Sunstone Hotel Investors, Inc. (NYSE:SHO) Receives Consensus Rating of “Reduce” from Analysts

Shares of Sunstone Hotel Investors, Inc. (NYSE:SHO) have earned an average rating of “Reduce” from the seven ratings firms that are currently covering the stock, Marketbeat.com reports. Two analysts have rated the stock with a sell rating and five have issued a hold rating on the company. The average 1 year price objective among brokers that have covered the stock in the last year is $10.50.

Several equities research analysts have commented on the stock. StockNews.com lowered shares of Sunstone Hotel Investors from a “hold” rating to a “sell” rating in a research note on Wednesday. Compass Point raised Sunstone Hotel Investors from a “sell” rating to a “neutral” rating and lifted their target price for the company from $10.00 to $12.00 in a research note on Tuesday. Finally, Truist Financial increased their price target on Sunstone Hotel Investors from $12.00 to $13.00 and gave the stock a “hold” rating in a research note on Thursday, March 14th.

Sunstone Hotel Investors Trading Up 0.6 %

Shares of NYSE SHO opened at $10.36 on Friday. Sunstone Hotel Investors has a 12-month low of $8.61 and a 12-month high of $11.59. The company has a market cap of $2.11 billion, a price-to-earnings ratio of 11.14, a price-to-earnings-growth ratio of 3.98 and a beta of 1.22. The company has a current ratio of 7.03, a quick ratio of 7.03 and a debt-to-equity ratio of 0.43. The stock’s 50 day simple moving average is $10.78 and its 200 day simple moving average is $10.53.

Sunstone Hotel Investors (NYSE:SHO) last posted its earnings results on Friday, February 23rd. The real estate investment trust reported $0.60 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.16 by $0.44. The company had revenue of $219.20 million for the quarter, compared to analysts’ expectations of $192.56 million. Sunstone Hotel Investors had a return on equity of 11.32% and a net margin of 20.95%. The firm’s quarterly revenue was down 10.2% compared to the same quarter last year. During the same period last year, the business posted $0.26 earnings per share. Equities research analysts expect that Sunstone Hotel Investors will post 0.85 EPS for the current year.

Sunstone Hotel Investors Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, July 15th. Shareholders of record on Friday, June 28th will be paid a dividend of $0.09 per share. This is a positive change from Sunstone Hotel Investors’s previous quarterly dividend of $0.07. This represents a $0.36 dividend on an annualized basis and a yield of 3.47%. The ex-dividend date of this dividend is Friday, June 28th. Sunstone Hotel Investors’s dividend payout ratio (DPR) is presently 27.96%.

Institutional Trading of Sunstone Hotel Investors

A number of hedge funds and other institutional investors have recently modified their holdings of SHO. Quadrant Capital Group LLC grew its stake in shares of Sunstone Hotel Investors by 35.4% in the 4th quarter. Quadrant Capital Group LLC now owns 5,305 shares of the real estate investment trust’s stock worth $57,000 after purchasing an additional 1,387 shares during the last quarter. Fox Run Management L.L.C. bought a new stake in Sunstone Hotel Investors during the third quarter worth approximately $101,000. Quadrature Capital Ltd bought a new stake in shares of Sunstone Hotel Investors during the 4th quarter worth $125,000. Versor Investments LP acquired a new stake in shares of Sunstone Hotel Investors during the third quarter worth $112,000. Finally, Evergreen Capital Management LLC acquired a new position in shares of Sunstone Hotel Investors in the 3rd quarter valued at $127,000. Institutional investors own 99.37% of the company’s stock.

About Sunstone Hotel Investors

Sunstone Hotel Investors, Inc is a lodging real estate investment trust ("REIT") that as of the date of this release owns 14 hotels comprised of 6,675 rooms, the majority of which are operated under nationally recognized brands. Sunstone's strategy is to create long-term stakeholder value through the acquisition, active ownership, and disposition of well-located hotel and resort real estate.