DiamondRock Hospitality Company $DRH Shares Sold by HGI Capital Management LLC

Key Points

• HGI Capital Management LLC cut its holdings in DiamondRock Hospitality Company by 45.6%, reducing its position to approximately $909,000 and making it its 21st largest holding.
• After releasing quarterly earnings that surpassed analyst expectations, DiamondRock Hospitality reported an EPS of $0.35 and a revenue of $305.7 million, though revenue was down 1.2% compared to the previous year.
• Equities analysts have set a consensus rating of "Hold" for DiamondRock with average price targets ranging from $8.25 to $9.50.

HGI Capital Management LLC lowered its stake in shares of DiamondRock Hospitality Company (NYSE:DRH - Free Report) by 45.6% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 117,754 shares of the real estate investment trust's stock after selling 98,892 shares during the quarter. DiamondRock Hospitality comprises about 1.1% of HGI Capital Management LLC's holdings, making the stock its 21st largest position. HGI Capital Management LLC owned 0.06% of DiamondRock Hospitality worth $909,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors have also modified their holdings of the company. Versant Capital Management Inc grew its holdings in shares of DiamondRock Hospitality by 156.3% during the 1st quarter. Versant Capital Management Inc now owns 3,699 shares of the real estate investment trust's stock worth $29,000 after purchasing an additional 2,256 shares during the period. GF Fund Management CO. LTD. purchased a new position in DiamondRock Hospitality in the 4th quarter worth approximately $34,000. State of Wyoming purchased a new position in DiamondRock Hospitality in the 4th quarter worth approximately $54,000. Caxton Associates LP purchased a new position in DiamondRock Hospitality in the 4th quarter worth approximately $92,000. Finally, Harbor Capital Advisors Inc. boosted its holdings in DiamondRock Hospitality by 26.4% in the 1st quarter. Harbor Capital Advisors Inc. now owns 11,941 shares of the real estate investment trust's stock worth $92,000 after acquiring an additional 2,492 shares during the period.

DiamondRock Hospitality Stock Down 0.2%

Shares of DRH traded down $0.02 during trading on Friday, reaching $8.57. The company's stock had a trading volume of 1,782,247 shares, compared to its average volume of 2,707,325. The company has a fifty day moving average of $7.97 and a two-hundred day moving average of $7.77. DiamondRock Hospitality Company has a twelve month low of $6.18 and a twelve month high of $10.00. The company has a market cap of $1.76 billion, a price-to-earnings ratio of 32.94 and a beta of 1.41. The company has a quick ratio of 1.30, a current ratio of 1.30 and a debt-to-equity ratio of 0.64.

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

DiamondRock Hospitality Announces Dividend

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

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on DRH shares. Truist Financial cut their target price on 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 upped their target price on DiamondRock Hospitality from $8.25 to $9.00 and gave the company an "equal weight" rating in a research report on Wednesday. One analyst has rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of "Hold" and a consensus price target of $8.63.

DiamondRock Hospitality Company 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.