DiamondRock Hospitality (NYSE:DRH) Releases FY 2026 Earnings Guidance

Key Points

• FY 2026 EPS guidance: DiamondRock issued EPS guidance of 1.120–1.180, roughly in line with the Street consensus of 1.130.
• Dividend increase: the REIT raised its quarterly dividend to $0.09 (annualized $0.36) for a ~3.5% yield, with a payout ratio of about 81.8%.
• Analyst view and stock metrics: Analysts are mixed (three Buys, six Holds) leaving a consensus rating of Hold and a $10.47 target; shares trade near $10.20 with a market cap of $2.09B and a P/E of ~40.8.

DiamondRock Hospitality (NYSE:DRH - Get Free Report) updated its FY 2026 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of 1.120-1.180 for the period, compared to the consensus estimate of 1.130. The company issued revenue guidance of -.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on DRH. Barclays began coverage on DiamondRock Hospitality in a research report on Tuesday, January 6th. They set an "equal weight" rating and a $10.00 price objective on the stock. Truist Financial upgraded DiamondRock Hospitality from a "hold" rating to a "buy" rating and increased their price objective for the stock from $10.00 to $11.00 in a research report on Friday, January 9th. Wells Fargo & Company increased their price objective on DiamondRock Hospitality from $10.00 to $11.00 and gave the stock an "equal weight" rating in a research report on Wednesday, April 22nd. Morgan Stanley raised their price target on DiamondRock Hospitality from $9.00 to $9.50 and gave the stock an "equal weight" rating in a research report on Friday, April 10th. Finally, LADENBURG THALM/SH SH initiated coverage on DiamondRock Hospitality in a research report on Thursday, March 26th. They issued a "buy" rating and a $12.00 price target on the stock. Three investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company's stock. According to data from MarketBeat, DiamondRock Hospitality currently has an average rating of "Hold" and a consensus target price of $10.47.

DiamondRock Hospitality Price Performance

Shares of NYSE DRH traded down $0.05 during mid-day trading on Thursday, reaching $10.20. The company had a trading volume of 2,493,076 shares, compared to its average volume of 2,417,374. The company has a debt-to-equity ratio of 0.70, a quick ratio of 1.64 and a current ratio of 1.64. DiamondRock Hospitality has a one year low of $7.21 and a one year high of $10.67. The firm has a market cap of $2.09 billion, a price-to-earnings ratio of 40.80, a PEG ratio of 4.50 and a beta of 0.99. The business's 50-day simple moving average is $9.82 and its 200 day simple moving average is $9.25.

DiamondRock Hospitality (NYSE:DRH - Get Free Report) last issued its quarterly earnings results on Thursday, February 26th. The real estate investment trust reported $0.27 EPS for the quarter, topping 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 for the quarter, compared to analysts' expectations of $273.18 million. During the same quarter last year, the business earned $0.24 earnings per share. DiamondRock Hospitality's revenue was down 1.6% on a year-over-year basis. DiamondRock Hospitality has set its FY 2026 guidance at 1.090-1.160 EPS. On average, research analysts predict that DiamondRock Hospitality will post 0.96 earnings per share for the current fiscal year.

DiamondRock Hospitality Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, April 14th. Shareholders of record on Tuesday, March 31st were given a $0.09 dividend. This is a boost from DiamondRock Hospitality's previous quarterly dividend of $0.08. This represents a $0.36 dividend on an annualized basis and a yield of 3.5%. The ex-dividend date was Tuesday, March 31st. DiamondRock Hospitality's dividend payout ratio (DPR) is presently 81.82%.

Insider Transactions at DiamondRock Hospitality

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 value of $39,720.00. Following the transaction, the chief accounting officer owned 77,977 shares in the company, valued at $774,311.61. The trade was a 4.88% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 0.90% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of DRH. Qube Research & Technologies Ltd grew its position in DiamondRock Hospitality by 469.0% in the third quarter. Qube Research & Technologies Ltd now owns 2,002,863 shares of the real estate investment trust's stock valued at $15,943,000 after acquiring an additional 1,650,871 shares during the last quarter. Bank of America Corp DE grew its position in DiamondRock Hospitality by 17.5% in the second quarter. Bank of America Corp DE now owns 9,231,991 shares of the real estate investment trust's stock valued at $70,717,000 after acquiring an additional 1,377,897 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC bought a new position in DiamondRock Hospitality in the fourth quarter valued at about $11,530,000. Janus Henderson Group PLC grew its position in DiamondRock Hospitality by 1,194.7% in the fourth quarter. Janus Henderson Group PLC now owns 1,192,773 shares of the real estate investment trust's stock valued at $10,687,000 after acquiring an additional 1,100,649 shares during the last quarter. Finally, Man Group plc grew its position in DiamondRock Hospitality by 683.6% in the third quarter. Man Group plc now owns 1,201,040 shares of the real estate investment trust's stock valued at $9,560,000 after acquiring an additional 1,047,772 shares during the last quarter.

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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