DiamondRock Hospitality Company Announces Quarterly Dividend of $0.09 (NYSE:DRH)

Key Points

• DiamondRock declared a quarterly dividend of $0.09 per share (annualized $0.36), with record and ex-dividend dates on June 30 and payment scheduled for July 14, implying a yield of about 3.4%.
• The dividend is currently covered but tight—a payout ratio of 80%—however analysts forecast next-year EPS of $1.02 (company FY2026 guidance $1.09–$1.16), which would reduce the implied payout ratio to roughly 35%.
• Shares jumped about 3.5% to $10.56 after the news; the REIT has a market cap of $2.16 billion, a P/E of 42.3, and recently beat quarterly EPS estimates with $0.27 vs. $0.24 consensus.

DiamondRock Hospitality Company (NYSE:DRH - Get Free Report) declared a quarterly dividend on Thursday, April 30th. Stockholders of record on Tuesday, June 30th will be given a dividend of 0.09 per share by the real estate investment trust on Tuesday, July 14th. This represents a c) dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date is Tuesday, June 30th.

DiamondRock Hospitality has a payout ratio of 80.0% indicating that its dividend is currently covered by earnings, but may not be in the future if the company's earnings fall. Equities analysts expect DiamondRock Hospitality to earn $1.02 per share next year, which means the company should continue to be able to cover its $0.36 annual dividend with an expected future payout ratio of 35.3%.

DiamondRock Hospitality Trading Up 3.5%

Shares of NYSE DRH traded up $0.36 during midday trading on Friday, hitting $10.56. The company's stock had a trading volume of 856,807 shares, compared to its average volume of 2,396,165. DiamondRock Hospitality has a 12-month low of $7.21 and a 12-month high of $10.68. The company has a current ratio of 1.64, a quick ratio of 1.64 and a debt-to-equity ratio of 0.70. The firm has a market cap of $2.16 billion, a P/E ratio of 42.30, a price-to-earnings-growth ratio of 4.50 and a beta of 0.99. The business's 50 day moving average is $9.82 and its two-hundred day moving average is $9.25.

DiamondRock Hospitality (NYSE:DRH - Get Free Report) last posted its quarterly earnings data on Thursday, February 26th. The real estate investment trust reported $0.27 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.24 by $0.03. DiamondRock Hospitality had a return on equity of 4.04% and a net margin of 5.69%.The company had revenue of $274.53 million during the quarter, compared to analysts' expectations of $273.18 million. During the same quarter in the previous year, the business earned $0.24 EPS. DiamondRock Hospitality's revenue was down 1.6% compared to the same quarter last year. DiamondRock Hospitality has set its FY 2026 guidance at 1.090-1.160 EPS. As a group, equities research analysts expect that DiamondRock Hospitality will post 0.96 EPS for the current year.

About DiamondRock Hospitality

DiamondRock Hospitality Company is a real estate investment trust (REIT) that acquires, owns and manages a diversified portfolio of upscale, full-service hotels in urban gateway markets across the United States. Established in 2004 and headquartered in Bethesda, Maryland, the company focuses on investing in high-quality lodging properties that cater to both business and leisure travelers. Its assets are positioned in key metropolitan areas, enabling DiamondRock to benefit from strong demand drivers such as corporate travel, group conventions and resort leisure stays.

The company's portfolio includes full-service hotels offering a broad range of amenities, including guest rooms, on-site food and beverage outlets, meeting and event space, fitness centers and spa services.

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