DiamondRock Hospitality Company (NYSE:DRH) Receives Average Rating of "Hold" from Analysts

Key Points

• Analysts have an average rating of "Hold" on DiamondRock (10 firms: 6 hold, 4 buy) with a mean 12‑month target of $10.25, and recent notable upgrades include Deutsche Bank and Truist moving to Buy with targets of $12 and $11 respectively.
• DiamondRock beat estimates with quarterly EPS of $0.27 versus $0.24 and revenue of $274.5M, and issued FY2026 guidance of 1.090–1.160 EPS, versus sell‑side forecasts near $0.96 for the current year.
• The company raised its quarterly dividend to $0.09 (annualized $0.36) for a ~3.5% yield (ex‑dividend March 31), while the stock trades around $10.21 with a $2.09B market cap and a P/E of 40.8.

DiamondRock Hospitality Company (NYSE:DRH - Get Free Report) has been given an average rating of "Hold" by the ten ratings firms that are currently covering the company, MarketBeat reports. Six equities research analysts have rated the stock with a hold recommendation and four have assigned a buy recommendation to the company. The average 12-month target price among analysts that have issued ratings on the stock in the last year is $10.25.

A number of brokerages recently weighed in on DRH. Morgan Stanley boosted their price objective on DiamondRock Hospitality from $9.00 to $9.50 and gave the stock an "equal weight" rating in a research report on Friday. Deutsche Bank Aktiengesellschaft raised DiamondRock Hospitality from a "hold" rating to a "buy" rating and lifted their target price for the stock from $10.00 to $12.00 in a report on Tuesday, January 13th. Truist Financial raised DiamondRock Hospitality from a "hold" rating to a "buy" rating and lifted their target price for the stock from $10.00 to $11.00 in a report on Friday, January 9th. LADENBURG THALM/SH SH initiated coverage on DiamondRock Hospitality in a report on Thursday, March 26th. They set a "buy" rating and a $12.00 target price on the stock. Finally, Barclays initiated coverage on DiamondRock Hospitality in a report on Tuesday, January 6th. They set an "equal weight" rating and a $10.00 target price on the stock.

DiamondRock Hospitality Trading Up 0.3%

Shares of DRH stock opened at $10.21 on Tuesday. The firm has a market capitalization of $2.09 billion, a P/E ratio of 40.84, a P/E/G ratio of 4.50 and a beta of 0.99. DiamondRock Hospitality has a twelve month low of $6.76 and a twelve month high of $10.67. The company has a quick ratio of 1.64, a current ratio of 1.64 and a debt-to-equity ratio of 0.70. The stock's fifty day simple moving average is $9.68 and its 200 day simple moving average is $9.05.

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

DiamondRock Hospitality Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, April 14th. Shareholders of record on Tuesday, March 31st will be issued a dividend of $0.09 per share. This represents a $0.36 annualized dividend and a yield of 3.5%. The ex-dividend date of this dividend is Tuesday, March 31st. This is a boost from DiamondRock Hospitality's previous quarterly dividend of $0.08. DiamondRock Hospitality's dividend payout ratio (DPR) is presently 81.82%.

Insider Buying and Selling

In other DiamondRock Hospitality news, CAO Steve Spierto sold 4,000 shares of DiamondRock Hospitality stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $9.93, for a total transaction of $39,720.00. Following the transaction, the chief accounting officer directly owned 77,977 shares of the company's stock, valued at approximately $774,311.61. The trade was a 4.88% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 0.90% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Allworth Financial LP lifted its holdings in DiamondRock Hospitality by 146.0% during the 4th quarter. Allworth Financial LP now owns 2,859 shares of the real estate investment trust's stock worth $26,000 after buying an additional 1,697 shares during the period. First Horizon Corp lifted its holdings in DiamondRock Hospitality by 54.9% during the 4th quarter. First Horizon Corp now owns 3,214 shares of the real estate investment trust's stock worth $29,000 after buying an additional 1,139 shares during the period. EverSource Wealth Advisors LLC lifted its stake in shares of DiamondRock Hospitality by 77.3% in the 4th quarter. EverSource Wealth Advisors LLC now owns 3,436 shares of the real estate investment trust's stock valued at $31,000 after purchasing an additional 1,498 shares during the period. Danske Bank A S acquired a new position in shares of DiamondRock Hospitality in the 3rd quarter valued at about $33,000. Finally, Global Retirement Partners LLC lifted its stake in shares of DiamondRock Hospitality by 12,114.7% in the 4th quarter. Global Retirement Partners LLC now owns 4,153 shares of the real estate investment trust's stock valued at $37,000 after purchasing an additional 4,119 shares during the period.

DiamondRock Hospitality Company Profile

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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