Davis Selected Advisers Invests $3.22 Million in Sun Communities, Inc. (NYSE:SUI)

Key Points

• Davis Selected Advisers has invested approximately $3.22 million in Sun Communities, acquiring 25,040 shares of the real estate investment trust's stock.
• Sun Communities recently increased its quarterly dividend to $1.04 per share, representing a 3.3% yield and a payout ratio of 40.70%.
• The company has reported a successful financial quarter, with earnings per share of $1.76 exceeding analyst expectations of $1.67.

Davis Selected Advisers bought a new stake in Sun Communities, Inc. (NYSE:SUI - Free Report) during the 1st quarter, according to the company in its most recent 13F filing with the SEC. The fund bought 25,040 shares of the real estate investment trust's stock, valued at approximately $3,221,000.

A number of other institutional investors have also made changes to their positions in SUI. Citigroup Inc. raised its holdings in Sun Communities by 20.7% during the 1st quarter. Citigroup Inc. now owns 74,672 shares of the real estate investment trust's stock worth $9,606,000 after purchasing an additional 12,788 shares during the last quarter. Swiss National Bank grew its position in shares of Sun Communities by 2.0% in the 1st quarter. Swiss National Bank now owns 359,260 shares of the real estate investment trust's stock valued at $46,215,000 after purchasing an additional 7,100 shares during the period. Mitsubishi UFJ Asset Management Co. Ltd. grew its position in shares of Sun Communities by 9.6% in the 1st quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 187,944 shares of the real estate investment trust's stock valued at $24,177,000 after purchasing an additional 16,431 shares during the period. Deutsche Bank AG boosted its position in Sun Communities by 103.7% during the 1st quarter. Deutsche Bank AG now owns 1,611,425 shares of the real estate investment trust's stock worth $207,294,000 after acquiring an additional 820,422 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. boosted its position in Sun Communities by 1.6% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 1,140,855 shares of the real estate investment trust's stock worth $146,760,000 after acquiring an additional 17,415 shares during the last quarter. 99.59% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

A number of research firms have weighed in on SUI. Morgan Stanley began coverage on Sun Communities in a research report on Tuesday, July 15th. They set an "equal weight" rating and a $135.00 price target for the company. Truist Financial increased their price objective on Sun Communities from $137.00 to $141.00 and gave the company a "buy" rating in a report on Thursday. Robert W. Baird cut their price objective on Sun Communities from $128.00 to $126.00 and set a "neutral" rating for the company in a report on Thursday, May 8th. Colliers Securities began coverage on Sun Communities in a report on Friday, June 13th. They issued a "neutral" rating and a $130.00 price objective for the company. Finally, Wall Street Zen raised Sun Communities from a "sell" rating to a "hold" rating in a report on Saturday. One equities research analyst has rated the stock with a sell rating, nine have assigned a hold rating and six have issued a buy rating to the company. According to MarketBeat.com, Sun Communities currently has an average rating of "Hold" and an average price target of $137.86.

Insiders Place Their Bets

In other news, Director Jeff Blau acquired 3,665 shares of the stock in a transaction on Friday, May 23rd. The shares were purchased at an average price of $117.99 per share, for a total transaction of $432,433.35. Following the transaction, the director directly owned 3,665 shares of the company's stock, valued at approximately $432,433.35. This represents a ∞ increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. 1.77% of the stock is owned by insiders.

Sun Communities Stock Performance

SUI stock traded up $0.42 during trading hours on Friday, hitting $125.44. 858,838 shares of the stock were exchanged, compared to its average volume of 1,303,929. The company has a current ratio of 7.08, a quick ratio of 7.08 and a debt-to-equity ratio of 0.55. The firm has a market capitalization of $15.70 billion, a P/E ratio of 12.27, a P/E/G ratio of 8.50 and a beta of 0.83. The company has a 50-day simple moving average of $125.19 and a two-hundred day simple moving average of $125.77. Sun Communities, Inc. has a 12 month low of $109.22 and a 12 month high of $147.83.

Sun Communities (NYSE:SUI - Get Free Report) last posted its quarterly earnings data on Wednesday, July 30th. The real estate investment trust reported $1.76 earnings per share for the quarter, topping the consensus estimate of $1.67 by $0.09. The firm had revenue of $623.50 million for the quarter, compared to analysts' expectations of $614.79 million. Sun Communities had a negative return on equity of 0.60% and a net margin of 48.86%. During the same quarter last year, the business earned $1.86 EPS. On average, analysts forecast that Sun Communities, Inc. will post 6.77 earnings per share for the current fiscal year.

Sun Communities Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, July 31st. Shareholders of record on Monday, June 30th were given a dividend of $1.04 per share. This represents a $4.16 annualized dividend and a yield of 3.3%. The ex-dividend date was Monday, June 30th. This is a positive change from Sun Communities's previous quarterly dividend of $0.94. Sun Communities's dividend payout ratio (DPR) is 40.70%.

Sun Communities Profile

Established in 1975, Sun Communities, Inc became a publicly owned corporation in December 1993. The Company is a fully integrated REIT listed on the New York Stock Exchange under the symbol: SUI. As of December 31, 2023, the Company owned, operated, or had an interest in a portfolio of 667 developed MH, RV and Marina properties comprising 179,310 developed sites and approximately 48,030 wet slips and dry storage spaces in the U.S., the UK and Canada.