Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 4 stocks made the list for top value stocks in the Hotels, Restaurants & Leisure industry. Those looking for value stocks to add to their portfolio may want to use this list as a starting point for further investment research.
Why Focus on Undervalued Hotels, Restaurants & Leisure Stocks?
Value investors seek to buy stocks at a discount to their intrinsic value. Long-term returns show that such strategies are advantageous. Value stocks, as a group, tend to outperform growth stocks over extended periods of time. Typically, value investors perform financial analysis of numerous metrics, don’t follow the herd and are long-term investors.
AAII’s A+ Investor Value Grade is derived from a stock’s Value Score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.
What Goes Into AAII’s Value Grade?
Stock evaluation requires access to huge amounts of data as well as the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movement. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors with that task.
AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A–F grades for more than just value. It is possible for a stock to appear cheap based on one valuation metric but appear expensive on another. It is also possible for one valuation ratio to be associated with outperforming stocks during certain periods of time but not others. Some stocks may even have null values for certain metrics like the price-earnings ratio or the price-to-book ratio but not others. An example of this would be a company with losses instead of profits or a negative book value because of heavy borrowing. Negative earnings or book value result in non-meaningful ratios that are left blank or null.
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4 Undervalued Hotels, Restaurants & Leisure Stocks
Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 4 undervalued stocks in the Hotels, Restaurants & Leisure industry for Thursday, September 10, 2026. Let’s take a closer look at their individual scores to see how they measure up against each other and the Hotels, Restaurants & Leisure industry median.
| Company | Ticker | Price/Sales | Price/Earnings | EV/EBITDA | Shareholder Yield | Price/Book Value | Price/Free Cash Flow | Value Grade |
| Bloomin' Brands, Inc. | BLMN | 0.19 | 27.6 | 9.0 | (0.6%) | 1.79 | 5.4 | B |
| Dine Brands Global, Inc. | DIN | 0.44 | 60.6 | 13.4 | 22.1% | na | na | B |
| Expedia Group, Inc. | EXPE | 2.14 | 16.9 | 8.7 | 5.6% | 27.04 | 7.8 | B |
| Dave & Buster's Entertainment, Inc. | PLAY | 0.14 | na | 10.3 | 0.2% | 2.86 | na | B |
The Value Grade is assigned based on how each stock’s composite valuation compares to all other stocks.
The process for assigning grades starts with each variable for a given stock. The percentile rankings for all valid ratios that a stock has are calculated. So, for instance, a stock could have a price-to-book ranking in the 43rd percentile, a price-earnings ranking in the 67th percentile, a price-to-sales ranking in the 23rd percentile, etc. Then, those rankings are averaged for each stock. (A minimum of two valid variables are required, though all six will be used if available.)
Once the average of the individual variables is calculated, that average is ranked against all stocks. Put another way, each stock’s composite valuation is compared to all other stocks. These ranks are then sorted into quintiles from the cheapest 20% (a grade of A) to the most expensive 20% (a grade of F).
As always, we recommend that you conduct proper due diligence and research before investing in any security. We also suggest that investors utilize numerous grades, not just value, when it comes to deciding whether a company is a good fit for their allocation needs.
Bloomin' Brands, Inc.’s Value Grade
Value Grade:
| Metric | Score | BLMN | Industry Median |
| Price/Sales | 8 | 0.19 | 1.23 |
| Price/Earnings | 67 | 27.6 | 22.0 |
| EV/EBITDA | 31 | 9.0 | 13.5 |
| Shareholder Yield | 54 | (0.6%) | 0.6% |
| Price/Book Value | 46 | 1.79 | 2.69 |
| Price/Free Cash Flow | 12 | 5.4 | 16.7 |
Bloomin' Brands, Inc., through its subsidiaries, owns and operates casual, polished casual, and fine dining restaurants in the United States and internationally. The company operates through U.S. and International Franchise segments. Its restaurant portfolio has four concepts, including Outback Steakhouse, a casual steakhouse restaurant; Carrabba’s Italian Grill that offers authentic Italian cuisine; Bonefish Grill; and Fleming’s Prime Steakhouse & Wine Bar, a contemporary steakhouse. Bloomin' Brands, Inc. was founded in 1988 and is based in Tampa, Florida.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Bloomin' Brands, Inc. has a Value Score of 73, which is considered to be undervalued.
When you look at Bloomin' Brands, Inc.’s price-to-sales ratio at 0.19 compared to the industry median at 1.23, this company has a lower price relative to revenue compared to its peers. This could make Bloomin' Brands, Inc.’s stock more attractive for value investors.
