Sunstone Hotel Investors, Inc. $SHO Shares Purchased by Jacobs Levy Equity Management Inc.

Key Points

• Jacobs Levy Equity Management Inc. increased its stake in Sunstone Hotel Investors, acquiring 151,461 shares and totaling 1,380,640 shares, which is a 12.3% increase in ownership.
• Sunstone Hotel Investors reported $0.28 EPS for the last quarter, surpassing estimates, with revenues of $259.77 million, a 5.0% increase year-over-year.
• The company announced a quarterly dividend of $0.09, representing an annualized dividend of 3.8%, with a significant payout ratio of 1,800.00%.

Jacobs Levy Equity Management Inc. raised its holdings in shares of Sunstone Hotel Investors, Inc. (NYSE:SHO - Free Report) by 12.3% in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 1,380,640 shares of the real estate investment trust's stock after acquiring an additional 151,461 shares during the quarter. Jacobs Levy Equity Management Inc. owned approximately 0.69% of Sunstone Hotel Investors worth $12,992,000 as of its most recent filing with the SEC.

A number of other large investors have also recently made changes to their positions in SHO. Massachusetts Financial Services Co. MA acquired a new stake in shares of Sunstone Hotel Investors in the 1st quarter valued at about $42,838,000. GRS Advisors LLC purchased a new position in shares of Sunstone Hotel Investors during the 4th quarter worth approximately $22,980,000. Woodline Partners LP purchased a new position in shares of Sunstone Hotel Investors during the 4th quarter worth approximately $17,309,000. Alyeska Investment Group L.P. raised its stake in shares of Sunstone Hotel Investors by 251.0% during the 1st quarter. Alyeska Investment Group L.P. now owns 1,754,955 shares of the real estate investment trust's stock worth $16,514,000 after buying an additional 1,254,955 shares in the last quarter. Finally, Bank of America Corp DE increased its stake in Sunstone Hotel Investors by 23.0% in the 4th quarter. Bank of America Corp DE now owns 6,567,535 shares of the real estate investment trust's stock valued at $77,760,000 after purchasing an additional 1,229,769 shares in the last quarter. 99.37% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several equities analysts recently weighed in on the company. JPMorgan Chase & Co. started coverage on Sunstone Hotel Investors in a research note on Monday, June 23rd. They issued an "underweight" rating and a $8.00 price objective for the company. Wall Street Zen cut Sunstone Hotel Investors from a "hold" rating to a "sell" rating in a report on Friday, September 5th. Truist Financial lowered their target price on Sunstone Hotel Investors from $11.00 to $10.00 and set a "hold" rating on the stock in a report on Wednesday, September 3rd. Evercore ISI increased their target price on Sunstone Hotel Investors from $10.00 to $11.00 and gave the company an "outperform" rating in a report on Monday, July 28th. Finally, Wells Fargo & Company lowered their target price on Sunstone Hotel Investors from $9.00 to $8.50 and set an "equal weight" rating on the stock in a report on Tuesday, July 1st. Two investment 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. According to data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $8.93.

Sunstone Hotel Investors Trading Up 3.6%

Shares of SHO stock traded up $0.34 during mid-day trading on Friday, hitting $9.76. 1,715,352 shares of the company's stock were exchanged, compared to its average volume of 2,353,969. Sunstone Hotel Investors, Inc. has a fifty-two week low of $7.45 and a fifty-two week high of $12.41. The stock has a 50-day simple moving average of $9.09 and a two-hundred day simple moving average of $9.02. The company has a quick ratio of 2.73, a current ratio of 2.73 and a debt-to-equity ratio of 0.51. The stock has a market cap of $1.85 billion, a price-to-earnings ratio of 487.99, a PEG ratio of 3.41 and a beta of 1.29.

Sunstone Hotel Investors (NYSE:SHO - Get Free Report) last posted its quarterly earnings data on Wednesday, August 6th. The real estate investment trust reported $0.28 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.26 by $0.02. Sunstone Hotel Investors had a return on equity of 1.12% and a net margin of 2.15%.The business had revenue of $259.77 million for the quarter, compared to analysts' expectations of $256.68 million. During the same quarter last year, the firm earned $0.28 earnings per share. The business's revenue was up 5.0% on a year-over-year basis. Equities analysts expect that Sunstone Hotel Investors, Inc. will post 0.79 EPS for the current fiscal year.

Sunstone Hotel Investors Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 15th. Investors of record on Tuesday, September 30th will be issued a $0.09 dividend. The ex-dividend date is Tuesday, September 30th. This represents a $0.36 dividend on an annualized basis and a yield of 3.7%. Sunstone Hotel Investors's dividend payout ratio (DPR) is presently 1,800.00%.

Sunstone Hotel Investors Profile

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.