Service Properties Trust (NASDAQ:SVC) Issues FY 2026 Earnings Guidance

Key Points

• FY‑2026 EPS guidance came in at $0.240–$0.270, well below the analyst consensus of $0.49, signaling a much weaker outlook than investors expected.
• The company reported a steep quarterly loss of $0.91 EPS (missing estimates by $0.55) with negative margins and return on equity, despite a revenue beat of $364.5M.
• Company insiders made large purchases—Director Adam Portnoy bought 41.67 million shares for about $50M—suggesting insider confidence even as the stock and fundamentals face pressure.

Service Properties Trust (NASDAQ:SVC - Get Free Report) issued an update on its FY 2026 earnings guidance on Wednesday morning. The company provided earnings per share (EPS) guidance of 0.240-0.270 for the period, compared to the consensus estimate of 0.490. The company issued revenue guidance of -.

Service Properties Trust Price Performance

Shares of Service Properties Trust stock traded up $0.04 during trading hours on Wednesday, reaching $1.58. The company's stock had a trading volume of 6,046,784 shares, compared to its average volume of 6,569,718. The firm has a 50 day moving average price of $1.75 and a 200-day moving average price of $1.90. Service Properties Trust has a one year low of $1.13 and a one year high of $3.08. The company has a debt-to-equity ratio of 5.00, a current ratio of 0.14 and a quick ratio of 0.14. The stock has a market cap of $265.52 million, a P/E ratio of -1.31 and a beta of 1.61.

Service Properties Trust (NASDAQ:SVC - Get Free Report) last posted its earnings results on Wednesday, May 6th. The real estate investment trust reported ($0.91) earnings per share for the quarter, missing analysts' consensus estimates of ($0.36) by ($0.55). Service Properties Trust had a negative return on equity of 29.70% and a negative net margin of 11.15%.The business had revenue of $364.45 million during the quarter, compared to the consensus estimate of $347.82 million. Service Properties Trust has set its FY 2026 guidance at 0.240-0.270 EPS. On average, analysts predict that Service Properties Trust will post 0.49 EPS for the current year.

Service Properties Trust Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, May 14th. Stockholders of record on Tuesday, April 21st will be issued a $0.01 dividend. The ex-dividend date is Tuesday, April 21st. This represents a $0.04 dividend on an annualized basis and a dividend yield of 2.5%. Service Properties Trust's payout ratio is -3.31%.

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on SVC shares. Wells Fargo & Company reduced their target price on shares of Service Properties Trust from $2.50 to $2.00 and set an "equal weight" rating on the stock in a report on Thursday, January 22nd. Wall Street Zen upgraded shares of Service Properties Trust from a "sell" rating to a "hold" rating in a report on Saturday, March 28th. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Service Properties Trust in a research note on Tuesday, April 21st. Zacks Research cut shares of Service Properties Trust from a "strong-buy" rating to a "hold" rating in a research note on Friday, January 30th. Finally, B. Riley Financial raised shares of Service Properties Trust from a "neutral" rating to a "buy" rating and set a $2.00 price target for the company in a research note on Thursday, April 2nd. One analyst has rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of "Hold" and a consensus price target of $2.00.

Insider Activity

In other news, Director Adam D. Portnoy purchased 41,666,666 shares of the company's stock in a transaction that occurred on Thursday, April 2nd. The stock was purchased at an average cost of $1.20 per share, with a total value of $49,999,999.20. The purchase was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, Director Donna D. Fraiche purchased 83,333 shares of the company's stock in a transaction that occurred on Thursday, April 2nd. The shares were purchased at an average cost of $1.20 per share, with a total value of $99,999.60. Following the completion of the purchase, the director owned 182,013 shares in the company, valued at $218,415.60. This trade represents a 84.45% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders bought 41,914,999 shares of company stock worth $50,297,999 in the last 90 days. Company insiders own 1.57% of the company's stock.

Institutional Investors Weigh In On Service Properties Trust

Several large investors have recently added to or reduced their stakes in the stock. BNP Paribas Financial Markets boosted its position in Service Properties Trust by 54.4% in the 2nd quarter. BNP Paribas Financial Markets now owns 14,470 shares of the real estate investment trust's stock valued at $35,000 after buying an additional 5,099 shares during the period. Cerity Partners LLC boosted its position in Service Properties Trust by 40.2% in the 2nd quarter. Cerity Partners LLC now owns 29,838 shares of the real estate investment trust's stock valued at $71,000 after buying an additional 8,554 shares during the period. Jain Global LLC boosted its position in Service Properties Trust by 37.8% in the 4th quarter. Jain Global LLC now owns 34,638 shares of the real estate investment trust's stock valued at $64,000 after buying an additional 9,500 shares during the period. Renaissance Technologies LLC boosted its position in Service Properties Trust by 10.9% in the 4th quarter. Renaissance Technologies LLC now owns 122,400 shares of the real estate investment trust's stock valued at $225,000 after buying an additional 12,000 shares during the period. Finally, Russell Investments Group Ltd. boosted its position in Service Properties Trust by 98.9% in the 3rd quarter. Russell Investments Group Ltd. now owns 24,150 shares of the real estate investment trust's stock valued at $65,000 after buying an additional 12,006 shares during the period. 77.62% of the stock is owned by hedge funds and other institutional investors.

About Service Properties Trust

Service Properties Trust NASDAQ: SVC is a real estate investment trust (REIT) specializing in the acquisition, ownership and leasing of service-oriented properties, with a primary focus on the lodging sector. The company structures long-term, triple-net leases with established hotel operators under franchise agreements with leading global brands. By partnering with recognized hotel companies, Service Properties Trust seeks to generate a stable income stream through rent payments, while offering operators the capital and balance-sheet flexibility to grow their portfolios.

Since its formation in 2010, Service Properties Trust has grown its portfolio through strategic sale-leaseback transactions, targeted property acquisitions and selective dispositions.

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