Bloomin' Brands, Inc.’s price-earnings ratio is 27.60 compared to the industry median at 22.00. This means it has a higher share price relative to earnings compared to its peers. This could make Bloomin' Brands, Inc. less attractive for value investors.
Now, let’s assess Bloomin' Brands, Inc.’s EV/EBITDA ratio, also known as enterprise multiple. At 9.0, when compared to the industry median of 13.5, the company may be considered undervalued in relation to its peers. Value investors could use the enterprise multiple to identify stocks that are considered overvalued or undervalued relative to their industry.
Shareholder yield is the sum of a stock’s dividend yield (paid over previous 12 months minus special dividends) and the percentage of net share buybacks over the previous 12 months. Bloomin' Brands, Inc.’s shareholder yield is lower than its industry median ratio of 0.60%. Value investors may look for an attractive shareholder yield because it can be a powerful tool for identifying if the company has a good management team.
As one of the most common value metrics, the price-to-book ratio evaluates a company’s current market price relative to its book value. Bloomin' Brands, Inc.’s price-to-book ratio is lower than its industry median ratio of 2.69. This could make Bloomin' Brands, Inc. more attractive to investors looking for a new addition to their portfolio.
Lastly, let’s take a look at Bloomin' Brands, Inc.’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. Bloomin' Brands, Inc.’s price-to-free-cash-flow ratio is lower than its industry median ratio of 16.70. This could make Bloomin' Brands, Inc. more attractive because the lower P/FCF ratio indicates that Bloomin' Brands, Inc. is undervalued. The P/FCF ratio metric can also be viewed over a long-term time frame to see if the company's cash flow to share price value is generally improving or worsening.
Dine Brands Global, Inc.’s Value Grade
Value Grade:
| Metric | Score | DIN | Industry Median |
| Price/Sales | 17 | 0.44 | 1.23 |
| Price/Earnings | 88 | 60.6 | 22.0 |
| EV/EBITDA | 55 | 13.4 | 13.5 |
| Shareholder Yield | 1 | 22.1% | 0.6% |
| Price/Book Value | na | na | 2.69 |
| Price/Free Cash Flow | na | na | 16.7 |
Dine Brands Global, Inc., together with its subsidiaries, owns, franchises, and operates restaurants in the United States and internationally. It operates through three segments: Franchise, Company-owned restaurants, and Rental. The company franchises the restaurants operated by Applebee's franchisees, IHOP franchisees, and Fuzzy's franchisees in the United States. It owns, franchises, and operates restaurant concepts, including Applebee's Neighborhood Grill + Bar within the casual dining category; IHOP in the family dining category of the restaurant industry; and Fuzzy's Taco Shop within the fast-casual dining category. In addition, its Applebee’s restaurants offer American fare with drinks and local draft beers; IHOP restaurants provided full table services and food and beverages; Fuzzy's Taco Shop offers mexican food, such as tacos, chips and queso, guacamole, and salsa made-from-scratch daily; and a full bar including margaritas, cocktails, and cold draft beer. The company was formerly known as DineEquity, Inc. and changed its name to Dine Brands Global, Inc. in February 2018. Dine Brands Global, Inc. was founded in 1958 and is based in Pasadena, California.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Dine Brands Global, Inc. has a Value Score of 64, which is considered to be undervalued.
Dine Brands Global, Inc.’s price-earnings ratio is 60.6 compared to the industry median at 22.0. This means that it has a higher price relative to its earnings compared to its peers. This makes Dine Brands Global, Inc. less attractive for value investors.
You can read more about Dine Brands Global, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Expedia Group, Inc.’s Value Grade
Value Grade:
| Metric | Score | EXPE | Industry Median |
| Price/Sales | 51 | 2.14 | 1.23 |
| Price/Earnings | 44 | 16.9 | 22.0 |
| EV/EBITDA | 29 | 8.7 | 13.5 |
| Shareholder Yield | 14 | 5.6% | 0.6% |
| Price/Book Value | 97 | 27.04 | 2.69 |
| Price/Free Cash Flow | 17 | 7.8 | 16.7 |
Expedia Group, Inc. operates as an online travel company in the United States and internationally. The company operates through B2C, B2B, and trivago segments. The B2C segment includes Brand Expedia, a full-service online travel brand offers various travel products and services; Hotels.com for lodging accommodations; Vrbo, an online marketplace for the alternative accommodations; and Orbitz, Travelocity, ebookers, and Wotif Group. The B2B segment provides various travel and non-travel companies including airlines, offline travel agents, online retailers, corporate travel management, and financial institutions who leverage its travel technology and tap into its diverse supply to augment their offerings and market Expedia Group rates and availabilities to its travelers. The trivago segment sends referrals to online travel companies and travel service providers from hotel metasearch websites. In addition, it provides brand advertising through online and offline channels, loyalty programs, mobile apps, and search engine marketing, as well as metasearch, social media, direct and personalized traveler communications on its websites, and through direct e-mail communication with its travelers. The company was formerly known as Expedia, Inc. and changed its name to Expedia Group, Inc. in March 2018. Expedia Group, Inc. was founded in 1996 and is headquartered in Seattle, Washington.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Expedia Group, Inc. has a Value Score of 61, which is considered to be undervalued.
