Starwood Property Trust (NYSE:STWD) Sets New 1-Year Low - Here's Why

Key Points

• Starwood Property Trust shares fell 1.7% to a new 52-week low of $15.17, below both their 50-day average of $16.24 and 200-day average of $16.99.
• Analyst sentiment remains generally positive, with a consensus “Moderate Buy” rating and an average price target of $19.20, although some firms recently lowered targets or downgraded the stock.
• The REIT met quarterly EPS expectations at $0.40, while revenue rose 15.6% year over year to $201.42 million; institutional investors own approximately 49.82% of the company.

Starwood Property Trust, Inc. (NYSE:STWD - Get Free Report)'s share price reached a new 52-week low during trading on Wednesday . The company traded as low as $15.17 and last traded at $15.1840, with a volume of 4163425 shares changing hands. The stock had previously closed at $15.44.

Analyst Upgrades and Downgrades

A number of research analysts have recently issued reports on the company. UBS Group began coverage on Starwood Property Trust in a research report on Tuesday, June 2nd. They set a "buy" rating and a $20.00 target price on the stock. Wall Street Zen cut shares of Starwood Property Trust from a "hold" rating to a "sell" rating in a research report on Saturday, August 8th. Keefe, Bruyette & Woods decreased their price objective on shares of Starwood Property Trust from $19.00 to $18.50 and set an "outperform" rating on the stock in a report on Friday, August 7th. JPMorgan Chase & Co. cut their target price on shares of Starwood Property Trust from $19.00 to $18.50 and set an "overweight" rating for the company in a research note on Tuesday, August 18th. Finally, Wells Fargo & Company set a $20.00 price target on shares of Starwood Property Trust in a research report on Monday, August 17th. Four equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $19.20.

Starwood Property Trust Stock Down 1.7%

The company has a debt-to-equity ratio of 3.47, a current ratio of 1.46 and a quick ratio of 1.46. The firm's 50-day moving average price is $16.24 and its 200 day moving average price is $16.99. The firm has a market capitalization of $5.62 billion, a price-to-earnings ratio of 25.74, a price-to-earnings-growth ratio of 2.03 and a beta of 0.98.

Starwood Property Trust (NYSE:STWD - Get Free Report) last issued its quarterly earnings data on Thursday, August 6th. The real estate investment trust reported $0.40 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.40. Starwood Property Trust had a return on equity of 7.85% and a net margin of 11.35%.The firm had revenue of $201.42 million during the quarter, compared to the consensus estimate of $521.67 million. During the same period in the previous year, the firm posted $0.43 EPS. The company's quarterly revenue was up 15.6% compared to the same quarter last year. Sell-side analysts expect that Starwood Property Trust, Inc. will post 1.4 EPS for the current year.

Institutional Investors Weigh In On Starwood Property Trust

A number of large investors have recently bought and sold shares of the business. Peak Financial Advisors LLC increased its holdings in Starwood Property Trust by 2.2% during the 1st quarter. Peak Financial Advisors LLC now owns 25,664 shares of the real estate investment trust's stock worth $442,000 after purchasing an additional 559 shares in the last quarter. NewEdge Wealth LLC grew its holdings in shares of Starwood Property Trust by 1.6% during the first quarter. NewEdge Wealth LLC now owns 46,769 shares of the real estate investment trust's stock worth $805,000 after buying an additional 732 shares in the last quarter. IFP Advisors Inc raised its position in Starwood Property Trust by 18.6% in the 4th quarter. IFP Advisors Inc now owns 5,045 shares of the real estate investment trust's stock valued at $91,000 after buying an additional 792 shares during the last quarter. GoalVest Advisory LLC raised its position in Starwood Property Trust by 1.7% in the 2nd quarter. GoalVest Advisory LLC now owns 54,818 shares of the real estate investment trust's stock valued at $898,000 after buying an additional 934 shares during the last quarter. Finally, CENTRAL TRUST Co lifted its stake in Starwood Property Trust by 66.6% in the 1st quarter. CENTRAL TRUST Co now owns 2,493 shares of the real estate investment trust's stock valued at $43,000 after acquiring an additional 997 shares in the last quarter. 49.82% of the stock is currently owned by institutional investors.

About Starwood Property Trust

Starwood Property Trust, Inc is a real estate investment trust focused primarily on commercial real estate finance. The company originates, acquires, finances and manages a range of commercial real estate debt investments, including first mortgage loans, mezzanine loans, subordinated debt and securities backed by commercial properties.

Its activities also include infrastructure lending, residential lending and the ownership or management of commercial real estate investments. Through these businesses, Starwood Property Trust provides financing to property owners, developers and investors across sectors such as office, multifamily, industrial, hospitality and other commercial real estate categories.

Founded in 2009, the company operates primarily in the United States and also pursues investment opportunities in international markets, including Europe.

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