We use cookies to analyze site traffic and improve your experience.
By accepting, you consent to the use of analytics cookies.

SOHOB:NASDAQSotherly Hotels Inc. Analysis

Data as of 2026-06-17 - not real-time

$10.79

Latest Price

8/10Risk

Risk Level: High

Executive Summary

Sotherly Hotels is trading below its 20‑day simple moving average while the 50‑day and 200‑day averages remain higher, underscoring a bearish price trend. RSI sits around the mid‑30s, suggesting the stock is approaching oversold conditions, yet the MACD histogram has turned marginally positive, indicating a faint bullish signal amid a broader downtrend. Volume has been decreasing, and 30‑day volatility exceeds 140%, reflecting heightened price swings. The balance sheet is strained with a debt‑to‑equity ratio over 1,200 and negative earnings per share, while the dividend yield appears attractive at 18% but is likely unsustainable given the lack of earnings and a zero payout ratio. The high price‑to‑book multiple (~7.8x) further signals that the market may be overpricing the underlying assets relative to peers.

Market Outlook

Short Term

< 1 year
Cautious
Model confidence: 7/10

Key Factors

  • Price below short‑term moving averages
  • High debt burden and negative EPS
  • Unsustainable dividend despite high yield

Medium Term

1–3 years
Neutral
Model confidence: 5/10

Key Factors

  • Potential modest recovery if hotel demand improves
  • Persistent balance‑sheet weakness
  • Elevated volatility and low liquidity

Long Term

> 3 years
Cautious
Model confidence: 6/10

Key Factors

  • Structural financial distress and high leverage
  • Overvalued price relative to book and earnings
  • Sector exposure to cyclical hotel market

Key Metrics & Analysis

Financial Health

Revenue Growth-6.10%
Profit Margin-4.36%
ROE-22.27%
ROA2.13%
Debt/Equity1226.80
P/B Ratio7.8
Op. Cash Flow$10.3M
Free Cash Flow$22.8M
Industry P/E32.4

Technical Analysis

TrendBearish
RSI35.0
Support$0.10
Resistance$16.01
MA 20$11.71
MA 50$13.82
MA 200$15.14
MACDBullish
VolumeDecreasing
Fear & Greed Index90.52

Valuation

GradeOvervalued
TypeValue
Dividend Yield18.18%

Risk Assessment

Beta0.55
Volatility142.69%
Sector RiskHigh
Reg. RiskMedium
Geo RiskMedium
Currency RiskLow
Liquidity RiskHigh

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.