Expedia Group, Inc.’s price-earnings ratio is 16.9 compared to the industry median at 22.0. This means that it has a lower price relative to its earnings compared to its peers. This makes Expedia Group, Inc. more attractive for value investors.
Expedia Group, Inc.’s price-to-book ratio is lower than its peers. This could make Expedia Group, Inc. more attractive for value investors when compared to the industry median at 2.69.
You can read more about Expedia Group, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Dave & Buster's Entertainment, Inc.’s Value Grade
Value Grade:
| Metric | Score | PLAY | Industry Median |
| Price/Sales | 7 | 0.14 | 1.23 |
| Price/Earnings | na | na | 22.0 |
| EV/EBITDA | 39 | 10.3 | 13.5 |
| Shareholder Yield | 41 | 0.2% | 0.6% |
| Price/Book Value | 64 | 2.86 | 2.69 |
| Price/Free Cash Flow | na | na | 16.7 |
Dave & Buster's Entertainment, Inc. owns and operates entertainment and dining venues for adults and families in North America. Its venues offer a menu of entrées and appetizers, as well as a selection of alcoholic and non-alcoholic beverages; and an assortment of entertainment attractions centered on playing games and watching live sports, and other televised events. The company also provides food, drinks, and entertainment, including bowling, laser tag, arcade games, and virtual reality. The company operates its venues under the Dave & Buster’s and Main Event brands. Dave & Buster's Entertainment, Inc. was founded in 1982 and is headquartered in Coppell, Texas.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Dave & Buster's Entertainment, Inc. has a Value Score of 70, which is considered to be undervalued.
Dave & Buster's Entertainment, Inc.’s price-to-book ratio is lower than its peers. This could make Dave & Buster's Entertainment, Inc. more attractive for value investors when compared to the industry median at 2.69.
You can read more about Dave & Buster's Entertainment, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Other Hotels, Restaurants & Leisure Stock Grades
Value is just one of the five Stock Grades included in our A+ Investor service. AAII members can see the top-graded stocks—those with grades of A or B for value, growth, momentum, earnings estimate revisions and quality—on the A+ Stock Grades Screener.
Also, if you want full access to all of AAII’s premium services, you can subscribe to one convenient bundled plan called AAII Platinum where you can try out A+ Investor, AAII Dividend Investing, the Stock Superstars Report, Growth Investing and VMQ Stocks. With the other premium services, you can dive deep into additional metrics, portfolios, commentary and information about Hotels, Restaurants & Leisure stocks as well as other industrys.
Choosing Which of the 4 Best Hotels, Restaurants & Leisure Stocks Is Right for You
Choosing which value stocks to invest in will ultimately depend on your individual goals and allocation; however, comparing similar value stocks in the same industry can help you analyze which might be better investments for you in the long run. So, let’s take a look at the Value Grade for all of our stocks.
- Bloomin' Brands, Inc. stock has a Value Grade of B.
- Dine Brands Global, Inc. stock has a Value Grade of B.
- Expedia Group, Inc. stock has a Value Grade of B.
- Dave & Buster's Entertainment, Inc. stock has a Value Grade of B.
Now that you have a bit more background about each of the 4 undervalued stocks in the Hotels, Restaurants & Leisure industry as well as their overall grades, it’s time for you to conduct additional research to see if these could fit your portfolio needs based on your goals and risk tolerance. AAII can help you figure out both and identify which investments align with what works best for you.
We do so through a program of education that teaches you to invest for yourself and become an effective manager of your own wealth—no more relying on others for your financial independence. You can rely on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis that makes you a better investor.
A+ Investor adds to that qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.
Additional Resources About Hotels, Restaurants & Leisure Stocks
Want to learn more about Hotels, Restaurants & Leisure stocks to see if they could be the right investment for you? Check out some additional resources and articles to help you on your financial journey.
- 4 Undervalued Hotels, Restaurants & Leisure Stocks for Wednesday, September 09
- Which Is a Better Investment, MakeMyTrip Limited or Target Hospitality Corp. Stock?
- Which Is a Better Investment, Target Hospitality Corp. or Wynn Resorts, Limited Stock?
- Why Aureus Greenway Holdings Inc.’s (PUSA) Stock Is Up 5.18%
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