DiamondRock Hospitality Company (DRH) vs Sunstone Hotel Investors, Inc. (SHO)
A side-by-side comparison of DiamondRock Hospitality Company and Sunstone Hotel Investors, Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of October 6, 2026. Differences are shown without an overall score or investment verdict.
Total return — DRH vs SHO
growth of $100 · dividends reinvested · last 10yDRH vs SHO: by the numbers
- •DRH is the larger company ($2.58B vs $2.14B market cap).
- •DRH converts more revenue to profit (13.52% vs 5.30% net margin).
- •SHO grew revenue faster over the past five years (33.78% vs 29.94% CAGR).
- •DRH pays the higher dividend yield (3.38% vs 3.18%).
Metrics side by side
Valuation
| Metric | DRH | SHO |
|---|---|---|
| P/E ratio | 17.28 | 46.59 |
| Forward P/E | 16.20 | 38.70 |
| P/S ratio | 2.27 | 2.13 |
| P/B ratio | 1.69 | 1.31 |
| EV / EBITDA | 12.35 | 13.31 |
| FCF yield | 6.33% | 5.41% |
For REITs like DiamondRock Hospitality Company, GAAP P/E is distorted: heavy non-cash property depreciation depresses reported earnings and overstates the multiple. Real-estate companies are valued on funds from operations (FFO / AFFO) and price-to-FFO — see the Funds From Operations section. The P/E is shown for reference only.
For REITs like Sunstone Hotel Investors, Inc., GAAP P/E is distorted: heavy non-cash property depreciation depresses reported earnings and overstates the multiple. Real-estate companies are valued on funds from operations (FFO / AFFO) and price-to-FFO — see the Funds From Operations section. The P/E is shown for reference only.
Profitability
| Metric | DRH | SHO |
|---|---|---|
| Gross margin | 53.98% | 4.75% |
| Operating margin | 16.09% | 9.03% |
| Net margin | 13.52% | 5.30% |
| ROE | 10.09% | 2.82% |
| ROIC | 5.96% | 2.97% |
Dividends
| Metric | DRH | SHO |
|---|---|---|
| Dividend yield | 3.38% | 3.18% |
| Payout ratio | 57.53% | 146.16% |
DiamondRock Hospitality Company's payout ratio is measured against GAAP earnings, which non-cash depreciation depresses for REITs — the dividend is conventionally assessed against funds from operations (FFO / AFFO) instead, so the GAAP figure overstates the payout burden.
Sunstone Hotel Investors, Inc.'s payout ratio is measured against GAAP earnings, which non-cash depreciation depresses for REITs — the dividend is conventionally assessed against funds from operations (FFO / AFFO) instead, so the GAAP figure overstates the payout burden.
Growth (annualized)
| Metric | DRH | SHO |
|---|---|---|
| Revenue CAGR (5Y) | 29.94% | 33.78% |
| Total return CAGR (5Y) | 7.77% | 0.89% |
Frequently asked
- Which has grown faster, DRH or SHO?
- Over the past five years, SHO grew revenue faster — DRH at a 29.94% CAGR versus SHO at 33.78%.
- Does DRH or SHO pay a bigger dividend?
- DRH yields 3.38% and SHO yields 3.18% based on trailing dividends and the latest price.
- Is DRH or SHO more profitable?
- DRH runs the higher net margin — DRH at 13.52% versus SHO at 5.30%.
- How have DRH and SHO total returns compared?
- Over the past 10 years, DRH delivered 6.03% and SHO delivered 1.70% annualized total return. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
DiamondRock Hospitality & Sunstone Hotel Investors appear in these rankings
Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified October 6, 2026.