Promotora de Hoteles Norte 19 SAB de CV

The company's capital structure is characterized by a debt-to-equity ratio of 0.65, indicating a moderate reliance on debt financing. Its liquidity position is assessed as medium, with a current ratio of 1.3 and cash and equivalents of MXN 108.96 million. However, the company's net cash is negative after subtracting total debt, signaling potential liquidity constraints.

Profitability metrics show a return on equity (ROE) of 0.71% and a return on assets (ROA) of 0.36%, both of which are below the typical thresholds for the industry. The company's operating income of MXN 152.94 million and net income of MXN 50.22 million suggest modest profitability, but these figures must be evaluated against the broader industry context.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification may expose the company to higher operational and market risks, particularly in a cyclical industry like hospitality.

The company's growth trajectory is uncertain, with no specific revenue growth projections provided. However, the capital expenditure of MXN -268.91 million indicates a reduction in investment, which may affect long-term growth potential. Analysts have provided a mean price target of MXN 8.53, suggesting a potential upside from the current market price of MXN 6.15.

The company faces several risk factors, including a medium liquidity risk and a negative net cash position. The dilution risk is assessed as low, with no significant dilution potential identified in the basic shares outstanding. However, the company's reliance on debt financing and the cyclical nature of the hospitality industry may pose additional challenges.

Recent events and filings do not indicate any major operational or financial disruptions. The company's financial performance and strategic direction appear to be stable, but the industry's cyclical nature and the company's current financial metrics suggest a cautious outlook.

Revenue grew at a 16.8% CAGR over four years, demonstrating strong top-line expansion for the hotel operator.

Analysts project 39.5% upside to a mean price target of 8.53, suggesting undervaluation relative to current market price.

Cash conversion ratio of 1.48 outperforms the 0.99 cohort median, reflecting strong ability to convert earnings into cash.

Long-term debt decreased from 6.3 billion MXN in 2022 to 4.3 billion MXN in 2026, showing consistent deleveraging.

The company faces high credit risk, posing significant potential challenges for debt servicing and financial stability.

Free cash flow turned negative at -34 million MXN in 2026, limiting capacity for dividends or organic growth.

Revenue MXN 993.7M, +0,1% YoY.

• ▍Revenue MXN 993.7M, +0,1% YoY

Revenue MXN 1.11B, +4,3% YoY; Operating income −3,8% YoY.

• ▍Revenue MXN 1.11B, +4,3% YoY
• ▍Operating income −3,8% YoY
• ▍Net income −167,3% YoY
• ▍Free cash flow +111,6% YoY
• ▍Net margin -3.5%

Revenue MXN 1.08B, +3,6% YoY; Operating income −61,0% YoY.

• ▍Revenue MXN 1.08B, +3,6% YoY
• ▍Operating income −61,0% YoY
• ▍Net income −526,0% YoY
• ▍Free cash flow −6 974,5% YoY
• ▍Net margin -16.9%

Revenue MXN 1.05B, +7,7% YoY; Operating income −45,8% YoY.

• ▍Revenue MXN 1.05B, +7,7% YoY
• ▍Operating income −45,8% YoY
• ▍Net income −99,5% YoY
• ▍Free cash flow +715,1% YoY
• ▍Net margin 0.0%

Revenue MXN 993.0M; Operating income MXN 91.7M.

• ▍Revenue MXN 993.0M
• ▍Operating income MXN 91.7M
• ▍Net margin -7.5%

Revenue MXN 1.06B; Operating income MXN 146.7M.

• ▍Revenue MXN 1.06B
• ▍Operating income MXN 146.7M
• ▍Net margin 5.4%

Revenue MXN 1.04B; Operating income MXN 124.9M.

• ▍Revenue MXN 1.04B
• ▍Operating income MXN 124.9M
• ▍Net margin -2.8%

Revenue MXN 974.3M; Operating income MXN 152.9M.

• ▍Revenue MXN 974.3M
• ▍Operating income MXN 152.9M
• ▍Net margin 5.2%

Revenue MXN 4.23B, +5,7% YoY; Operating income −32,3% YoY.

• ▍Revenue MXN 4.23B, +5,7% YoY
• ▍Operating income −32,3% YoY
• ▍Net income −834,0% YoY
• ▍Free cash flow +26,5% YoY
• ▍Net margin -7.0%

Revenue MXN 4.00B, +12,9% YoY; Operating income −13,0% YoY.

• ▍Revenue MXN 4.00B, +12,9% YoY
• ▍Operating income −13,0% YoY
• ▍Net income −96,3% YoY
• ▍Free cash flow +55,7% YoY
• ▍Net margin 1.0%

Revenue MXN 3.54B, +11,6% YoY; Operating income +28,7% YoY.

• ▍Revenue MXN 3.54B, +11,6% YoY
• ▍Operating income +28,7% YoY
• ▍Net income +3 017,6% YoY
• ▍Free cash flow −160,0% YoY
• ▍Net margin 30.8%

Revenue MXN 3.18B, +39,7% YoY; Operating income +1 062,5% YoY.

• ▍Revenue MXN 3.18B, +39,7% YoY
• ▍Operating income +1 062,5% YoY
• ▍Net income +108,8% YoY
• ▍Free cash flow +250,2% YoY
• ▍Net margin 1.1%