Service Properties Trust (NASDAQ:SVC) Sees Significant Increase in Short Interest

Service Properties Trust (NASDAQ:SVC) was the recipient of a significant growth in short interest during the month of March. As of March 31st, there was short interest totaling 9,365,511 shares, a growth of 38.7% from the March 15th total of 6,752,266 shares. Based on an average daily volume of 2,632,360 shares, the days-to-cover ratio is currently 3.6 days. Currently, 5.7% of the company’s shares are short sold.

Insider Transactions at Service Properties Trust

In related news, Director Adam D. Portnoy acquired 41,666,666 shares of the stock in a transaction on Thursday, April 2nd. The stock was purchased at an average price of $1.20 per share, for a total transaction of $49,999,999.20. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Laurie B. Burns sold 87,680 shares of the business’s stock in a transaction that occurred on Friday, February 27th. The shares were sold at an average price of $2.32, for a total value of $203,417.60. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have purchased 41,914,999 shares of company stock valued at $50,297,999. Insiders own 1.57% of the company’s stock.

Institutional Investors Weigh In On Service Properties Trust

Several hedge funds and other institutional investors have recently added to or reduced their stakes in SVC. HighRoad Wealth Advisors LLC purchased a new stake in Service Properties Trust in the fourth quarter worth $29,000. Abel Hall LLC purchased a new stake in Service Properties Trust in the fourth quarter worth $32,000. Caxton Associates LLP purchased a new stake in Service Properties Trust in the third quarter worth $33,000. BNP Paribas Financial Markets grew its stake in Service Properties Trust by 54.4% in the second quarter. BNP Paribas Financial Markets now owns 14,470 shares of the real estate investment trust’s stock worth $35,000 after purchasing an additional 5,099 shares during the period. Finally, Savant Capital LLC purchased a new stake in Service Properties Trust in the third quarter worth $37,000. 77.62% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

SVC has been the subject of several recent research reports. Wells Fargo & Company lowered their price objective on Service Properties Trust from $2.50 to $2.00 and set an “equal weight” rating for the company in a research report on Thursday, January 22nd. B. Riley Financial raised Service Properties Trust from a “neutral” rating to a “buy” rating and set a $2.00 target price on the stock in a research note on Thursday, April 2nd. Wall Street Zen raised Service Properties Trust from a “sell” rating to a “hold” rating in a research note on Saturday, March 28th. Weiss Ratings reissued a “sell (d-)” rating on shares of Service Properties Trust in a research note on Thursday, January 22nd. Finally, Zacks Research cut Service Properties Trust from a “strong-buy” rating to a “hold” rating in a research note on Friday, January 30th. One equities research analyst has rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $2.00.

Service Properties Trust Price Performance

SVC opened at $1.38 on Thursday. The company has a debt-to-equity ratio of 5.00, a quick ratio of 0.14 and a current ratio of 0.14. Service Properties Trust has a 52-week low of $1.13 and a 52-week high of $3.08. The stock has a market capitalization of $231.07 million, a PE ratio of -1.14 and a beta of 1.60. The stock’s 50 day moving average price is $1.92 and its 200-day moving average price is $1.99.

Service Properties Trust (NASDAQ:SVC) last posted its earnings results on Wednesday, February 25th. The real estate investment trust reported $0.17 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.01 by $0.16. The firm had revenue of $397.45 million for the quarter, compared to analysts’ expectations of $394.32 million. Service Properties Trust had a negative return on equity of 29.70% and a negative net margin of 11.15%.Service Properties Trust has set its FY 2026 guidance at 0.650-0.770 EPS.

Service Properties Trust Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, May 14th. Investors of record on Tuesday, April 21st will be paid a $0.01 dividend. This represents a $0.04 annualized dividend and a yield of 2.9%. The ex-dividend date of this dividend is Tuesday, April 21st. Service Properties Trust’s dividend payout ratio is presently -3.31%.

Service Properties Trust Company Profile

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.