Hotel franchisor Choice Hotels (NYSE:CHH) will be announcing earnings results tomorrow morning. Here's what investors should know.

Choice Hotels missed analysts' revenue expectations by 3% last quarter, reporting revenues of $358.4 million, flat year on year. It was a weak quarter for the company, with underwhelming earnings guidance for the full year.

Is Choice Hotels a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Choice Hotels's revenue to grow 3.1% year on year to $343 million, slowing from the 29.1% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.14 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Choice Hotels has missed Wall Street's revenue estimates twice over the last two years.

Looking at Choice Hotels's peers in the hotels, resorts and cruise lines segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Royal Caribbean delivered year-on-year revenue growth of 29.2%, beating analysts' expectations by 1.1%, and Wyndham reported a revenue decline of 2.6%, falling short of estimates by 1.1%. Royal Caribbean traded up 2.8% following the results while Wyndham was also up 4.8%.

Read our full analysis of Royal Caribbean's results here and Wyndham's results here.

Investors in the hotels, resorts and cruise lines segment have had fairly steady hands going into earnings, with share prices down 1.9% on average over the last month. Choice Hotels is down 2.3% during the same time and is heading into earnings with an average analyst price target of $128.1 (compared to the current share price of $121.65).

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