DiamondRock Hospitality Company (DRH) Fair Value 2026

DRH · REIT - Hotel & Motel ·

By CirclFi Research Team · Data from SEC EDGAR, FRED & GDELT

Quality Score

7.9 /10

32 fundamental signals · 8 models active

Value Trap Risk

SAFE (6/100)

Quick Summary — As of 2026-08-28, DiamondRock Hospitality Company (DRH) trades at $12.70, versus a $8.86 median fair value across its 8 active models — 30.2% below the current price. QOC: 7.9/10. Value Trap Risk: 6/100 (SAFE). 8/13 models active.

Key Facts

Ticker
DRH
Price
$12.70
Quality Score
7.9/10
Value Trap Risk
6/100
Models Active
8/13
Last Updated
Strength: 8 independent models provide multi-angle coverage
Risk: Majority of models suggest overvaluation

Is DiamondRock Hospitality Company (DRH) Undervalued or Overvalued in 2026?

According to CirclFi’s 8-model valuation engine, DiamondRock Hospitality Company (DRH) appears overvalued as of : the median of 8 independent fair value estimates is $8.86, 30.2% below the current price of $12.70. Estimates range from $0.46 to $16.38. DRH scores 7.9/10 on fundamental quality and 6/100 on value-trap risk.

For context, the median US equity CirclFi rates trades at an implied -23.4% versus its own 13-model consensus, across 3,809 rated companies as of 2026-08-28. DRH’s -30.2% gap is wider than that market norm. Full market index →

This verdict compares price to intrinsic value only — it is not a buy or sell rating. For the decision case (bull vs bear arguments, risk factors, peers), read Should You Buy DiamondRock Hospitality Company Stock in 2026? →

What Fair Value Does Each Model Give DRH?

8 Intrinsic Value Models vs. Current Price ($12.70)

Core Models (Unlocked)
Model Fair Value Upside
Ensemble · Low Conviction
 $7.38 -41.9%
Intrinsic · High Conviction
 $4.74 -62.7%
Intrinsic · Medium Conviction
 $10.47 -17.6%
Asset-Based · Medium Conviction
 $1.82 -85.7%
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What Is DRH's Fair Value Range?

Spread across 8 independent models · $0.46 to $16.38

CirclFi's 8 active models place DiamondRock Hospitality Company (DRH) between $0.46 and $16.38 per share, a spread of 180% of the median. The median of that range — $8.86 — is the fair value CirclFi publishes for DRH, against a current price of $12.70.

Low · Sentiment SOTPHigh · Regime Cross
$0.46median $8.86$16.38
Where the range comes from
Most bearish modelSentiment SOTP$0.46
Most bullish modelRegime Cross-Sectional$16.38
Model agreement1 bullish · 6 bearishwide

A band this wide is itself the finding. When independent methods land far apart, they are reading a business whose value depends heavily on which lens you apply — volatile earnings, heavy reinvestment, or an asset base that cash-flow and asset-based methods score differently. That disagreement is information: it says the choice of method matters more than usual for DRH. Treat the median as one reading among several and compare the individual models below before acting.

Every figure above is one model's standalone output on DRH, not a CirclFi price target. How each model works →

What Is DiamondRock Hospitality Company (DRH) Worth in 2026?

According to the CirclFi Deep Alpha Valuation Engine, DiamondRock Hospitality Company's intrinsic value is estimated at $8.86. Trading at its current price of $12.70, the valuation engine raises significant caution: 6 of 8 models flag downside risk, projecting a median implied return of -30.2%. The most optimistic model, Regime Cross, places fair value at $16.38 (+29.0%), while Sentiment SOTP — the most conservative — estimates $0.46 (-96.4%). This +125.3% gap reflects genuine analytical uncertainty about DiamondRock Hospitality Company's intrinsic worth.

What Do the Models Say About DRH?

8 of 13 models are currently active for DRH. Of these, 2 models suggest upside while 6 models suggest overvaluation. Taken together, their median fair value for DRH is $8.86 — the figure CirclFi publishes as this stock's fair value. See which stocks rank higher →

How Does DRH Rank in REIT - Hotel & Motel?

Among 15 REIT - Hotel & Motel stocks, DRH ranks #5 by Quality of Company score. CirclFi's QOC score of 7.9/10 evaluates 32 fundamental signals. A score of 7.9 indicates above-average quality.

DiamondRock Hospitality Company's positioning within the REIT - Hotel & Motel segment means that capitalization rate (cap rate) plays an outsized role in fundamental analysis. The sector's unique characteristics — including demographic-driven demand — shape both the opportunity set and risk profile.

Is DRH a Value Trap?

CirclFi's Value Trap algorithm assigns DRH a score of 6/100 (SAFE). This indicates minimal risk. Fundamentals are healthy. The score cross-references apparent undervaluation against fundamental deterioration signals. Browse lowest value-trap stocks →

Multi-Model Methodology

8 of 13 models are active for DiamondRock Hospitality Company. Moderate coverage provides meaningful perspective. Each model applies a fundamentally different valuation philosophy. See the complete methodology →

According to the CirclFi Deep Alpha Valuation Engine, DiamondRock Hospitality Company scores 7.9 out of 10 on our 32-signal quality assessment, a strong rating that demonstrates strong fundamentals across the majority of our quality signals. The QOC score synthesizes profitability margins, revenue growth reliability, debt management, and capital allocation into a single metric designed to separate durable businesses from statistically cheap ones.

