Ieq Capital LLC Buys New Shares in DiamondRock Hospitality Company $DRH

Key Points

• Ieq Capital LLC acquired 300,307 shares of DiamondRock Hospitality in the second quarter, worth approximately $3.66 million and representing about 0.15% of the REIT. Several other institutional investors also initiated positions, including Pzena Investment Management with an estimated $34.46 million stake.
• DiamondRock reported quarterly EPS of $0.44, exceeding the $0.22 analyst consensus, while revenue rose 4.1% year over year to $318.29 million. The company also increased its quarterly dividend from $0.09 to $0.11 per share, implying a 3.5% annualized yield.
• DRH shares opened at $12.74, near the upper end of their 52-week range, and analysts maintain a “Moderate Buy” consensus rating with an average price target of $12.32.

Ieq Capital LLC purchased a new position in DiamondRock Hospitality Company (NYSE:DRH - Free Report) in the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor purchased 300,307 shares of the real estate investment trust's stock, valued at approximately $3,658,000. Ieq Capital LLC owned approximately 0.15% of DiamondRock Hospitality as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors and hedge funds have also bought and sold shares of DRH. C M Bidwell & Associates Ltd. bought a new position in shares of DiamondRock Hospitality in the second quarter worth about $84,000. Allworth Financial LP bought a new stake in DiamondRock Hospitality during the 2nd quarter valued at approximately $59,000. Great Lakes Advisors LLC purchased a new position in DiamondRock Hospitality in the 2nd quarter worth approximately $3,258,000. Danske Bank A S purchased a new position in DiamondRock Hospitality in the 2nd quarter worth approximately $7,641,000. Finally, Pzena Investment Management LLC bought a new position in DiamondRock Hospitality in the 2nd quarter worth approximately $34,464,000.

DiamondRock Hospitality Stock Performance

NYSE:DRH opened at $12.74 on Tuesday. The company has a debt-to-equity ratio of 0.70, a current ratio of 1.64 and a quick ratio of 1.64. DiamondRock Hospitality Company has a 1 year low of $7.47 and a 1 year high of $13.79. The stock's 50 day simple moving average is $12.45 and its two-hundred day simple moving average is $11.00. The company has a market cap of $2.61 billion, a price-to-earnings ratio of 50.96, a PEG ratio of 4.50 and a beta of 0.98.

DiamondRock Hospitality (NYSE:DRH - Get Free Report) last posted its earnings results on Thursday, July 30th. The real estate investment trust reported $0.44 EPS for the quarter, beating analysts' consensus estimates of $0.22 by $0.22. DiamondRock Hospitality had a return on equity of 4.04% and a net margin of 5.69%.The firm had revenue of $318.29 million during the quarter, compared to the consensus estimate of $314.98 million. During the same period in the prior year, the company earned $0.35 EPS. The company's quarterly revenue was up 4.1% compared to the same quarter last year. DiamondRock Hospitality has set its FY 2026 guidance at 1.180-1.230 EPS. As a group, equities analysts anticipate that DiamondRock Hospitality Company will post 0.96 earnings per share for the current fiscal year.

DiamondRock Hospitality Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 14th. Shareholders of record on Wednesday, September 30th will be given a dividend of $0.11 per share. This represents a $0.44 annualized dividend and a yield of 3.5%. This is an increase from DiamondRock Hospitality's previous quarterly dividend of $0.09. The ex-dividend date is Wednesday, September 30th. DiamondRock Hospitality's dividend payout ratio (DPR) is 60.27%.

Insider Activity at DiamondRock Hospitality

In other DiamondRock Hospitality news, Director Kathleen Merrill sold 20,000 shares of DiamondRock Hospitality stock in a transaction on Friday, June 12th. The shares were sold at an average price of $11.88, for a total value of $237,600.00. Following the completion of the transaction, the director directly owned 84,335 shares of the company's stock, valued at $1,001,899.80. This trade represents a 19.17% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. 0.90% of the stock is owned by insiders.

Analyst Ratings Changes

DRH has been the subject of a number of research analyst reports. LADENBURG THALM/SH SH increased their price objective on shares of DiamondRock Hospitality from $13.00 to $14.00 and gave the company a "buy" rating in a report on Thursday, June 18th. Citigroup upped their target price on shares of DiamondRock Hospitality from $11.00 to $13.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 22nd. Bank of America raised their target price on shares of DiamondRock Hospitality from $12.50 to $13.00 and gave the company a "buy" rating in a research note on Monday, July 20th. Barclays lifted their price target on shares of DiamondRock Hospitality from $10.00 to $12.00 and gave the company an "equal weight" rating in a report on Monday, June 1st. Finally, Morgan Stanley boosted their price target on shares of DiamondRock Hospitality from $10.00 to $11.00 and gave the stock an "equal weight" rating in a research note on Tuesday, August 18th. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and seven have issued a Hold rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $12.32.

DiamondRock Hospitality Company Profile

DiamondRock Hospitality Company is a real estate investment trust (REIT) that acquires, owns and manages a diversified portfolio of upscale, full-service hotels in urban gateway markets across the United States. Established in 2004 and headquartered in Bethesda, Maryland, the company focuses on investing in high-quality lodging properties that cater to both business and leisure travelers. Its assets are positioned in key metropolitan areas, enabling DiamondRock to benefit from strong demand drivers such as corporate travel, group conventions and resort leisure stays.

The company's portfolio includes full-service hotels offering a broad range of amenities, including guest rooms, on-site food and beverage outlets, meeting and event space, fitness centers and spa services.

Want to see what other hedge funds are holding DRH? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for DiamondRock Hospitality Company (NYSE:DRH - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source