Apple Hospitality REIT (NYSE:APLE) Reaches New 1-Year High - Still a Buy?

Key Points

• Apple Hospitality REIT (NYSE: APLE) hit a new 52-week high, trading as high as $15.78 amid strong recent price momentum.
• Analysts have been mixed but mostly cautious: Cantor Fitzgerald and Barclays raised targets to $16 with overweight ratings, while the overall consensus remains Hold with an average target of $13.94.
• The company reported better-than-expected quarterly results and continues to pay a monthly dividend of $0.08 per share, implying a 6.1% yield; chairman Glade M. Knight also bought 5,000 shares recently.

Apple Hospitality REIT, Inc. (NYSE:APLE - Get Free Report) hit a new 52-week high during mid-day trading on Friday . The company traded as high as $15.78 and last traded at $15.7350, with a volume of 619517 shares trading hands. The stock had previously closed at $15.67.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the company. Cantor Fitzgerald upped their target price on Apple Hospitality REIT from $14.00 to $16.00 and gave the stock an "overweight" rating in a report on Wednesday, May 13th. LADENBURG THALM/SH SH began coverage on Apple Hospitality REIT in a research report on Thursday, March 26th. They issued a "neutral" rating and a $13.00 target price on the stock. Barclays upped their target price on Apple Hospitality REIT from $13.00 to $16.00 and gave the company an "overweight" rating in a research report on Monday. Weiss Ratings raised Apple Hospitality REIT from a "hold (c)" rating to a "hold (c+)" rating in a research report on Thursday, May 28th. Finally, Wells Fargo & Company upped their target price on Apple Hospitality REIT from $12.00 to $15.00 and gave the company an "equal weight" rating in a research report on Monday. Three equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. Based on data from MarketBeat, Apple Hospitality REIT has an average rating of "Hold" and an average price target of $13.94.

Apple Hospitality REIT Price Performance

The firm has a 50-day simple moving average of $13.32 and a two-hundred day simple moving average of $12.50. The company has a market capitalization of $3.73 billion, a price-to-earnings ratio of 21.64 and a beta of 0.89. The company has a current ratio of 0.80, a quick ratio of 0.80 and a debt-to-equity ratio of 0.54.

Apple Hospitality REIT (NYSE:APLE - Get Free Report) last posted its earnings results on Monday, May 4th. The real estate investment trust reported $0.12 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.11 by $0.01. Apple Hospitality REIT had a net margin of 12.08% and a return on equity of 5.43%. The business had revenue of $337.74 million for the quarter, compared to analyst estimates of $327.81 million. As a group, analysts predict that Apple Hospitality REIT, Inc. will post 1.57 earnings per share for the current fiscal year.

Apple Hospitality REIT Dividend Announcement

The company also recently announced a monthly dividend, which will be paid on Monday, June 15th. Stockholders of record on Friday, May 29th will be paid a dividend of $0.08 per share. This represents a c) annualized dividend and a dividend yield of 6.1%. The ex-dividend date of this dividend is Friday, May 29th. Apple Hospitality REIT's dividend payout ratio is presently 131.51%.

Insider Activity

In other news, Chairman Glade M. Knight bought 5,000 shares of the stock in a transaction dated Monday, May 11th. The shares were acquired at an average cost of $13.96 per share, with a total value of $69,800.00. Following the purchase, the chairman directly owned 747,191 shares in the company, valued at $10,430,786.36. The trade was a 0.67% increase in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. 6.90% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Apple Hospitality REIT

Several hedge funds have recently modified their holdings of the company. Centerbridge Partners L.P. lifted its stake in Apple Hospitality REIT by 18.4% in the 3rd quarter. Centerbridge Partners L.P. now owns 2,247,785 shares of the real estate investment trust's stock valued at $26,996,000 after buying an additional 350,000 shares in the last quarter. Waterfall Asset Management LLC lifted its stake in Apple Hospitality REIT by 82.5% in the 3rd quarter. Waterfall Asset Management LLC now owns 730,000 shares of the real estate investment trust's stock valued at $8,767,000 after buying an additional 330,000 shares in the last quarter. Public Sector Pension Investment Board lifted its stake in Apple Hospitality REIT by 10.8% in the 3rd quarter. Public Sector Pension Investment Board now owns 972,074 shares of the real estate investment trust's stock valued at $11,675,000 after buying an additional 94,630 shares in the last quarter. SG Americas Securities LLC lifted its stake in Apple Hospitality REIT by 91.9% in the 4th quarter. SG Americas Securities LLC now owns 109,512 shares of the real estate investment trust's stock valued at $1,298,000 after buying an additional 52,446 shares in the last quarter. Finally, UBS Group AG lifted its stake in Apple Hospitality REIT by 60.8% in the 4th quarter. UBS Group AG now owns 4,721,481 shares of the real estate investment trust's stock valued at $55,950,000 after buying an additional 1,786,018 shares in the last quarter. 89.66% of the stock is owned by hedge funds and other institutional investors.

About Apple Hospitality REIT

Apple Hospitality REIT NYSE: APLE is a publicly traded real estate investment trust that focuses on acquiring, owning and operating high-quality, upscale, select-service hotels. The company's portfolio primarily consists of properties operated under premium franchise agreements with leading lodging brands such as Marriott, Hilton and Hyatt. Apple Hospitality REIT is self-managed and internally advised, overseeing property management, revenue optimization and asset-level operations through its in-house team of hospitality professionals.

The company's holdings encompass over 200 hotels featuring more than 30,000 guest rooms across a diverse array of markets in the United States.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.