The gap between the most bullish and bearish model spans +125.3% — demonstrating why single-model analysis is dangerous. Browse all stocks with 13-model coverage →

Data Sources & Confidence

Every DRH valuation is built from SEC EDGAR XBRL filings — 700+ standardized financial tags. Macroeconomic context from FRED calibrates discount rates, while GDELT news sentiment feeds into our Sentiment SOTP model. All pipelines run daily. Read the complete data methodology →

Across DRH's 8 active models, average confidence is 37%. Lower confidence may reflect limited history or high volatility.

CirclFi's output is a research starting point, not a buy/sell signal. All data updates daily. Read the full methodology →

This analysis is produced by the CirclFi Valuation Engine using quantitative models applied to SEC EDGAR filings, public market feeds, and FRED macroeconomic indicators. It is not financial advice.

Read the full investment analysis: Should You Buy DiamondRock Hospitality Company Stock in 2026? →

Bull case, bear case, risk factors & peer comparison — updated daily

Which Similar REIT - Hotel & Motel Stocks Should You Also Analyze?

8 related REIT - Hotel & Motel stocks with 13-model coverage

XHRXenia Hotels & Resorts, Inc.QOC 8.1SHOSunstone Hotel Investors, Inc.QOC 7.8APLEApple Hospitality REIT, Inc.QOC 8.2RLJRLJ Lodging TrustQOC 7.5RHPRyman Hospitality Properties, Inc.QOC 8.2CLDTChatham Lodging TrustQOC 7.4PKPark Hotels & Resorts Inc.QOC 6.3HSTHost Hotels & Resorts, Inc.QOC 8.4

Read investment analysis: XHR · SHO · APLE · RLJ · RHP · CLDT · PK · HST

Which Other Stocks Have a Similar Quality Score to DRH?

7 companies across all industries closest to DRH’s Quality of Company score of 7.9/10.

CARSCars.com Inc.QOC 7.9BALLBall CorporationQOC 7.9WHWyndham Hotels & Resorts, Inc.QOC 7.9CBRLCracker Barrel Old Country Store, Inc.QOC 7.9SAFTSafety Insurance Group, Inc.QOC 7.9AUDCAudioCodes Ltd.QOC 7.9NVDANVIDIA CorporationQOC 10.0

Read investment analysis: CARS · BALL · WH · CBRL · SAFT · AUDC · NVDA

What Else Do Investors Ask About DiamondRock Hospitality Company’s Valuation?

What is DiamondRock Hospitality Company's intrinsic value in 2026?

CirclFi puts DiamondRock Hospitality Company (DRH)'s intrinsic value at $8.86 — the median of 8 independent model estimates as of 2026-08-28, ranging from $0.46 to $16.38. The Quality of Company score is 7.9/10 across 32 fundamental signals. All models use SEC EDGAR filings updated daily. See our methodology page for how each model works.

Is DRH overvalued or undervalued right now?

At $12.70, 2 of 8 active models suggest DRH may be undervalued, while 6 indicate potential overvaluation. The median of all 8 fair value estimates is $8.86, 30.2% below the current price of $12.70 — a consensus view that DRH is overvalued. The assessment depends on which methodology best fits DiamondRock Hospitality Company's business model in REIT - Hotel & Motel.

What does a Quality of Company score of 7.9 mean for DRH?

DiamondRock Hospitality Company's QOC of 7.9/10 reflects 32 fundamental signals: profitability margins, revenue growth consistency, balance sheet leverage, free cash flow generation, and capital allocation efficiency. Scores above 7 indicate strong fundamentals and disciplined management.

How many valuation models does CirclFi run on DRH?

CirclFi analyzes DRH with 13 institutional-grade models daily: Bayesian DCF (Monte Carlo + jump-diffusion), EPV (Greenwald zero-growth), EROIC Spread (McKinsey reinvestment), First Chicago (3-scenario), Markov DDM (regime-switching), ML-RIV (machine learning residual income), Dynamic NAV (asset-based), PWERM (option-theoretic), Regime Cross-Sectional (relative), Sentiment SOTP (hybrid), CUCE Ensemble (meta-model), FTNN Topology (neural network), and RCMH-DCF (conditional regime). Currently 8 of 13 are active for this stock. Read the full methodology →

Which valuation models are most bullish and most bearish on DRH?

Of the 8 models currently active on DRH, Regime Cross-Sectional is the most bullish at $16.38 per share, and Sentiment SOTP is the most bearish at $0.46. CirclFi's published fair value for DRH is the median of that range, $8.86, not either extreme. The gap between the two ends equals 180% of the median — a wide spread, meaning the methods genuinely disagree and the median should carry less weight. Browse stocks by value-trap risk →

Is DRH a value trap in 2026?

DiamondRock Hospitality Company's Value Trap score is 6/100 (SAFE). This low score indicates the current valuation is not artificially depressed by fundamental deterioration, suggesting genuine opportunity rather than a trap.

Cite this analysis — “According to CirclFi’s 8-model valuation engine, DiamondRock Hospitality Company (DRH) has a median fair value of $8.86 — 30.2% below the current price of $12.70 — as of 2026-08-28.” Source: circlfi.com/stock/DRH/ · Methodology
Primary sources for this DRH valuation
  • Financial statements: DiamondRock Hospitality Company 10-K and 10-Q filings on SEC EDGAR (CIK 0001298946) — 700+ standardized XBRL tags, published by the U.S. Securities and Exchange Commission.
  • Discount-rate inputs: FRED, Federal Reserve Bank of St. Louis — risk-free rates, VIX, yield curve, inflation.
  • News sentiment: The GDELT Project — global media tone, input to the Sentiment SOTP model.
  • Model definitions: CirclFi methodology — the published specification for all 13 models, including the academic sources each one implements.

Market data for DRH as of ; valuations recomputed .

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