Zacks Investment Research upgraded shares of DiamondRock Hospitality (NYSE:DRH) from a hold rating to a buy rating in a report released on Wednesday morning, Zacks.com reports. The brokerage currently has $12.00 price objective on the real estate investment trust’s stock.
According to Zacks, “DiamondRock Hospitality Company is a self-advised real estate company that owns, acquires and invests in upper upscale and upscale hotel properties located primarily in North America. To a lesser extent, it may invest, on a selective basis, in premium limited-service and extended-stay hotel properties in urban locations. The Company has a strategic acquisition sourcing relationship with Marriott International. “
Several other equities research analysts also recently weighed in on DRH. ValuEngine downgraded Zumiez from a hold rating to a sell rating in a report on Tuesday, July 2nd. Wells Fargo & Co raised Centurylink from a market perform rating to an outperform rating and increased their price objective for the company from $12.00 to $14.00 in a report on Wednesday, June 26th. Four analysts have rated the stock with a sell rating, five have assigned a hold rating and one has assigned a buy rating to the company’s stock. The stock presently has a consensus rating of Hold and a consensus target price of $10.19.
DRH stock opened at $10.17 on Wednesday. The firm has a market capitalization of $2.03 billion, a P/E ratio of 9.97, a P/E/G ratio of 1.95 and a beta of 1.39. DiamondRock Hospitality has a twelve month low of $8.69 and a twelve month high of $12.39. The company has a 50 day moving average price of $10.19. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.54 and a quick ratio of 1.54.
DiamondRock Hospitality (NYSE:DRH) last posted its quarterly earnings data on Wednesday, May 8th. The real estate investment trust reported $0.04 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $0.18 by ($0.14). The firm had revenue of $202.38 million during the quarter, compared to analyst estimates of $194.62 million. DiamondRock Hospitality had a net margin of 10.44% and a return on equity of 4.90%. DiamondRock Hospitality’s revenue was up 11.5% compared to the same quarter last year. During the same period in the previous year, the company posted $0.17 earnings per share. On average, equities research analysts expect that DiamondRock Hospitality will post 1.03 EPS for the current fiscal year.
The business also recently declared a quarterly dividend, which was paid on Friday, July 12th. Investors of record on Friday, June 28th were issued a dividend of $0.125 per share. This represents a $0.50 annualized dividend and a dividend yield of 4.92%. The ex-dividend date was Thursday, June 27th. DiamondRock Hospitality’s dividend payout ratio is presently 49.02%.
In related news, Director Maureen L. Mcavey sold 8,000 shares of the stock in a transaction on Friday, June 28th. The stock was sold at an average price of $10.36, for a total transaction of $82,880.00. Following the completion of the sale, the director now directly owns 91,688 shares of the company’s stock, valued at $949,887.68. The sale was disclosed in a filing with the SEC, which is available through the SEC website. 0.90% of the stock is owned by company insiders.
Hedge funds and other institutional investors have recently modified their holdings of the stock. United Services Automobile Association lifted its holdings in shares of DiamondRock Hospitality by 1.9% during the fourth quarter. United Services Automobile Association now owns 718,253 shares of the real estate investment trust’s stock worth $6,522,000 after purchasing an additional 13,449 shares during the period. Pzena Investment Management LLC lifted its holdings in shares of DiamondRock Hospitality by 7.9% during the first quarter. Pzena Investment Management LLC now owns 1,277,729 shares of the real estate investment trust’s stock worth $13,838,000 after purchasing an additional 93,148 shares during the period. D. E. Shaw & Co. Inc. acquired a new stake in shares of DiamondRock Hospitality during the fourth quarter worth $4,224,000. First Trust Advisors LP lifted its holdings in shares of DiamondRock Hospitality by 172.9% during the first quarter. First Trust Advisors LP now owns 482,130 shares of the real estate investment trust’s stock worth $5,221,000 after purchasing an additional 305,470 shares during the period. Finally, Connor Clark & Lunn Investment Management Ltd. purchased a new position in DiamondRock Hospitality in the fourth quarter worth $99,000.
About DiamondRock Hospitality
DiamondRock Hospitality Company is a self-advised real estate investment trust (REIT) that is an owner of a leading portfolio of geographically diversified hotels concentrated in top gateway markets and destination resort locations. The Company owns 31 premium quality hotels with over 10,000 rooms. The Company has strategically positioned its hotels to be operated both under leading global brand families such as Hilton and Marriott as well as unique boutique hotels in the lifestyle segment.
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