Service Properties Trust (NASDAQ:SVC) Posts Earnings Results, Beats Estimates By $0.62 EPS

Service Properties Trust (NASDAQ:SVC) released its quarterly earnings data on Wednesday. The real estate investment trust reported $0.43 earnings per share for the quarter, beating the consensus estimate of ($0.19) by $0.62, Zacks reports. The firm had revenue of $420.97 million for the quarter, compared to analyst estimates of $403.53 million. Service Properties Trust had a negative net margin of 25.44% and a negative return on equity of 70.94%. Service Properties Trust updated its FY 2026 guidance to 1.200-1.350 EPS.

Service Properties Trust Stock Performance

SVC traded up $0.03 on Friday, hitting $8.47. 434,581 shares of the stock traded hands, compared to its average volume of 1,561,235. Service Properties Trust has a 52 week low of $5.65 and a 52 week high of $15.05. The company has a current ratio of 0.01, a quick ratio of 0.01 and a debt-to-equity ratio of 4.56. The firm has a market capitalization of $1.10 billion, a PE ratio of -1.10 and a beta of 1.67. The business has a fifty day moving average price of $8.41 and a two-hundred day moving average price of $8.92.

Service Properties Trust Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, August 13th. Investors of record on Monday, July 20th will be given a dividend of $0.05 per share. This represents a $0.20 dividend on an annualized basis and a yield of 2.4%. This is a boost from Service Properties Trust’s previous quarterly dividend of $0.05. The ex-dividend date of this dividend is Monday, July 20th. Service Properties Trust’s dividend payout ratio (DPR) is -2.82%.

Institutional Trading of Service Properties Trust

Several institutional investors have recently modified their holdings of the company. BNP Paribas Financial Markets raised its holdings in Service Properties Trust by 54.4% during the second quarter. BNP Paribas Financial Markets now owns 14,470 shares of the real estate investment trust’s stock worth $35,000 after acquiring an additional 5,099 shares in the last quarter. Cerity Partners LLC grew its stake in Service Properties Trust by 40.2% in the second quarter. Cerity Partners LLC now owns 29,838 shares of the real estate investment trust’s stock valued at $71,000 after purchasing an additional 8,554 shares in the last quarter. Jain Global LLC grew its stake in Service Properties Trust by 37.8% in the fourth quarter. Jain Global LLC now owns 34,638 shares of the real estate investment trust’s stock valued at $64,000 after purchasing an additional 9,500 shares in the last quarter. Renaissance Technologies LLC increased its position in shares of Service Properties Trust by 10.9% during the 4th quarter. Renaissance Technologies LLC now owns 122,400 shares of the real estate investment trust’s stock worth $225,000 after purchasing an additional 12,000 shares during the last quarter. Finally, Russell Investments Group Ltd. increased its position in shares of Service Properties Trust by 98.9% during the 3rd quarter. Russell Investments Group Ltd. now owns 24,150 shares of the real estate investment trust’s stock worth $65,000 after purchasing an additional 12,006 shares during the last quarter. Institutional investors and hedge funds own 77.62% of the company’s stock.

Wall Street Analyst Weigh In

A number of research analysts have recently commented on SVC shares. Wall Street Zen lowered Service Properties Trust from a “hold” rating to a “sell” rating in a report on Saturday, May 9th. Zacks Research lowered Service Properties Trust from a “hold” rating to a “strong sell” rating in a report on Tuesday, July 7th. Weiss Ratings raised Service Properties Trust from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Wednesday, July 29th. LADENBURG THALM/SH SH began coverage on Service Properties Trust in a report on Tuesday, June 30th. They set a “buy” rating and a $11.25 price target on the stock. Finally, Odeon Capital Group initiated coverage on shares of Service Properties Trust in a research report on Friday, May 8th. They issued a “buy” rating and a $17.50 price target on the stock. Three analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $12.81.

About Service Properties Trust

Service Properties Trust (NASDAQ: SVC) is a real estate investment trust (REIT) specializing in the acquisition, ownership and leasing of service-oriented properties, with a primary focus on the lodging sector. The company structures long-term, triple-net leases with established hotel operators under franchise agreements with leading global brands. By partnering with recognized hotel companies, Service Properties Trust seeks to generate a stable income stream through rent payments, while offering operators the capital and balance-sheet flexibility to grow their portfolios.

Since its formation in 2010, Service Properties Trust has grown its portfolio through strategic sale-leaseback transactions, targeted property acquisitions and selective dispositions.