DiamondRock Hospitality (NYSE:DRH) Reaches New 1-Year High – Time to Buy?

DiamondRock Hospitality Company (NYSE:DRH)’s stock price reached a new 52-week high during trading on Monday. The company traded as high as $14.60 and last traded at $14.6210, with a volume of 100,229 shares trading hands. The stock had previously closed at $14.25.

Trending Headlines about DiamondRock Hospitality

Here are the key news stories impacting DiamondRock Hospitality this week:

• Positive Sentiment: Third-quarter revenue was $297.6 million, ahead of FactSet’s $292.1 million estimate. The company also reported EPS of $0.32, beating the $0.15 consensus estimate. Revenue results Third-quarter results
• Positive Sentiment: DiamondRock raised its 2026 guidance following what it described as another strong quarter. Its AFFO-per-share range is $1.24–$1.26, versus a FactSet estimate of $1.24; the upper end is above expectations. 2026 AFFO guidance Company results release
• Neutral Sentiment: Quarterly FFO was $0.32 per share, matching the consensus estimate, but up from $0.29 a year earlier. The result shows year-over-year growth, though it was not a surprise versus forecasts. Q3 FFO results

Analyst Ratings Changes

A number of analysts have recently weighed in on DRH shares. Stifel Nicolaus boosted their price objective on shares of DiamondRock Hospitality from $12.50 to $13.25 and gave the stock a “hold” rating in a research note on Friday, July 31st. Zacks Research downgraded shares of DiamondRock Hospitality from a “strong-buy” rating to a “hold” rating in a report on Monday, September 28th. Bank of America raised their target price on shares of DiamondRock Hospitality from $12.50 to $13.00 and gave the company a “buy” rating in a research note on Monday, July 20th. Morgan Stanley lifted their target price on shares of DiamondRock Hospitality from $11.00 to $12.00 and gave the stock an “equal weight” rating in a report on Monday, October 12th. Finally, Barclays boosted their target price on shares of DiamondRock Hospitality from $12.00 to $14.00 and gave the stock an “equal weight” rating in a research report on Thursday, August 27th. Four research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat.com, DiamondRock Hospitality currently has an average rating of “Hold” and a consensus target price of $13.03.

DiamondRock Hospitality Price Performance

The stock has a 50-day simple moving average of $12.85 and a 200 day simple moving average of $11.35. The company has a debt-to-equity ratio of 0.70, a quick ratio of 1.64 and a current ratio of 1.64. The company has a market cap of $2.97 billion, a P/E ratio of 58.08, a P/E/G ratio of 4.50 and a beta of 1.04.

DiamondRock Hospitality (NYSE:DRH) last announced its quarterly earnings data on Tuesday, November 3rd. The real estate investment trust reported $0.32 earnings per share for the quarter, topping the consensus estimate of $0.15 by $0.17. The company had revenue of $297.60 million for the quarter, compared to analyst estimates of $292.08 million. DiamondRock Hospitality had a return on equity of 4.04% and a net margin of 5.69%. DiamondRock Hospitality’s revenue for the quarter was up 4.3% compared to the same quarter last year. During the same quarter last year, the firm earned $0.29 EPS. On average, equities analysts expect that DiamondRock Hospitality Company will post 0.96 EPS for the current year.

Institutional Investors Weigh In On DiamondRock Hospitality

Institutional investors and hedge funds have recently bought and sold shares of the business. Ethic Inc. grew its stake in shares of DiamondRock Hospitality by 27.9% in the 3rd quarter. Ethic Inc. now owns 13,412 shares of the real estate investment trust’s stock valued at $166,000 after purchasing an additional 2,929 shares during the period. Pictet Asset Management Holding SA raised its holdings in shares of DiamondRock Hospitality by 32.6% in the 3rd quarter. Pictet Asset Management Holding SA now owns 31,400 shares of the real estate investment trust’s stock worth $388,000 after buying an additional 7,718 shares in the last quarter. Heritage Family Offices LLP acquired a new position in shares of DiamondRock Hospitality in the 3rd quarter worth approximately $119,000. State of Wyoming lifted its position in shares of DiamondRock Hospitality by 7.8% during the 3rd quarter. State of Wyoming now owns 61,405 shares of the real estate investment trust’s stock worth $759,000 after buying an additional 4,458 shares during the period. Finally, Choreo LLC lifted its position in shares of DiamondRock Hospitality by 4.5% during the 3rd quarter. Choreo LLC now owns 31,073 shares of the real estate investment trust’s stock worth $384,000 after buying an additional 1,330 shares during the period.

DiamondRock Hospitality Company Profile

DiamondRock Hospitality Company (NYSE: DRH) is a self-advised real estate investment trust that owns a portfolio of hotels and resort properties in the United States. The company focuses on lodging real estate in leisure destinations and gateway markets, with properties serving business travelers, vacationers, and group customers.

DiamondRock’s portfolio includes hotels operated under nationally recognized brands as well as independent and boutique properties. Its business activities include acquiring, owning, leasing, and strategically managing hospitality real estate, while day-to-day hotel operations are generally carried out by third-party management companies and brand operators.

The company was formed in 2004 through a spin-off from Marriott International and is headquartered in Bethesda, Maryland.