DiamondRock Hospitality (NYSE:DRH) Updates FY 2026 Earnings Guidance

DiamondRock Hospitality (NYSE:DRH) updated its FY 2026 earnings guidance on Thursday. The company provided earnings per share guidance of 1.120-1.180 for the period, compared to the consensus earnings per share estimate of 1.130. The company issued revenue guidance of -.

Wall Street Analysts Forecast Growth

A number of brokerages have commented on DRH. Morgan Stanley raised their price target on shares of DiamondRock Hospitality from $9.00 to $9.50 and gave the stock an “equal weight” rating in a research note on Friday, April 10th. Barclays initiated coverage on shares of DiamondRock Hospitality in a report on Tuesday, January 6th. They set an “equal weight” rating and a $10.00 price objective for the company. LADENBURG THALM/SH SH initiated coverage on shares of DiamondRock Hospitality in a report on Thursday, March 26th. They set a “buy” rating and a $12.00 price objective for the company. Wells Fargo & Company raised their price objective on shares of DiamondRock Hospitality from $10.00 to $11.00 and gave the stock an “equal weight” rating in a report on Wednesday, April 22nd. Finally, Deutsche Bank Aktiengesellschaft raised shares of DiamondRock Hospitality from a “hold” rating to a “buy” rating and raised their price objective for the stock from $10.00 to $12.00 in a report on Tuesday, January 13th. Three research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat.com, DiamondRock Hospitality has an average rating of “Hold” and a consensus target price of $10.79.

DiamondRock Hospitality Price Performance

Shares of DRH traded up $0.27 during mid-day trading on Friday, hitting $10.47. 4,061,735 shares of the company traded hands, compared to its average volume of 2,437,185. DiamondRock Hospitality has a one year low of $7.21 and a one year high of $10.68. The company has a current ratio of 1.64, a quick ratio of 1.64 and a debt-to-equity ratio of 0.70. The business has a 50-day moving average of $9.82 and a 200 day moving average of $9.25. The stock has a market capitalization of $2.14 billion, a price-to-earnings ratio of 41.86, a PEG ratio of 4.50 and a beta of 0.99.

DiamondRock Hospitality (NYSE:DRH) last released its quarterly earnings results on Thursday, February 26th. The real estate investment trust reported $0.27 EPS for the quarter, beating the consensus estimate of $0.24 by $0.03. DiamondRock Hospitality had a net margin of 5.69% and a return on equity of 4.04%. The business had revenue of $274.53 million for the quarter, compared to analysts’ expectations of $273.18 million. During the same period in the prior year, the firm earned $0.24 earnings per share. DiamondRock Hospitality’s revenue was down 1.6% compared to the same quarter last year. DiamondRock Hospitality has set its FY 2026 guidance at 1.090-1.160 EPS. As a group, equities analysts expect that DiamondRock Hospitality will post 0.96 earnings per share for the current fiscal year.

DiamondRock Hospitality Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, July 14th. Stockholders of record on Tuesday, June 30th will be paid a dividend of $0.09 per share. This represents a $0.36 annualized dividend and a dividend yield of 3.4%. The ex-dividend date of this dividend is Tuesday, June 30th. DiamondRock Hospitality’s dividend payout ratio is 81.82%.

Insider Activity at DiamondRock Hospitality

In other news, CAO Steve Spierto sold 4,000 shares of the stock in a transaction that occurred on Tuesday, March 3rd. The shares were sold at an average price of $9.93, for a total transaction of $39,720.00. Following the sale, the chief accounting officer directly owned 77,977 shares of the company’s stock, valued at $774,311.61. This represents a 4.88% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 0.90% of the stock is owned by company insiders.

Key DiamondRock Hospitality News

Here are the key news stories impacting DiamondRock Hospitality this week:

• Positive Sentiment: Q1 results beat expectations — DRH reported ~FFO/EPS of $0.22 and revenue that topped Street views, with revenue up roughly 1.3% year‑over‑year. The beats helped push the stock higher. DRH Tops Q1 FFO and Revenue Estimates MarketBeat Q1 Release
• Positive Sentiment: Company raised FY‑2026 EPS guidance to a new range (1.120–1.180), which signals management expects continued underlying strength and supports further multiple expansion if execution continues. PR Newswire Q1 Results
• Positive Sentiment: Board declared a quarterly dividend of $0.09 (ex‑div June 30; pay July 14), implying an annualized yield around 3.4% — a return element that can attract income‑seeking investors. (Dividend announcement April 30)
• Neutral Sentiment: Management hosted an earnings call/transcript that outlines quarter details and strategy; the call provides color on operations, demand trends and capital allocation but did not dramatically change the outlook beyond the guidance raise. Earnings Call Transcript
• Negative Sentiment: Growth and profitability remain modest — revenue rose only ~1.3% YoY and trailing margins/ROE are low, meaning the stock’s upside depends on sustained margin expansion and stronger top‑line momentum; valuation (high P/E) could limit upside if growth stalls. MarketBeat Q1 Metrics

Hedge Funds Weigh In On DiamondRock Hospitality

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. State Street Corp boosted its stake in DiamondRock Hospitality by 0.8% in the second quarter. State Street Corp now owns 12,587,578 shares of the real estate investment trust’s stock valued at $97,400,000 after acquiring an additional 93,929 shares during the last quarter. Bank of America Corp DE boosted its stake in DiamondRock Hospitality by 17.5% in the second quarter. Bank of America Corp DE now owns 9,231,991 shares of the real estate investment trust’s stock valued at $70,717,000 after acquiring an additional 1,377,897 shares during the last quarter. Alyeska Investment Group L.P. boosted its stake in DiamondRock Hospitality by 5.5% in the third quarter. Alyeska Investment Group L.P. now owns 9,152,343 shares of the real estate investment trust’s stock valued at $72,853,000 after acquiring an additional 475,611 shares during the last quarter. Geode Capital Management LLC boosted its stake in DiamondRock Hospitality by 3.8% in the fourth quarter. Geode Capital Management LLC now owns 5,514,801 shares of the real estate investment trust’s stock valued at $49,420,000 after acquiring an additional 202,180 shares during the last quarter. Finally, Dimensional Fund Advisors LP boosted its stake in DiamondRock Hospitality by 5.9% in the third quarter. Dimensional Fund Advisors LP now owns 3,052,398 shares of the real estate investment trust’s stock valued at $24,298,000 after acquiring an additional 171,321 shares during the last quarter.

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.