DiamondRock Hospitality (NYSE:DRH) Sets New 52-Week High – Still a Buy?

DiamondRock Hospitality Company (NYSE:DRH)’s share price reached a new 52-week high during trading on Thursday . The company traded as high as $11.87 and last traded at $11.64, with a volume of 2938024 shares. The stock had previously closed at $11.70.

Analyst Ratings Changes

A number of equities analysts recently commented on the stock. Stifel Nicolaus set a $12.25 price objective on shares of DiamondRock Hospitality in a research note on Thursday, June 4th. LADENBURG THALM/SH SH assumed coverage on shares of DiamondRock Hospitality in a research note on Thursday, March 26th. They issued a “buy” rating and a $12.00 price objective for the company. Truist Financial raised their price objective on shares of DiamondRock Hospitality from $11.00 to $12.00 and gave the stock a “buy” rating in a research note on Tuesday, May 26th. Wells Fargo & Company raised their price objective on shares of DiamondRock Hospitality from $11.00 to $12.00 and gave the stock an “equal weight” rating in a research note on Monday, June 1st. Finally, Citigroup lifted their target price on shares of DiamondRock Hospitality from $9.50 to $11.00 and gave the company a “neutral” rating in a research note on Wednesday, May 6th. Three equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $11.43.

DiamondRock Hospitality Stock Down 0.5%

The business’s 50 day simple moving average is $10.51 and its 200-day simple moving average is $9.78. The company has a market cap of $2.38 billion, a price-to-earnings ratio of 46.56, a price-to-earnings-growth ratio of 4.50 and a beta of 1.00. The company has a debt-to-equity ratio of 0.70, a quick ratio of 1.64 and a current ratio of 1.64.

DiamondRock Hospitality Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, July 14th. Shareholders of record on Tuesday, June 30th will be paid a dividend of $0.09 per share. The ex-dividend date of this dividend is Tuesday, June 30th. This represents a $0.36 dividend on an annualized basis and a dividend yield of 3.1%. DiamondRock Hospitality’s dividend payout ratio (DPR) is 76.60%.

Insider Activity

In other DiamondRock Hospitality news, Director Michael A. Hartmeier sold 20,000 shares of DiamondRock Hospitality stock in a transaction on Wednesday, May 13th. The shares were sold at an average price of $10.46, for a total transaction of $209,200.00. Following the completion of the sale, the director owned 95,354 shares of the company’s stock, valued at $997,402.84. This trade represents a 17.34% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. 0.90% of the stock is owned by company insiders.

Institutional Investors Weigh In On DiamondRock Hospitality

Several institutional investors and hedge funds have recently modified their holdings of the business. Bank of America Corp DE lifted its stake in shares of DiamondRock Hospitality by 7.2% in the 1st quarter. Bank of America Corp DE now owns 8,987,338 shares of the real estate investment trust’s stock valued at $84,211,000 after purchasing an additional 606,962 shares during the last quarter. Janus Henderson Group PLC lifted its stake in shares of DiamondRock Hospitality by 10.1% in the 1st quarter. Janus Henderson Group PLC now owns 1,312,694 shares of the real estate investment trust’s stock valued at $12,299,000 after purchasing an additional 119,921 shares during the last quarter. Amundi lifted its stake in shares of DiamondRock Hospitality by 30.9% in the 1st quarter. Amundi now owns 191,306 shares of the real estate investment trust’s stock valued at $1,793,000 after purchasing an additional 45,198 shares during the last quarter. California State Teachers Retirement System lifted its stake in shares of DiamondRock Hospitality by 30.2% in the 1st quarter. California State Teachers Retirement System now owns 249,084 shares of the real estate investment trust’s stock valued at $2,334,000 after purchasing an additional 57,774 shares during the last quarter. Finally, Quantinno Capital Management LP lifted its stake in shares of DiamondRock Hospitality by 43.2% in the 1st quarter. Quantinno Capital Management LP now owns 82,542 shares of the real estate investment trust’s stock valued at $773,000 after purchasing an additional 24,889 shares during the last quarter.

About DiamondRock Hospitality

DiamondRock Hospitality Company is a real estate investment trust (REIT) that acquires, owns and manages a diversified portfolio of upscale, full-service hotels in urban gateway markets across the United States. Established in 2004 and headquartered in Bethesda, Maryland, the company focuses on investing in high-quality lodging properties that cater to both business and leisure travelers. Its assets are positioned in key metropolitan areas, enabling DiamondRock to benefit from strong demand drivers such as corporate travel, group conventions and resort leisure stays.

The company’s portfolio includes full-service hotels offering a broad range of amenities, including guest rooms, on-site food and beverage outlets, meeting and event space, fitness centers and spa services.