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DiamondRock Hospitality Company (DRH) Stock Grade

DRH · Real Estate

A-
Grade updated: July 18, 2026
Computed by the GradeMyInvestments scoring model from revenue growth, profitability, balance-sheet strength, and analyst targets.
Market Cap
$1.8B
P/E Ratio
18.2
Revenue Growth (YoY)
-0.8%
Net Margin
9.1%
Return on Equity
7.0%
Dividend Yield
4.5%

About DiamondRock Hospitality Company's fundamentals

DiamondRock Hospitality is a hotel REIT with a market capitalization of $1.8 billion that generated a net margin of 9.1%, indicating moderate profitability relative to its revenue base. The company is trading at a P/E ratio of 18.2 while experiencing a slight revenue contraction of 0.8% year-over-year, suggesting a mature or challenged operating environment. With a return on equity of 7.0% and a dividend yield of 4.5%, DiamondRock offers current income to shareholders but is generating modest returns on reinvested capital relative to typical equity benchmarks.

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