Service Properties Trust Sees Unusually High Options Volume (NASDAQ:SVC)

Service Properties Trust (NASDAQ:SVC) was the recipient of some unusual options trading on Friday. Investors bought 2,400 put options on the company. This represents an increase of 547% compared to the typical daily volume of 371 put options.

Wall Street Analysts Forecast Growth

SVC has been the subject of a number of analyst reports. Zacks Research raised shares of Service Properties Trust from a “strong sell” rating to a “hold” rating in a research report on Tuesday, November 11th. B. Riley reaffirmed a “neutral” rating and issued a $3.00 price objective (up from $2.00) on shares of Service Properties Trust in a research report on Thursday, September 25th. Wells Fargo & Company raised Service Properties Trust to a “hold” rating in a report on Friday, October 3rd. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of Service Properties Trust in a research note on Wednesday, October 8th. Three research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Reduce” and an average price target of $2.75.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in SVC. CIBC Bancorp USA Inc. acquired a new position in Service Properties Trust in the third quarter valued at approximately $45,000. Caxton Associates LLP acquired a new position in Service Properties Trust during the 3rd quarter valued at about $33,000. Varde Management L.P. bought a new stake in Service Properties Trust during the third quarter worth $3,695,000. Susquehanna Advisors Group Inc. raised its holdings in shares of Service Properties Trust by 9.0% in the third quarter. Susquehanna Advisors Group Inc. now owns 5,121,419 shares of the real estate investment trust’s stock valued at $13,879,000 after purchasing an additional 420,946 shares during the last quarter. Finally, Bank of America Corp DE lifted its position in shares of Service Properties Trust by 158.9% during the third quarter. Bank of America Corp DE now owns 1,166,131 shares of the real estate investment trust’s stock valued at $3,160,000 after purchasing an additional 715,770 shares in the last quarter. 77.62% of the stock is currently owned by institutional investors and hedge funds.

Service Properties Trust Stock Performance

SVC traded up $0.03 during trading on Friday, hitting $1.76. The stock had a trading volume of 243,944 shares, compared to its average volume of 1,604,426. The company has a debt-to-equity ratio of 5.68, a current ratio of 0.17 and a quick ratio of 0.17. The company has a 50 day moving average price of $1.91 and a 200-day moving average price of $2.38. Service Properties Trust has a one year low of $1.55 and a one year high of $3.08. The firm has a market cap of $295.00 million, a price-to-earnings ratio of -1.05 and a beta of 1.47.

Service Properties Trust Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, November 13th. Investors of record on Monday, October 27th were paid a $0.01 dividend. This represents a $0.04 dividend on an annualized basis and a yield of 2.3%. The ex-dividend date of this dividend was Monday, October 27th. Service Properties Trust’s payout ratio is -2.40%.

About Service Properties Trust

Service Properties Trust (NASDAQ: SVC) is a real estate investment trust (REIT) specializing in the acquisition, ownership and leasing of service-oriented properties, with a primary focus on the lodging sector. The company structures long-term, triple-net leases with established hotel operators under franchise agreements with leading global brands. By partnering with recognized hotel companies, Service Properties Trust seeks to generate a stable income stream through rent payments, while offering operators the capital and balance-sheet flexibility to grow their portfolios.

Since its formation in 2010, Service Properties Trust has grown its portfolio through strategic sale-leaseback transactions, targeted property acquisitions and selective dispositions.