Truist Financial Forecasts Strong Price Appreciation for DiamondRock Hospitality (NYSE:DRH) Stock

DiamondRock Hospitality (NYSE:DRH) had its price target lifted by investment analysts at Truist Financial from $12.00 to $15.00 in a report issued on Thursday, Benzinga reports. The firm currently has a “buy” rating on the real estate investment trust’s stock. Truist Financial’s price objective suggests a potential upside of 24.22% from the stock’s current price.

Other analysts also recently issued research reports about the company. Wells Fargo & Company upped their price target on DiamondRock Hospitality from $12.00 to $13.00 and gave the stock an “equal weight” rating in a research note on Thursday, July 23rd. Barclays increased their price target on DiamondRock Hospitality from $12.00 to $14.00 and gave the company an “equal weight” rating in a report on Thursday, August 27th. LADENBURG THALM/SH SH boosted their target price on shares of DiamondRock Hospitality from $13.00 to $14.00 and gave the company a “buy” rating in a research report on Thursday, June 18th. Citigroup upped their price target on DiamondRock Hospitality from $11.00 to $13.00 and gave the stock a “neutral” rating in a research report on Wednesday, July 22nd. Finally, Zacks Research upgraded shares of DiamondRock Hospitality from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, August 19th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and seven have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $12.82.

DiamondRock Hospitality Trading Up 0.0%

DRH traded up $0.01 during midday trading on Thursday, reaching $12.07. 598,131 shares of the company’s stock traded hands, compared to its average volume of 2,358,627. The company has a debt-to-equity ratio of 0.70, a current ratio of 1.64 and a quick ratio of 1.64. DiamondRock Hospitality has a 52 week low of $7.47 and a 52 week high of $13.79. The stock has a market capitalization of $2.47 billion, a price-to-earnings ratio of 48.33, a P/E/G ratio of 4.50 and a beta of 0.97. The firm has a fifty day moving average of $12.47 and a two-hundred day moving average of $11.21.

DiamondRock Hospitality (NYSE:DRH) last released its quarterly earnings results on Thursday, July 30th. The real estate investment trust reported $0.44 earnings per share for the quarter, beating the consensus estimate of $0.22 by $0.22. DiamondRock Hospitality had a net margin of 5.69% and a return on equity of 4.04%. The business had revenue of $318.29 million for the quarter, compared to analysts’ expectations of $314.98 million. During the same quarter in the previous year, the business posted $0.35 earnings per share. The firm’s revenue for the quarter was up 4.1% compared to the same quarter last year. DiamondRock Hospitality has set its FY 2026 guidance at 1.180-1.230 EPS. On average, equities analysts anticipate that DiamondRock Hospitality will post 0.96 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other DiamondRock Hospitality news, Director Kathleen Merrill sold 20,000 shares of the firm’s stock in a transaction dated Friday, June 12th. The shares were sold at an average price of $11.88, for a total value of $237,600.00. Following the completion of the sale, the director owned 84,335 shares of the company’s stock, valued at $1,001,899.80. This trade represents a 19.17% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. 0.90% of the stock is owned by company insiders.

Institutional Trading of DiamondRock Hospitality

A number of large investors have recently made changes to their positions in DRH. BlackRock Inc. bought a new stake in shares of DiamondRock Hospitality in the 2nd quarter valued at about $475,282,000. Bank of America Corp DE purchased a new position in DiamondRock Hospitality during the 2nd quarter worth $129,710,000. Cohen & Steers Inc. acquired a new position in shares of DiamondRock Hospitality during the fourth quarter valued at about $59,231,000. Pzena Investment Management LLC purchased a new position in shares of DiamondRock Hospitality in the second quarter worth $34,464,000. Finally, California State Teachers Retirement System lifted its position in DiamondRock Hospitality by 1,086.8% during the 2nd quarter. California State Teachers Retirement System now owns 2,956,025 shares of the real estate investment trust’s stock worth $36,004,000 after acquiring an additional 2,706,941 shares during the period.

About DiamondRock Hospitality

DiamondRock Hospitality Company is a real estate investment trust (REIT) that acquires, owns and manages a diversified portfolio of upscale, full-service hotels in urban gateway markets across the United States. Established in 2004 and headquartered in Bethesda, Maryland, the company focuses on investing in high-quality lodging properties that cater to both business and leisure travelers. Its assets are positioned in key metropolitan areas, enabling DiamondRock to benefit from strong demand drivers such as corporate travel, group conventions and resort leisure stays.

The company’s portfolio includes full-service hotels offering a broad range of amenities, including guest rooms, on-site food and beverage outlets, meeting and event space, fitness centers and spa services.