Alyeska Investment Group L.P. Buys 236,176 Shares of DiamondRock Hospitality Company $DRH

Key Points

• Alyeska Investment Group L.P. increased its holdings in DiamondRock Hospitality Company by 2.8% in Q1, owning over 8.8 million shares valued at approximately $68 million.
• DiamondRock reported a quarterly earnings per share (EPS) of $0.35, surpassing analysts' expectations, with revenue down 1.2% year-over-year at $305.7 million.
• The firm declared a quarterly dividend of $0.08, with a yield of 3.8%, despite a high dividend payout ratio of 123.08%.

Alyeska Investment Group L.P. raised its position in DiamondRock Hospitality Company (NYSE:DRH - Free Report) by 2.8% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 8,812,253 shares of the real estate investment trust's stock after buying an additional 236,176 shares during the period. Alyeska Investment Group L.P. owned 4.27% of DiamondRock Hospitality worth $68,031,000 as of its most recent SEC filing.

A number of other large investors also recently modified their holdings of DRH. Bank of America Corp DE lifted its position in shares of DiamondRock Hospitality by 78.8% during the fourth quarter. Bank of America Corp DE now owns 6,953,022 shares of the real estate investment trust's stock worth $62,786,000 after purchasing an additional 3,064,117 shares in the last quarter. Nuveen LLC acquired a new position in shares of DiamondRock Hospitality during the first quarter worth approximately $18,262,000. Deutsche Bank AG lifted its position in shares of DiamondRock Hospitality by 723.6% during the first quarter. Deutsche Bank AG now owns 2,268,828 shares of the real estate investment trust's stock worth $17,515,000 after purchasing an additional 1,993,345 shares in the last quarter. H 2 Credit Manager LP lifted its position in shares of DiamondRock Hospitality by 35.6% during the first quarter. H 2 Credit Manager LP now owns 5,075,150 shares of the real estate investment trust's stock worth $39,180,000 after purchasing an additional 1,333,705 shares in the last quarter. Finally, Cbre Investment Management Listed Real Assets LLC lifted its position in shares of DiamondRock Hospitality by 66.7% during the first quarter. Cbre Investment Management Listed Real Assets LLC now owns 2,748,875 shares of the real estate investment trust's stock worth $21,221,000 after purchasing an additional 1,100,070 shares in the last quarter.

DiamondRock Hospitality Trading Down 0.3%

Shares of DRH traded down $0.03 on Friday, reaching $8.58. 2,212,023 shares of the company's stock were exchanged, compared to its average volume of 2,445,280. DiamondRock Hospitality Company has a 12 month low of $6.18 and a 12 month high of $10.00. The company has a current ratio of 1.30, a quick ratio of 1.30 and a debt-to-equity ratio of 0.64. The stock has a market capitalization of $1.76 billion, a P/E ratio of 32.98 and a beta of 1.39. The business has a 50 day moving average price of $8.05 and a two-hundred day moving average price of $7.77.

DiamondRock Hospitality (NYSE:DRH - Get Free Report) last issued its earnings results on Thursday, August 7th. The real estate investment trust reported $0.35 EPS for the quarter, beating the consensus estimate of $0.33 by $0.02. DiamondRock Hospitality had a net margin of 6.04% and a return on equity of 4.23%. The firm had revenue of $305.70 million during the quarter, compared to the consensus estimate of $303.70 million. During the same quarter in the prior year, the firm earned $0.34 earnings per share. The business's quarterly revenue was down 1.2% on a year-over-year basis. DiamondRock Hospitality has set its FY 2025 guidance at 0.960-1.060 EPS. Research analysts anticipate that DiamondRock Hospitality Company will post 0.96 earnings per share for the current year.

DiamondRock Hospitality Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, October 14th. Shareholders of record on Tuesday, September 30th will be paid a $0.08 dividend. This represents a $0.32 annualized dividend and a yield of 3.7%. The ex-dividend date of this dividend is Tuesday, September 30th. DiamondRock Hospitality's dividend payout ratio is presently 123.08%.

Analysts Set New Price Targets

DRH has been the topic of a number of research reports. Truist Financial reduced their target price on shares of DiamondRock Hospitality from $10.00 to $9.00 and set a "hold" rating on the stock in a research report on Friday, May 30th. Wells Fargo & Company boosted their price target on shares of DiamondRock Hospitality from $8.25 to $9.00 and gave the stock an "equal weight" rating in a research note on Wednesday, August 27th. One investment analyst has rated the stock with a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $8.63.

About DiamondRock Hospitality

DiamondRock Hospitality Company is a self-advised real estate investment trust (REIT) that is an owner of a leading portfolio of geographically diversified hotels concentrated in leisure destinations and top gateway markets. The Company currently owns 36 premium quality hotels with over 9,700 rooms. The Company has strategically positioned its portfolio to be operated both under leading global brand families as well as independent boutique hotels in the lifestyle segment.