UBS Group AG Lowers Stake in Sun Communities, Inc. $SUI

Key Points

• UBS Group AG cut its stake in Sun Communities by 45.2% in the fourth quarter, selling 163,520 shares and leaving it with 198,300 shares worth about $24.6 million.
• Sun Communities reported a quarterly EPS loss of $0.07, missing analyst estimates, even though revenue rose 8.0% year over year to $500.5 million.
• The company raised its quarterly dividend to $1.12 per share from $1.04, and analysts currently rate the stock Moderate Buy with a consensus price target of about $140.23.

UBS Group AG cut its position in shares of Sun Communities, Inc. (NYSE:SUI - Free Report) by 45.2% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 198,300 shares of the real estate investment trust's stock after selling 163,520 shares during the quarter. UBS Group AG owned approximately 0.16% of Sun Communities worth $24,571,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also modified their holdings of the company. Allstate Corp acquired a new stake in shares of Sun Communities in the third quarter worth approximately $659,000. Vanguard Group Inc. boosted its position in shares of Sun Communities by 1.4% in the third quarter. Vanguard Group Inc. now owns 18,289,956 shares of the real estate investment trust's stock worth $2,359,404,000 after acquiring an additional 249,501 shares during the last quarter. Rakuten Investment Management Inc. acquired a new stake in shares of Sun Communities in the third quarter worth approximately $1,527,000. Baillie Gifford & Co. boosted its position in shares of Sun Communities by 26.6% in the third quarter. Baillie Gifford & Co. now owns 48,210 shares of the real estate investment trust's stock worth $6,219,000 after acquiring an additional 10,127 shares during the last quarter. Finally, Handelsbanken Fonder AB boosted its position in shares of Sun Communities by 31.5% in the third quarter. Handelsbanken Fonder AB now owns 43,298 shares of the real estate investment trust's stock worth $5,585,000 after acquiring an additional 10,382 shares during the last quarter. 99.59% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity at Sun Communities

In other news, Director Clunet R. Lewis sold 3,800 shares of the business's stock in a transaction on Thursday, March 5th. The shares were sold at an average price of $136.01, for a total transaction of $516,838.00. Following the transaction, the director directly owned 16,817 shares of the company's stock, valued at approximately $2,287,280.17. The trade was a 18.43% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Insiders own 1.58% of the company's stock.

Sun Communities Trading Down 0.0%

Shares of SUI stock opened at $125.90 on Monday. The stock has a market cap of $15.51 billion, a price-to-earnings ratio of 11.44, a price-to-earnings-growth ratio of 3.33 and a beta of 0.82. The company has a quick ratio of 3.39, a current ratio of 3.39 and a debt-to-equity ratio of 0.60. Sun Communities, Inc. has a fifty-two week low of $115.53 and a fifty-two week high of $137.85. The firm's 50 day moving average price is $130.60 and its two-hundred day moving average price is $127.55.

Sun Communities (NYSE:SUI - Get Free Report) last announced its quarterly earnings results on Monday, April 27th. The real estate investment trust reported ($0.07) earnings per share for the quarter, missing analysts' consensus estimates of $1.31 by ($1.38). The business had revenue of $500.50 million for the quarter, compared to analyst estimates of $472.40 million. Sun Communities had a net margin of 62.29% and a return on equity of 0.16%. The company's quarterly revenue was up 8.0% on a year-over-year basis. During the same period last year, the firm earned $1.26 earnings per share. Sun Communities has set its Q2 2026 guidance at 1.710-1.790 EPS and its FY 2026 guidance at 6.870-7.070 EPS. On average, analysts anticipate that Sun Communities, Inc. will post 6.94 EPS for the current year.

Sun Communities Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Tuesday, March 31st were given a dividend of $1.12 per share. The ex-dividend date of this dividend was Tuesday, March 31st. This is an increase from Sun Communities's previous quarterly dividend of $1.04. This represents a $4.48 dividend on an annualized basis and a dividend yield of 3.6%. Sun Communities's dividend payout ratio is presently 40.69%.

Analysts Set New Price Targets

Several equities research analysts recently issued reports on the stock. Robert W. Baird raised their target price on shares of Sun Communities from $136.00 to $140.00 and gave the stock a "neutral" rating in a research report on Friday, March 6th. Evercore reissued an "outperform" rating and issued a $144.00 target price on shares of Sun Communities in a research report on Wednesday, April 29th. Deutsche Bank Aktiengesellschaft cut shares of Sun Communities from a "buy" rating to a "hold" rating and set a $138.00 target price on the stock. in a research report on Wednesday, April 15th. Royal Bank Of Canada raised their target price on shares of Sun Communities from $148.00 to $151.00 and gave the stock an "outperform" rating in a research report on Wednesday, April 29th. Finally, Zelman & Associates assumed coverage on shares of Sun Communities in a research report on Monday, March 16th. They set an "outperform" rating and a $127.75 price target on the stock. Ten research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, Sun Communities has an average rating of "Moderate Buy" and a consensus price target of $140.23.

About Sun Communities

Sun Communities, Inc is a publicly traded real estate investment trust (REIT) that specializes in the acquisition, ownership and operation of manufactured housing communities, recreational vehicle (RV) resorts and marinas. The company's portfolio spans more than 500 manufactured housing communities and over 160 RV resorts, offering affordable, long-term housing as well as short-stay recreational lodging. Through professional on-site management and amenity-rich community designs, Sun Communities serves a diverse customer base that includes retirees, workforce families and vacationers.

Founded in 1975 and headquartered in Southfield, Michigan, Sun Communities has grown organically and through strategic acquisitions to become one of the largest operators in its sector.

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