Sunstone Hotel Investors (NYSE:SHO) Announces Quarterly Earnings Results, Beats Estimates By $0.03 EPS

Sunstone Hotel Investors (NYSE:SHO) released its quarterly earnings results on Tuesday. The real estate investment trust reported $0.21 earnings per share for the quarter, topping analysts’ consensus estimates of $0.18 by $0.03, Zacks reports. Sunstone Hotel Investors had a return on equity of 9.04% and a net margin of 18.61%. During the same period in the previous year, the firm posted $0.18 earnings per share. The business’s revenue for the quarter was up 7.8% compared to the same quarter last year. Sunstone Hotel Investors updated its FY 2025 guidance to 0.820-0.940 EPS.

Sunstone Hotel Investors Trading Down 2.6 %

Shares of SHO stock traded down $0.23 during trading hours on Tuesday, reaching $8.36. 568,441 shares of the stock traded hands, compared to its average volume of 2,336,690. The company has a quick ratio of 2.98, a current ratio of 2.98 and a debt-to-equity ratio of 0.44. The firm has a market capitalization of $1.68 billion, a PE ratio of 10.98, a PEG ratio of 4.52 and a beta of 1.25. Sunstone Hotel Investors has a 1-year low of $7.45 and a 1-year high of $12.41. The business has a fifty day moving average price of $9.10 and a 200 day moving average price of $10.49.

Sunstone Hotel Investors Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Tuesday, April 15th. Stockholders of record on Monday, March 31st were given a $0.09 dividend. This represents a $0.36 annualized dividend and a dividend yield of 4.31%. The ex-dividend date was Monday, March 31st. Sunstone Hotel Investors’s dividend payout ratio (DPR) is currently 257.14%.

Analysts Set New Price Targets

Several analysts have recently weighed in on the company. Wells Fargo & Company lowered their target price on Sunstone Hotel Investors from $13.00 to $12.00 and set an “equal weight” rating for the company in a research note on Tuesday, February 18th. Evercore ISI dropped their target price on shares of Sunstone Hotel Investors from $12.00 to $10.00 and set an “in-line” rating for the company in a research report on Monday, April 28th. Bank of America raised shares of Sunstone Hotel Investors from an “underperform” rating to a “buy” rating and set a $10.00 price target on the stock in a research report on Wednesday, April 30th. Jefferies Financial Group lowered their price objective on Sunstone Hotel Investors from $12.00 to $8.00 and set a “hold” rating for the company in a report on Wednesday, April 9th. Finally, Truist Financial cut their price objective on Sunstone Hotel Investors from $12.00 to $11.00 and set a “hold” rating on the stock in a research note on Friday, March 21st. Two analysts have rated the stock with a sell rating, five have issued a hold rating, three have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $10.44.

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.