Sunstone Hotel Investors, Inc. (SHO) intrinsic value & 10-year financials

Sunstone Hotel Investors, Inc. (SHO) has no Graham intrinsic value right now because the formula needs positive earnings. Over the last 10 fiscal years revenue shrank 2.4% a year to $960.1M, with an average return on invested capital of 2.5%.

Graham intrinsic value
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Share price (Oct 17, 2026)
$11.83
Market cap
$2.3B
Revenue (FY2025)
$960.1M
Revenue growth (10-yr CAGR)
-2.4%
ROIC (10-yr avg)
2.5%
Free cash flow (FY2025)
—

SHO 10-year financial history

Fiscal year Revenue Net income EPS (diluted) Free cash flow Operating margin ROIC
FY2025 $960.1M $24.6M $0.04 — — 0.9%
FY2024 $905.8M $43.3M $0.14 — — 1.6%
FY2023 $986.5M $206.7M $0.93 — — 7.7%
FY2022 $912.1M $90.8M $0.34 — — 3.3%
FY2021 $509.1M $33.0M $0.06 — — 1.3%
FY2020 $267.9M -$410.5M -$1.93 — — -15.6%
FY2019 $1.1B $142.8M — — — 5.1%
FY2018 $1.2B $259.1M — — 25.8% 10.1%
FY2017 $1.2B $153.0M — — 11.8% 4.6%
FY2016 $1.2B $140.7M — — 14.3% 5.6%

Source: annual 10-K filings on SEC EDGAR. Figures in USD.

Executive summary

Sunstone Hotel Investors, Inc. is facing top-line stagnation, with revenue contracting over the decade.

Sunstone Hotel Investors, Inc. has historically struggled to out-earn its cost of capital, averaging just 2.5% ROIC.

Sunstone Hotel Investors, Inc. has not shown aggressive share repurchases (>10% retirement) or a major balance-sheet leverage increase (>50% net debt growth) over the 10-year window.

Benjamin Graham lens

Under Benjamin Graham's formula using SEC EDGAR fundamentals, Sunstone Hotel Investors, Inc. is modeled at -9.6% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $-0.37 per share.

SHO stock: frequently asked questions

What is the intrinsic value of Sunstone Hotel Investors, Inc. (SHO) stock?

Graham's formula only works with positive earnings. Sunstone Hotel Investors, Inc. reported diluted EPS of $0.04 in fiscal 2025, so no Graham value is shown. The 10-year table shows revenue and cash-flow trends instead.

How fast has Sunstone Hotel Investors, Inc. grown?

Revenue went from $1.2B in fiscal 2016 to $960.1M in fiscal 2025, a compound annual growth rate of -2.4%. Net income was $24.6M in fiscal 2025.

What is SHO's return on invested capital?

Average ROIC over the last 10 fiscal years was 2.5%, and average return on equity was 2.8%. Sustained ROIC above about 15% usually points to a durable competitive advantage.

Where does this SHO data come from?

From Sunstone Hotel Investors, Inc.'s annual 10-K filings on SEC EDGAR, most recently filed Aug 6, 2026. Prices are end-of-day snapshots; valuations are formula outputs, not investment advice.

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