Rhumbline Advisers Cuts Stock Position in DiamondRock Hospitality Company $DRH

Key Points

• Rhumbline Advisers reduced its stake in DiamondRock Hospitality by 4.9%, now owning 644,174 shares valued at approximately $4.97 million.
• DiamondRock Hospitality reported a quarterly EPS of $0.35, beating estimates, but experienced a revenue decline of 1.2% compared to the previous year.
• The company recently declared a quarterly dividend of $0.08 per share, yielding an annualized dividend of 3.8% with a high payout ratio of 123.08%.

Rhumbline Advisers lessened its position in DiamondRock Hospitality Company (NYSE:DRH - Free Report) by 4.9% in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 644,174 shares of the real estate investment trust's stock after selling 33,543 shares during the quarter. Rhumbline Advisers owned 0.31% of DiamondRock Hospitality worth $4,973,000 at the end of the most recent reporting period.

Several other institutional investors have also recently made changes to their positions in DRH. Versant Capital Management Inc lifted its holdings in shares of DiamondRock Hospitality by 156.3% in the 1st quarter. Versant Capital Management Inc now owns 3,699 shares of the real estate investment trust's stock worth $29,000 after acquiring an additional 2,256 shares during the last quarter. GF Fund Management CO. LTD. purchased a new position in DiamondRock Hospitality in the 4th quarter worth about $34,000. State of Wyoming purchased a new position in DiamondRock Hospitality in the 4th quarter worth about $54,000. DRW Securities LLC purchased a new position in DiamondRock Hospitality in the 1st quarter worth about $84,000. Finally, United Services Automobile Association purchased a new position in DiamondRock Hospitality in the 1st quarter worth about $91,000.

DiamondRock Hospitality Stock Up 2.6%

NYSE DRH traded up $0.21 during trading on Thursday, reaching $8.34. 3,242,991 shares of the company's stock traded hands, compared to its average volume of 2,577,972. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.30 and a quick ratio of 1.30. The firm has a market cap of $1.71 billion, a price-to-earnings ratio of 32.08 and a beta of 1.39. The company's 50 day simple moving average is $8.12 and its two-hundred day simple moving average is $7.78. DiamondRock Hospitality Company has a 12-month low of $6.18 and a 12-month high of $10.00.

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

DiamondRock Hospitality Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 14th. Stockholders of record on Tuesday, September 30th will be given a $0.08 dividend. The ex-dividend date of this dividend is Tuesday, September 30th. This represents a $0.32 dividend on an annualized basis and a dividend yield of 3.8%. DiamondRock Hospitality's payout ratio is presently 123.08%.

Analyst Upgrades and Downgrades

Several research firms recently commented on DRH. Truist Financial reduced their price target on shares of DiamondRock Hospitality from $10.00 to $9.00 and set a "hold" rating on the stock in a research note on Friday, May 30th. Wells Fargo & Company raised 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 given a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $8.63.

DiamondRock Hospitality Profile

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.