Sunstone Hotel Investors (NYSE:SHO) Downgraded to “Sell” at StockNews.com

StockNews.com lowered shares of Sunstone Hotel Investors (NYSE:SHO) from a hold rating to a sell rating in a report released on Wednesday.

SHO has been the subject of a number of other reports. Truist Financial upped their price objective on Sunstone Hotel Investors from $12.00 to $13.00 and gave the stock a hold rating in a report on Thursday, March 14th. Compass Point raised Sunstone Hotel Investors from a sell rating to a neutral rating and upped their target price for the stock from $10.00 to $12.00 in a research note on Tuesday. Three analysts have rated the stock with a sell rating and five have given a hold rating to the company. Based on data from MarketBeat, Sunstone Hotel Investors has an average rating of Hold and an average target price of $10.50.

Sunstone Hotel Investors Price Performance

SHO stock opened at $10.30 on Wednesday. The firm has a 50 day simple moving average of $10.80 and a two-hundred day simple moving average of $10.53. The stock has a market cap of $2.10 billion, a PE ratio of 11.08, a P/E/G ratio of 3.98 and a beta of 1.22. Sunstone Hotel Investors has a one year low of $8.61 and a one year high of $11.59. The company has a debt-to-equity ratio of 0.43, a current ratio of 7.03 and a quick ratio of 7.03.

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

Sunstone Hotel Investors Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, July 15th. Stockholders of record on Friday, June 28th will be issued a $0.09 dividend. The ex-dividend date of this dividend is Friday, June 28th. This represents a $0.36 annualized dividend and a dividend yield of 3.50%. This is an increase from Sunstone Hotel Investors’s previous quarterly dividend of $0.07. Sunstone Hotel Investors’s payout ratio is currently 27.96%.

Institutional Investors Weigh In On Sunstone Hotel Investors

Several institutional investors have recently bought and sold shares of SHO. Quadrant Capital Group LLC increased its position in shares of Sunstone Hotel Investors by 35.4% in the fourth quarter. Quadrant Capital Group LLC now owns 5,305 shares of the real estate investment trust’s stock valued at $57,000 after acquiring an additional 1,387 shares during the period. Fox Run Management L.L.C. bought a new stake in shares of Sunstone Hotel Investors in the third quarter worth about $101,000. Versor Investments LP purchased a new position in Sunstone Hotel Investors during the 3rd quarter valued at about $112,000. Quadrature Capital Ltd bought a new position in Sunstone Hotel Investors during the 4th quarter valued at approximately $125,000. Finally, Evergreen Capital Management LLC purchased a new stake in Sunstone Hotel Investors in the 3rd quarter worth approximately $127,000. 99.37% of the stock is currently owned by hedge funds and other institutional investors.

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.