Sunstone Hotel Investors, Inc. $SHO Stake Lifted by H 2 Credit Manager LP

Key Points

• H 2 Credit Manager LP increased its holdings in Sunstone Hotel Investors by 7.2%, owning approximately $28.12 million worth of stock, which makes up about 7.5% of its portfolio.
• Sunstone Hotel Investors recently reported quarterly earnings of $0.28 per share, surpassing analysts' expectations, and announced a quarterly dividend of $0.09 per share.
• Wall Street analysts have mixed ratings on Sunstone, with an average target price of $9.07, reflecting expectations for both growth and caution in investment.

H 2 Credit Manager LP boosted its holdings in Sunstone Hotel Investors, Inc. (NYSE:SHO - Free Report) by 7.2% in the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 2,988,210 shares of the real estate investment trust's stock after purchasing an additional 200,000 shares during the period. Sunstone Hotel Investors makes up 7.5% of H 2 Credit Manager LP's portfolio, making the stock its 7th largest position. H 2 Credit Manager LP owned 1.50% of Sunstone Hotel Investors worth $28,119,000 as of its most recent SEC filing.

Other hedge funds have also added to or reduced their stakes in the company. Nissay Asset Management Corp Japan ADV increased its position in shares of Sunstone Hotel Investors by 3.9% in the fourth quarter. Nissay Asset Management Corp Japan ADV now owns 33,889 shares of the real estate investment trust's stock valued at $406,000 after acquiring an additional 1,258 shares during the period. GAMMA Investing LLC increased its position in shares of Sunstone Hotel Investors by 47.7% in the first quarter. GAMMA Investing LLC now owns 4,831 shares of the real estate investment trust's stock valued at $45,000 after acquiring an additional 1,560 shares during the period. Aberdeen Group plc increased its position in shares of Sunstone Hotel Investors by 2.3% in the first quarter. Aberdeen Group plc now owns 73,502 shares of the real estate investment trust's stock valued at $692,000 after acquiring an additional 1,669 shares during the period. Smartleaf Asset Management LLC increased its position in shares of Sunstone Hotel Investors by 62.7% during the first quarter. Smartleaf Asset Management LLC now owns 4,882 shares of the real estate investment trust's stock valued at $46,000 after buying an additional 1,881 shares during the period. Finally, Point72 Asia Singapore Pte. Ltd. purchased a new position in shares of Sunstone Hotel Investors during the fourth quarter valued at about $33,000. 99.37% of the stock is owned by institutional investors.

Analysts Set New Price Targets

Several research analysts have weighed in on the stock. Evercore ISI increased their price target on shares of Sunstone Hotel Investors from $10.00 to $11.00 and gave the stock an "outperform" rating in a research report on Monday, July 28th. Truist Financial decreased their price target on shares of Sunstone Hotel Investors from $11.00 to $10.00 and set a "hold" rating on the stock in a research report on Wednesday. Wells Fargo & Company lowered their target price on shares of Sunstone Hotel Investors from $9.00 to $8.50 and set an "equal weight" rating on the stock in a research note on Tuesday, July 1st. Finally, JPMorgan Chase & Co. began coverage on shares of Sunstone Hotel Investors in a research note on Monday, June 23rd. They set an "underweight" rating and a $8.00 target price on the stock. Two analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $8.93.

Sunstone Hotel Investors Trading Down 0.7%

NYSE:SHO traded down $0.07 during mid-day trading on Friday, hitting $9.54. 802,438 shares of the stock traded hands, compared to its average volume of 2,368,298. The stock has a market capitalization of $1.81 billion, a price-to-earnings ratio of 476.99, a PEG ratio of 3.48 and a beta of 1.29. Sunstone Hotel Investors, Inc. has a 52 week low of $7.45 and a 52 week high of $12.41. The firm's 50 day moving average is $9.03 and its two-hundred day moving average is $9.08. The company has a quick ratio of 2.73, a current ratio of 2.73 and a debt-to-equity ratio of 0.51.

Sunstone Hotel Investors (NYSE:SHO - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The real estate investment trust reported $0.28 EPS for the quarter, beating the consensus estimate of $0.26 by $0.02. The company had revenue of $259.77 million for the quarter, compared to the consensus estimate of $256.68 million. Sunstone Hotel Investors had a net margin of 2.15% and a return on equity of 1.12%. The firm's revenue was up 5.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.28 EPS. On average, equities research analysts predict that Sunstone Hotel Investors, Inc. will post 0.79 earnings per share for the current year.

Sunstone Hotel Investors Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 15th. Stockholders of record on Tuesday, September 30th will be issued a $0.09 dividend. This represents a $0.36 dividend on an annualized basis and a dividend yield of 3.8%. The ex-dividend date is Tuesday, September 30th. Sunstone Hotel Investors's dividend payout ratio (DPR) is presently 1,800.00%.

About Sunstone Hotel Investors

Sunstone Hotel Investors, Inc is a lodging real estate investment trust ("REIT") that as of the date of this release owns 14 hotels comprised of 6,675 rooms, the majority of which are operated under nationally recognized brands. Sunstone's strategy is to create long-term stakeholder value through the acquisition, active ownership, and disposition of well-located hotel and resort real estate.