Starwood Property Trust (NYSE:STWD) Sets New 52-Week Low - Here's What Happened

Key Points

• Starwood Property Trust shares hit a new 52-week low, falling to $14.88 during Wednesday trading from a previous close of $15.10. The stock’s 50-day and 200-day moving averages were $16.09 and $16.89, respectively.
• Analyst sentiment remains mixed but leans positive, with an average “Moderate Buy” rating and a $19.20 consensus price target. Recent actions included upgrades to “hold” and “buy,” alongside reduced price targets and one “sell” downgrade.
• The REIT reported quarterly EPS of $0.40, in line with estimates, while revenue rose 15.6% year over year to $201.42 million. It also declared a $0.48 quarterly dividend, implying an annualized yield of about 13.0%, though its payout ratio is elevated at 325.42%.

Starwood Property Trust, Inc. (NYSE:STWD - Get Free Report)'s stock price hit a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $14.88 and last traded at $14.8850, with a volume of 853528 shares trading hands. The stock had previously closed at $15.10.

Analyst Upgrades and Downgrades

Several research firms have recently commented on STWD. Zacks Research upgraded Starwood Property Trust from a "strong sell" rating to a "hold" rating in a report on Thursday, June 25th. JPMorgan Chase & Co. reduced their price target on shares of Starwood Property Trust from $19.00 to $18.50 and set an "overweight" rating on the stock in a research report on Tuesday, August 18th. 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 price objective for the company. Wall Street Zen downgraded Starwood Property Trust from a "hold" rating to a "sell" rating in a report on Saturday, August 8th. Finally, Keefe, Bruyette & Woods decreased their target price on Starwood Property Trust from $19.00 to $18.50 and set an "outperform" rating on the stock in a research note on Friday, August 7th. Four equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $19.20.

Starwood Property Trust Price Performance

The company has a market capitalization of $5.46 billion, a PE ratio of 24.99, a P/E/G ratio of 1.98 and a beta of 0.98. The company has a current ratio of 1.46, a quick ratio of 1.46 and a debt-to-equity ratio of 3.47. The stock has a fifty day simple moving average of $16.09 and a 200-day simple moving average of $16.89.

Starwood Property Trust (NYSE:STWD - Get Free Report) last released its quarterly earnings data on Thursday, August 6th. The real estate investment trust reported $0.40 EPS for the quarter, meeting analysts' consensus estimates of $0.40. Starwood Property Trust had a return on equity of 7.85% and a net margin of 11.35%.The business had revenue of $201.42 million for the quarter, compared to the consensus estimate of $521.67 million. During the same quarter in the prior year, the business posted $0.43 EPS. The business's revenue for the quarter was up 15.6% on a year-over-year basis. Equities analysts anticipate that Starwood Property Trust, Inc. will post 1.4 earnings per share for the current year.

Starwood Property Trust Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, October 15th. Shareholders of record on Wednesday, September 30th will be given a dividend of $0.48 per share. This represents a $1.92 dividend on an annualized basis and a yield of 13.0%. The ex-dividend date of this dividend is Wednesday, September 30th. Starwood Property Trust's dividend payout ratio (DPR) is presently 325.42%.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of STWD. Peak Financial Advisors LLC lifted its position 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 acquiring an additional 559 shares during the period. NewEdge Wealth LLC raised its stake in shares of Starwood Property Trust by 1.6% in the first quarter. NewEdge Wealth LLC now owns 46,769 shares of the real estate investment trust's stock worth $805,000 after purchasing an additional 732 shares during the last quarter. IFP Advisors Inc raised its stake in shares of Starwood Property Trust by 18.6% in the fourth quarter. IFP Advisors Inc now owns 5,045 shares of the real estate investment trust's stock worth $91,000 after purchasing an additional 792 shares during the last quarter. GoalVest Advisory LLC lifted its holdings in shares of Starwood Property Trust by 1.7% during the second quarter. GoalVest Advisory LLC now owns 54,818 shares of the real estate investment trust's stock worth $898,000 after purchasing an additional 934 shares during the period. Finally, CENTRAL TRUST Co raised its position in Starwood Property Trust by 66.6% during the 1st quarter. CENTRAL TRUST Co now owns 2,493 shares of the real estate investment trust's stock worth $43,000 after buying an additional 997 shares during the last quarter. Institutional investors and hedge funds own 49.82% of the company's stock.

Starwood Property Trust Company Profile

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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