Sunstone Hotel Investors, Inc. Plans Quarterly Dividend of $0.09 (NYSE:SHO)

Sunstone Hotel Investors, Inc. (NYSE:SHO) announced a quarterly dividend on Friday, February 21st, Wall Street Journal reports. Stockholders of record on Monday, March 31st will be paid a dividend of 0.09 per share by the real estate investment trust on Tuesday, April 15th. This represents a $0.36 dividend on an annualized basis and a dividend yield of 3.80%. The ex-dividend date of this dividend is Monday, March 31st.

Sunstone Hotel Investors has a dividend payout ratio of 133.3% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect Sunstone Hotel Investors to earn $0.97 per share next year, which means the company should continue to be able to cover its $0.36 annual dividend with an expected future payout ratio of 37.1%.

Sunstone Hotel Investors Stock Down 2.2 %

Shares of NYSE SHO opened at $9.48 on Friday. Sunstone Hotel Investors has a 12-month low of $9.39 and a 12-month high of $12.41. The firm’s 50-day simple moving average is $10.70 and its 200 day simple moving average is $10.87. The company has a quick ratio of 2.98, a current ratio of 2.98 and a debt-to-equity ratio of 0.44. The company has a market cap of $1.91 billion, a price-to-earnings ratio of 12.47, a price-to-earnings-growth ratio of 4.52 and a beta of 1.19.

Sunstone Hotel Investors (NYSE:SHO) last announced its earnings results on Friday, February 21st. The real estate investment trust reported $0.16 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.14 by $0.02. Sunstone Hotel Investors had a net margin of 18.61% and a return on equity of 9.04%. The company had revenue of $214.77 million for the quarter, compared to analyst estimates of $211.17 million. On average, research analysts expect that Sunstone Hotel Investors will post 0.79 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of research analysts have commented on SHO shares. Wells Fargo & Company decreased their price objective on Sunstone Hotel Investors from $13.00 to $12.00 and set an “equal weight” rating on the stock in a research report on Tuesday, February 18th. Jefferies Financial Group upped their price target on Sunstone Hotel Investors from $10.00 to $12.00 and gave the company a “hold” rating in a research note on Thursday, January 2nd. Truist Financial lowered their price objective on Sunstone Hotel Investors from $12.00 to $11.00 and set a “hold” rating for the company in a research report on Friday, March 21st. Finally, Morgan Stanley restated an “underweight” rating and set a $10.00 target price on shares of Sunstone Hotel Investors in a research report on Tuesday, January 14th. Two analysts have rated the stock with a sell rating, four have issued a hold rating, two have assigned a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, Sunstone Hotel Investors currently has a consensus rating of “Hold” and an average price target of $11.57.

Sunstone Hotel Investors Company Profile

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.