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

Sunstone Hotel Investors, Inc. (NYSE:SHO) announced a quarterly dividend on Monday, May 6th, Zacks reports. Stockholders of record on Friday, June 28th will be paid a dividend of 0.09 per share by the real estate investment trust on Monday, July 15th. This represents a $0.36 annualized dividend and a dividend yield of 3.47%. The ex-dividend date is Friday, June 28th. This is a boost from Sunstone Hotel Investors’s previous quarterly dividend of $0.07.

Sunstone Hotel Investors has raised its dividend payment by an average of 68.7% per year over the last three years and has increased its dividend every year for the last 1 years. Sunstone Hotel Investors has a dividend payout ratio of 96.6% meaning its dividend is currently covered by earnings, but may not be in the future if the company’s earnings decline. Analysts expect Sunstone Hotel Investors to earn $0.95 per share next year, which means the company should continue to be able to cover its $0.28 annual dividend with an expected future payout ratio of 29.5%.

Sunstone Hotel Investors Trading Up 1.7 %

Shares of SHO stock opened at $10.36 on Tuesday. Sunstone Hotel Investors has a 12-month low of $8.61 and a 12-month high of $11.59. The company has a market capitalization of $2.11 billion, a P/E ratio of 11.14, a P/E/G ratio of 3.98 and a beta of 1.22. The firm has a 50-day moving average price of $10.83 and a 200 day moving average price of $10.52. The company has a quick ratio of 7.03, a current ratio of 7.03 and a debt-to-equity ratio of 0.43.

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

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on the stock. StockNews.com raised shares of Sunstone Hotel Investors from a “sell” rating to a “hold” rating in a research note on Thursday, March 21st. Truist Financial boosted their target price on shares of Sunstone Hotel Investors from $12.00 to $13.00 and gave the stock a “hold” rating in a research note on Thursday, March 14th. Finally, Compass Point raised shares of Sunstone Hotel Investors from a “sell” rating to a “neutral” rating and boosted their price target for the stock from $10.00 to $12.00 in a research note on Tuesday. Two research analysts have rated the stock with a sell rating and six have issued a hold rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $10.50.

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.