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DiamondRock Hospitality Company (DRH) Stock Grade

DRH · Real Estate

A-
Grade updated: September 29, 2026
Computed by the GradeMyInvestments scoring model from revenue growth, profitability, balance-sheet strength, and analyst targets.
Market Cap
$2.6B
P/E Ratio
18.2
Revenue Growth (YoY)
-0.8%
Net Margin
9.1%
Return on Equity
7.0%
Dividend Yield
4.4%

About DiamondRock Hospitality Company's fundamentals

DiamondRock Hospitality is a hotel REIT with a market capitalization of $2.6 billion that generated a net margin of 9.1%, indicating moderate profitability relative to its revenue base. The company's revenue declined 0.8% year-over-year, suggesting recent headwinds in its hotel portfolio operations. With a return on equity of 7.0%, the company is generating modest returns on shareholder capital, while its 4.4% dividend yield reflects a meaningful income component relative to its current valuation at 18.2 times earnings.

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