Starwood Property Trust (NYSE:STWD) Sets New 12-Month Low – What’s Next?

Starwood Property Trust, Inc. (NYSE:STWD)’s stock price hit a new 52-week low during trading on Tuesday. The stock traded as low as $12.42 and last traded at $12.5050, with a volume of 1,283,500 shares trading hands. The stock had previously closed at $12.52.

Analyst Ratings Changes

A number of analysts have recently weighed in on the stock. Weiss Ratings lowered shares of Starwood Property Trust from a “hold (c-)” rating to a “sell (d+)” rating in a report on Thursday, October 8th. JPMorgan Chase & Co. reduced their price target on Starwood Property Trust from $19.00 to $18.50 and set an “overweight” rating on the stock in a report on Tuesday, August 18th. Zacks Research raised Starwood Property Trust from a “strong sell” rating to a “hold” rating in a research report on Thursday, June 25th. Wall Street Zen lowered Starwood Property Trust from a “hold” rating to a “sell” rating in a research report on Saturday, August 8th. Finally, Citigroup reiterated a “market outperform” rating on shares of Starwood Property Trust in a report on Thursday, September 24th. Five investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, Starwood Property Trust presently has an average rating of “Moderate Buy” and a consensus target price of $18.70.

Starwood Property Trust Trading Down 1.0%

The stock has a market cap of $4.57 billion, a P/E ratio of 20.93, a PEG ratio of 1.64 and a beta of 1.01. The company has a current ratio of 1.46, a quick ratio of 1.46 and a debt-to-equity ratio of 3.47. The stock’s fifty day moving average price is $15.09 and its 200 day moving average price is $16.40.

Starwood Property Trust (NYSE:STWD) last released its earnings results on Thursday, August 6th. The real estate investment trust reported $0.40 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.40. The firm had revenue of $201.42 million for the quarter, compared to the consensus estimate of $521.67 million. Starwood Property Trust had a net margin of 11.35% and a return on equity of 7.85%. During the same period in the prior year, the firm earned $0.43 EPS. The company’s revenue was up 15.6% compared to the same quarter last year. Equities research analysts expect that Starwood Property Trust, Inc. will post 1.40 earnings per share for the current year.

Starwood Property Trust Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 15th. Shareholders of record on Wednesday, September 30th will be issued a $0.48 dividend. This represents a $1.92 dividend on an annualized basis and a yield of 15.5%. The ex-dividend date is Wednesday, September 30th. Starwood Property Trust’s dividend payout ratio is 325.42%.

Hedge Funds Weigh In On Starwood Property Trust

A number of institutional investors and hedge funds have recently made changes to their positions in the business. BlackRock Inc. purchased a new position in shares of Starwood Property Trust in the second quarter worth $589,366,000. Bank of America Corp DE bought a new position in shares of Starwood Property Trust during the second quarter valued at $19,537,000. Blue Owl Capital Holdings LP bought a new position in shares of Starwood Property Trust during the second quarter valued at $3,216,000. QRG Capital Management Inc. boosted its position in shares of Starwood Property Trust by 101.4% during the second quarter. QRG Capital Management Inc. now owns 344,716 shares of the real estate investment trust’s stock valued at $5,646,000 after buying an additional 173,558 shares during the last quarter. Finally, The Manufacturers Life Insurance Company bought a new stake in shares of Starwood Property Trust in the second quarter worth approximately $4,488,000. Institutional investors own 49.82% of the company’s stock.

About Starwood Property Trust

Starwood Property Trust, Inc (NYSE: STWD) is a real estate investment trust focused on commercial real estate finance. The company originates, acquires, finances and manages a range of real estate debt investments, including senior and subordinate mortgages, mezzanine loans, and other credit investments secured by commercial properties.

Its business also includes commercial real estate lending and servicing, residential lending, and infrastructure lending. Through these activities, Starwood Property Trust provides financing to property owners, developers and other real estate participants across multiple property types, including office, multifamily, industrial, hospitality and other commercial assets.

Founded in 2009, the company operates primarily in the United States and has also pursued lending and investment opportunities in Europe and other select international markets.