Starwood Property Trust (NYSE:STWD) Stock Price Target Cut by JPMorgan Chase & Co.

Key Points

• JPMorgan cut its price target on Starwood Property Trust from $16.00 to $15.50, while maintaining an “overweight” rating; the new target implies about 30.1% upside from the $11.91 share price.
• Analyst sentiment is generally positive: MarketBeat reports a “Moderate Buy” consensus and an average price target of $17.90, despite some recent target reductions and mixed ratings.
• Starwood reported quarterly EPS of $0.31, beating the $0.27 estimate, and revenue of $545.85 million, above forecasts; revenue nevertheless fell 22.8% year over year.

Starwood Property Trust (NYSE:STWD - Get Free Report) had its target price dropped by equities researchers at JPMorgan Chase & Co. from $16.00 to $15.50 in a research report issued on Wednesday, Benzinga reports. The brokerage currently has an "overweight" rating on the real estate investment trust's stock. JPMorgan Chase & Co.'s price objective would indicate a potential upside of 30.10% from the stock's current price.

Several other research analysts also recently weighed in on the company. Citigroup reiterated a "market outperform" rating on shares of Starwood Property Trust in a report on Monday, October 26th. Keefe, Bruyette & Woods lowered their price target on Starwood Property Trust from $16.00 to $15.00 and set an "outperform" rating for the company in a report on Wednesday, November 4th. Wells Fargo & Company set a $20.00 target price on shares of Starwood Property Trust in a research report on Monday, August 17th. Wall Street Zen raised Starwood Property Trust from a "sell" rating to a "hold" rating in a research report on Saturday. Finally, Weiss Ratings downgraded Starwood Property Trust from a "sell (d+)" rating to a "sell (d)" rating in a report on Monday. One equities research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $17.90.

Starwood Property Trust Price Performance

Shares of NYSE STWD traded up $0.02 during trading on Wednesday, hitting $11.91. 2,713,469 shares of the company were exchanged, compared to its average volume of 4,081,589. The company has a debt-to-equity ratio of 3.95, a current ratio of 1.48 and a quick ratio of 1.46. Starwood Property Trust has a 1 year low of $11.61 and a 1 year high of $18.66. The company has a market cap of $4.34 billion, a price-to-earnings ratio of -17.51, a PEG ratio of 1.67 and a beta of 1.03. The firm's fifty day moving average price is $13.62 and its 200 day moving average price is $16.34.

Starwood Property Trust (NYSE:STWD - Get Free Report) last released its quarterly earnings data on Friday, November 6th. The real estate investment trust reported $0.31 EPS for the quarter, topping the consensus estimate of $0.27 by $0.04. Starwood Property Trust had a negative net margin of 11.35% and a positive return on equity of 7.77%. The business had revenue of $545.85 million for the quarter, compared to analyst estimates of $531.80 million. During the same period in the previous year, the firm earned $0.40 EPS. The business's revenue for the quarter was down 22.8% compared to the same quarter last year. On average, sell-side analysts expect that Starwood Property Trust will post 1.33 earnings per share for the current fiscal year.

Institutional Trading of Starwood Property Trust

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Private Advisor Group LLC boosted its position in shares of Starwood Property Trust by 232.0% in the 3rd quarter. Private Advisor Group LLC now owns 57,745 shares of the real estate investment trust's stock valued at $780,000 after purchasing an additional 40,353 shares during the period. Voya Investment Management LLC raised its stake in shares of Starwood Property Trust by 3.4% during the 3rd quarter. Voya Investment Management LLC now owns 98,658 shares of the real estate investment trust's stock worth $1,332,000 after purchasing an additional 3,282 shares in the last quarter. Edgestream Partners L.P. bought a new stake in Starwood Property Trust in the third quarter worth approximately $290,000. HighTower Advisors LLC increased its position in Starwood Property Trust by 9.1% during the third quarter. HighTower Advisors LLC now owns 3,323,264 shares of the real estate investment trust's stock worth $44,864,000 after buying an additional 276,722 shares during the last quarter. Finally, Texas Capital Bank Wealth Management Services Inc lifted its holdings in Starwood Property Trust by 1.1% in the 3rd quarter. Texas Capital Bank Wealth Management Services Inc now owns 195,806 shares of the real estate investment trust's stock worth $2,643,000 after purchasing an additional 2,046 shares during the last quarter. 49.82% of the stock is currently owned by institutional investors.

About Starwood Property Trust

Starwood Property Trust, Inc. is a real estate investment trust focused on commercial real estate finance and related investments. The company originates, acquires and manages commercial mortgage loans and other debt investments secured by commercial properties, and also invests in commercial real estate and infrastructure-related lending. Founded in 2009, Starwood Property Trust operates primarily in the United States and also conducts business in international markets, including Europe and Australia.

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