6%, compared to an 83.0% gain for the index.

GreenTree Hospitality pays an annual forward dividend of $0.06 per share, yielding 6.35% based on the $0.94 share price. The company reported a dividend payout ratio of 9.2% and has paid dividends for 2 consecutive years. Its payout frequency is designated as Other, and its last ex-dividend date was October 31, 2025.

Wall Street analysts hold a mean price target of $3.60 for GHG, which represents a 281.0% upside from the closing price of $0.94 on October 16, 2026. GreenTree posted 3 EPS beats over its last 4 quarters. Ownership is heavily concentrated among insiders, who control 85.6% of outstanding shares, while institutions own 9.7% and short interest accounts for 0.3% of the float.

This page is an AI-written research summary of GreenTree Hospitality Group Ltd. (GHG). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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