B. Riley Issues Pessimistic Forecast for SVC Earnings

Key Points

• B. Riley has lowered its Q3 2025 earnings per share estimate for Service Properties Trust to $0.21, down from $0.28, maintaining a "Neutral" rating with a target price of $3.00.
• Service Properties Trust's most recent earnings report showed an EPS of $0.35, exceeding the consensus estimate, but the firm reported a negative return on equity of 34.61% and a negative net margin of 14.73%.
• Analysts' ratings on Service Properties Trust have shifted negatively, with Zacks downgrading it to a "strong sell" and Wells Fargo lowering their target price to $2.50.

Service Properties Trust (NASDAQ:SVC - Free Report) - Research analysts at B. Riley cut their Q3 2025 earnings per share estimates for Service Properties Trust in a research report issued to clients and investors on Thursday, September 25th. B. Riley analyst J. Massocca now anticipates that the real estate investment trust will post earnings per share of $0.21 for the quarter, down from their previous forecast of $0.28. B. Riley currently has a "Neutral" rating and a $3.00 target price on the stock. B. Riley also issued estimates for Service Properties Trust's Q4 2025 earnings at $0.11 EPS, FY2025 earnings at $0.73 EPS, Q1 2026 earnings at $0.02 EPS, Q2 2026 earnings at $0.30 EPS, Q3 2026 earnings at $0.22 EPS and Q4 2026 earnings at $0.13 EPS.

Service Properties Trust (NASDAQ:SVC - Get Free Report) last released its earnings results on Tuesday, August 5th. The real estate investment trust reported $0.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.34 by $0.01. Service Properties Trust had a negative return on equity of 34.61% and a negative net margin of 14.73%.The firm had revenue of $503.44 million during the quarter, compared to analysts' expectations of $497.53 million.

Several other research firms have also recently issued reports on SVC. Zacks Research cut Service Properties Trust from a "hold" rating to a "strong sell" rating in a research report on Tuesday, August 19th. Wells Fargo & Company reiterated an "equal weight" rating and set a $2.50 target price (down previously from $3.00) on shares of Service Properties Trust in a research report on Wednesday, September 10th. Two investment analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Service Properties Trust currently has an average rating of "Reduce" and an average target price of $2.75.

Service Properties Trust Stock Performance

NASDAQ:SVC opened at $2.73 on Friday. The company has a current ratio of 0.04, a quick ratio of 0.04 and a debt-to-equity ratio of 5.79. Service Properties Trust has a 12-month low of $1.71 and a 12-month high of $4.99. The stock has a 50-day moving average price of $2.72 and a 200 day moving average price of $2.45. The stock has a market capitalization of $455.53 million, a P/E ratio of -1.63 and a beta of 1.86.

Institutional Trading of Service Properties Trust

Several large investors have recently added to or reduced their stakes in SVC. Family Wealth Partners LLC acquired a new position in Service Properties Trust in the 1st quarter worth about $29,000. Principal Financial Group Inc. acquired a new stake in Service Properties Trust during the first quarter worth $29,000. Signaturefd LLC increased its stake in Service Properties Trust by 3,016.3% during the first quarter. Signaturefd LLC now owns 11,873 shares of the real estate investment trust's stock worth $31,000 after acquiring an additional 11,492 shares during the last quarter. Tidal Investments LLC acquired a new stake in Service Properties Trust during the fourth quarter worth $33,000. Finally, BNP Paribas Financial Markets increased its stake in Service Properties Trust by 54.4% during the second quarter. BNP Paribas Financial Markets now owns 14,470 shares of the real estate investment trust's stock worth $35,000 after acquiring an additional 5,099 shares during the last quarter. Hedge funds and other institutional investors own 77.62% of the company's stock.

Service Properties Trust Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, August 14th. Investors of record on Monday, July 21st were paid a dividend of $0.01 per share. This represents a $0.04 annualized dividend and a yield of 1.5%. The ex-dividend date was Monday, July 21st. Service Properties Trust's payout ratio is -2.40%.

Service Properties Trust Company Profile

Service Properties Trust Nasdaq: SVC is a real estate investment trust with over $11 billion invested in two asset categories: hotels and service-focused retail net lease properties. As of December 31, 2023, SVC owned 221 hotels with over 37,000 guest rooms throughout the United States and in Puerto Rico and Canada, the majority of which are extended stay and select service.

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