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

Sunstone Hotel Investors, Inc. (NYSE:SHO) announced a quarterly dividend on Thursday, February 26th. Shareholders of record on Tuesday, March 31st will be given a dividend of 0.09 per share by the real estate investment trust on Wednesday, April 15th. This represents a c) annualized dividend and a yield of 4.0%. The ex-dividend date of this dividend is Tuesday, March 31st.

Sunstone Hotel Investors has raised its dividend by an average of 0.5%annually over the last three years and has raised its dividend every year for the last 2 years. Sunstone Hotel Investors has a dividend payout ratio of 189.5% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities research 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 Trading Down 3.2%

Shares of NYSE SHO opened at $8.96 on Friday. Sunstone Hotel Investors has a twelve month low of $7.45 and a twelve month high of $10.27. The stock has a market cap of $1.69 billion, a price-to-earnings ratio of 223.93, a P/E/G ratio of 2.46 and a beta of 0.97. The company has a quick ratio of 2.94, a current ratio of 2.94 and a debt-to-equity ratio of 0.55. The company’s fifty day moving average is $9.18 and its 200-day moving average is $9.23.

Sunstone Hotel Investors (NYSE:SHO) last issued its quarterly earnings data on Friday, February 27th. The real estate investment trust reported $0.20 EPS for the quarter, topping the consensus estimate of $0.18 by $0.02. Sunstone Hotel Investors had a return on equity of 1.44% and a net margin of 2.56%.The business had revenue of $236.97 million for the quarter, compared to the consensus estimate of $226.18 million. During the same quarter last year, the business posted $0.16 EPS. The firm’s revenue was up 10.3% compared to the same quarter last year. Sunstone Hotel Investors has set its FY 2026 guidance at 0.810-0.940 EPS. Equities research analysts predict that Sunstone Hotel Investors will post 0.79 EPS for the current year.

Hedge Funds Weigh In On Sunstone Hotel Investors

Large investors have recently modified their holdings of the stock. State Street Corp boosted its holdings in shares of Sunstone Hotel Investors by 4.9% during the 2nd quarter. State Street Corp now owns 12,179,383 shares of the real estate investment trust’s stock worth $106,784,000 after buying an additional 571,619 shares during the period. Bank of America Corp DE raised its holdings in Sunstone Hotel Investors by 7.1% in the 3rd quarter. Bank of America Corp DE now owns 7,753,798 shares of the real estate investment trust’s stock valued at $72,653,000 after acquiring an additional 513,641 shares during the period. Alyeska Investment Group L.P. lifted its position in Sunstone Hotel Investors by 86.8% during the fourth quarter. Alyeska Investment Group L.P. now owns 5,369,789 shares of the real estate investment trust’s stock worth $48,006,000 after acquiring an additional 2,495,914 shares during the last quarter. Balyasny Asset Management L.P. bought a new stake in shares of Sunstone Hotel Investors during the second quarter worth approximately $41,332,000. Finally, Woodline Partners LP bought a new stake in shares of Sunstone Hotel Investors during the third quarter worth approximately $44,295,000. 99.37% of the stock is owned by institutional investors.

About Sunstone Hotel Investors

Sunstone Hotel Investors, Inc (NYSE:SHO) is a publicly traded real estate investment trust (REIT) focused on acquiring, owning and asset‐managing upper‐upscale extended‐stay and premium‐branded hotel properties in the United States. The company’s business model centers on generating stable, long‐term cash flows through franchise agreements and third‐party management contracts with established hotel operators.

As of the most recent reporting period, Sunstone’s portfolio includes approximately 97 hotels and nearly 25,000 guest rooms across 19 states, with concentrations in major metropolitan and select high‐growth secondary markets.