DiamondRock Hospitality Company (NYSE:DRH) Stock Has Consensus Price Target of $12.82 According to Analysts

Shares of DiamondRock Hospitality Company (NYSE:DRH) have received an average rating of “Hold” from the eleven ratings firms that are presently covering the firm, Marketbeat reports. Seven investment analysts have rated the stock with a hold rating and four have issued a buy rating on the company. The average 1 year price target among brokerages that have updated their coverage on the stock in the last year is $12.93.

DRH has been the subject of several recent analyst reports. Stifel Nicolaus upped their target price on DiamondRock Hospitality from $12.50 to $13.25 and gave the company a “hold” rating in a report on Friday, July 31st. Barclays lifted their target price on shares of DiamondRock Hospitality from $12.00 to $14.00 and gave the stock an “equal weight” rating in a research note on Thursday, August 27th. Citigroup boosted their price objective on DiamondRock Hospitality from $11.00 to $13.00 and gave the company a “neutral” rating in a research note on Wednesday, July 22nd. Bank of America increased their target price on shares of DiamondRock Hospitality from $12.50 to $13.00 and gave the stock a “buy” rating in a research note on Monday, July 20th. Finally, Wells Fargo & Company lifted their price target on DiamondRock Hospitality from $12.00 to $13.00 and gave the company an “equal weight” rating in a research report on Thursday, July 23rd.

DiamondRock Hospitality Price Performance

DRH stock opened at $12.78 on Tuesday. The company has a market capitalization of $2.61 billion, a P/E ratio of 51.12, a price-to-earnings-growth ratio of 4.50 and a beta of 1.01. The company has a debt-to-equity ratio of 0.70, a quick ratio of 1.64 and a current ratio of 1.64. DiamondRock Hospitality has a 52-week low of $7.47 and a 52-week high of $13.79. The business has a 50-day simple moving average of $12.43 and a two-hundred day simple moving average of $11.65.

DiamondRock Hospitality (NYSE:DRH) last announced its quarterly earnings results on Thursday, July 30th. The real estate investment trust reported $0.44 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.22 by $0.22. DiamondRock Hospitality had a return on equity of 4.04% and a net margin of 5.69%. The business had revenue of $318.29 million during the quarter, compared to the consensus estimate of $314.98 million. During the same quarter in the prior year, the company posted $0.35 earnings per share. DiamondRock Hospitality’s revenue 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. Research analysts expect that DiamondRock Hospitality will post 0.96 EPS for the current fiscal year.

DiamondRock Hospitality Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 14th. Stockholders of record on Wednesday, September 30th will be issued a $0.11 dividend. This represents a $0.44 dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date is Wednesday, September 30th. This is an increase from DiamondRock Hospitality’s previous quarterly dividend of $0.09. DiamondRock Hospitality’s dividend payout ratio (DPR) is currently 60.27%.

Hedge Funds Weigh In On DiamondRock Hospitality

Several institutional investors and hedge funds have recently made changes to their positions in DRH. BlackRock Inc. bought a new position in shares of DiamondRock Hospitality during the second quarter valued at about $475,282,000. Bank of America Corp DE bought a new position in DiamondRock Hospitality in the second quarter worth about $129,710,000. Centersquare Investment Management LLC raised its position in shares of DiamondRock Hospitality by 3.2% in the 4th quarter. Centersquare Investment Management LLC now owns 7,780,988 shares of the real estate investment trust’s stock worth $69,718,000 after acquiring an additional 244,013 shares in the last quarter. Cohen & Steers Inc. purchased a new position in DiamondRock Hospitality during the fourth quarter valued at $59,231,000. Finally, SG Americas Securities LLC lifted its position in DiamondRock Hospitality by 106.1% during the 1st quarter. SG Americas Securities LLC now owns 4,172,671 shares of the real estate investment trust’s stock valued at $39,098,000 after acquiring an additional 2,147,881 shares during the period.

DiamondRock Hospitality Company Profile

DiamondRock Hospitality Company (NYSE: DRH) is a self-advised real estate investment trust that owns a portfolio of upscale and luxury hotels and resorts in the United States. The company focuses on acquiring, owning and strategically managing lodging properties in major gateway markets, destination resorts and other high-demand locations.

DiamondRock’s portfolio includes full-service hotels operating under nationally recognized brands such as Marriott, Hilton and Hyatt, as well as independent and boutique properties.