Victory Capital Management Inc. Cuts Stake in DiamondRock Hospitality Company $DRH

Key Points

• Victory Capital Management trimmed its stake in DiamondRock by 10.8% in Q3, selling 282,722 shares and leaving it with 2,330,888 shares (about 1.14% ownership) valued at roughly $18.55 million.
• Several firms and analysts have adjusted their views—Deutsche Bank and Truist upgraded to Buy with higher targets—but the street consensus remains a Hold with an average price target of $9.91.
• DiamondRock raised its quarterly dividend to $0.09 (annualized $0.36, ~3.8% yield) and reported a quarter with $0.27 EPS (beating estimates), while issuing FY2026 guidance of $1.090–$1.160.

Victory Capital Management Inc. lessened its stake in shares of DiamondRock Hospitality Company (NYSE:DRH - Free Report) by 10.8% in the 3rd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 2,330,888 shares of the real estate investment trust's stock after selling 282,722 shares during the period. Victory Capital Management Inc. owned 1.14% of DiamondRock Hospitality worth $18,554,000 as of its most recent filing with the Securities & Exchange Commission.

Other institutional investors also recently bought and sold shares of the company. State Street Corp increased its stake in DiamondRock Hospitality by 0.8% during the 2nd quarter. State Street Corp now owns 12,587,578 shares of the real estate investment trust's stock worth $97,400,000 after buying an additional 93,929 shares in the last quarter. Bank of America Corp DE lifted its position in shares of DiamondRock Hospitality by 17.5% in the second quarter. Bank of America Corp DE now owns 9,231,991 shares of the real estate investment trust's stock valued at $70,717,000 after acquiring an additional 1,377,897 shares in the last quarter. Centersquare Investment Management LLC boosted its stake in shares of DiamondRock Hospitality by 6.0% in the third quarter. Centersquare Investment Management LLC now owns 7,536,975 shares of the real estate investment trust's stock worth $59,994,000 after acquiring an additional 427,467 shares during the last quarter. JPMorgan Chase & Co. increased its position in shares of DiamondRock Hospitality by 1.6% during the third quarter. JPMorgan Chase & Co. now owns 5,500,337 shares of the real estate investment trust's stock worth $43,783,000 after purchasing an additional 88,335 shares in the last quarter. Finally, Schroder Investment Management Group increased its position in shares of DiamondRock Hospitality by 59.8% during the second quarter. Schroder Investment Management Group now owns 2,247,696 shares of the real estate investment trust's stock worth $17,217,000 after purchasing an additional 840,741 shares in the last quarter.

Analyst Upgrades and Downgrades

DRH has been the topic of several recent research reports. Wells Fargo & Company lifted their target price on shares of DiamondRock Hospitality from $9.00 to $10.00 and gave the stock an "equal weight" rating in a research note on Monday, December 1st. Barclays started coverage on shares of DiamondRock Hospitality in a research note on Tuesday, January 6th. They issued an "equal weight" rating and a $10.00 price target on the stock. Deutsche Bank Aktiengesellschaft raised shares of DiamondRock Hospitality from a "hold" rating to a "buy" rating and upped their price objective for the company from $10.00 to $12.00 in a research note on Tuesday, January 13th. Truist Financial upgraded shares of DiamondRock Hospitality from a "hold" rating to a "buy" rating and increased their price objective for the company from $10.00 to $11.00 in a report on Friday, January 9th. Finally, Evercore raised their target price on shares of DiamondRock Hospitality from $9.00 to $10.00 and gave the stock an "in-line" rating in a research note on Thursday, November 20th. Three analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, DiamondRock Hospitality presently has an average rating of "Hold" and a consensus price target of $9.91.

Insider Transactions at DiamondRock Hospitality

In other DiamondRock Hospitality news, CAO Steve Spierto sold 4,000 shares of DiamondRock Hospitality stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $9.93, for a total value of $39,720.00. Following the sale, the chief accounting officer owned 77,977 shares in the company, valued at $774,311.61. The trade was a 4.88% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 0.70% of the stock is currently owned by company insiders.

DiamondRock Hospitality Trading Up 0.4%

Shares of DRH stock opened at $9.52 on Wednesday. The company has a current ratio of 1.64, a quick ratio of 1.64 and a debt-to-equity ratio of 0.70. DiamondRock Hospitality Company has a twelve month low of $6.18 and a twelve month high of $10.67. The company's 50-day moving average price is $9.54 and its 200-day moving average price is $8.85. The stock has a market cap of $1.94 billion, a price-to-earnings ratio of 38.08, a PEG ratio of 4.50 and a beta of 0.98.

DiamondRock Hospitality (NYSE:DRH - Get Free Report) last issued its earnings results on Thursday, February 26th. The real estate investment trust reported $0.27 EPS for the quarter, topping analysts' consensus estimates of $0.24 by $0.03. DiamondRock Hospitality had a net margin of 5.69% and a return on equity of 4.04%. The company had revenue of $274.53 million for the quarter, compared to the consensus estimate of $273.18 million. During the same period in the previous year, the firm earned $0.24 earnings per share. DiamondRock Hospitality's quarterly revenue was down 1.6% compared to the same quarter last year. DiamondRock Hospitality has set its FY 2026 guidance at 1.090-1.160 EPS. As a group, equities analysts predict that DiamondRock Hospitality Company will post 0.96 earnings per share for the current year.

DiamondRock Hospitality Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, April 14th. Investors of record on Tuesday, March 31st will be given a $0.09 dividend. The ex-dividend date is Tuesday, March 31st. This is a positive change from DiamondRock Hospitality's previous quarterly dividend of $0.08. This represents a $0.36 annualized dividend and a yield of 3.8%. DiamondRock Hospitality's dividend payout ratio (DPR) is currently 81.82%.

DiamondRock Hospitality 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.

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