Service Properties Trust (NASDAQ:SVC) Receives Consensus Recommendation of "Hold" from Analysts

Key Points

• Service Properties Trust has a consensus analyst rating of "Hold" from six covering firms, with a mixed split of two sells, one hold, and three buys. The average 12-month price target is $12.81.
• The REIT recently reported better-than-expected quarterly results, posting EPS of $0.20 versus an expected loss of $1.82 and revenue of $364.45 million above estimates. It also issued FY2026 EPS guidance of 0.240 to 0.270.
• Service Properties Trust announced a quarterly dividend of $0.05 per share, payable on August 13, which implies an annualized yield of about 2.3%. Institutional ownership remains high at 77.62%.

Shares of Service Properties Trust (NASDAQ:SVC - Get Free Report) have received a consensus rating of "Hold" from the six research firms that are presently covering the stock, MarketBeat.com reports. Two research analysts have rated the stock with a sell rating, one has given a hold rating and three have given a buy rating to the company. The average 12-month target price among brokers that have covered the stock in the last year is $12.8125.

A number of analysts have recently commented on SVC shares. Zacks Research lowered shares of Service Properties Trust from a "hold" rating to a "strong sell" rating in a research report on Tuesday, July 7th. Odeon Capital Group initiated coverage on shares of Service Properties Trust in a research report on Friday, May 8th. They issued a "buy" rating and a $17.50 target price for the company. Wall Street Zen lowered shares of Service Properties Trust from a "hold" rating to a "sell" rating in a research note on Saturday, May 9th. LADENBURG THALM/SH SH assumed coverage on shares of Service Properties Trust in a research report on Tuesday, June 30th. They set a "buy" rating and a $11.25 price target on the stock. Finally, B. Riley Financial increased their price objective on shares of Service Properties Trust from $10.00 to $12.50 and gave the stock a "buy" rating in a research note on Wednesday, June 17th.

Institutional Investors Weigh In On Service Properties Trust

A number of institutional investors and hedge funds have recently modified their holdings of the company. BNP Paribas Financial Markets lifted its holdings in shares of Service Properties Trust by 54.4% in the second quarter. BNP Paribas Financial Markets now owns 14,470 shares of the real estate investment trust's stock worth $35,000 after acquiring an additional 5,099 shares during the last quarter. Cerity Partners LLC increased its position in Service Properties Trust by 40.2% during the 2nd quarter. Cerity Partners LLC now owns 29,838 shares of the real estate investment trust's stock worth $71,000 after purchasing an additional 8,554 shares in the last quarter. Jain Global LLC lifted its stake 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 purchasing an additional 9,500 shares during the last quarter. Renaissance Technologies LLC boosted its position in Service Properties Trust by 10.9% in the fourth 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 in the last quarter. Finally, Russell Investments Group Ltd. grew its stake in shares of Service Properties Trust by 98.9% during the third quarter. Russell Investments Group Ltd. now owns 24,150 shares of the real estate investment trust's stock worth $65,000 after buying an additional 12,006 shares during the last quarter. 77.62% of the stock is owned by institutional investors.

Service Properties Trust Stock Performance

Shares of Service Properties Trust stock opened at $8.84 on Wednesday. The company has a debt-to-equity ratio of 4.56, a current ratio of 0.01 and a quick ratio of 0.01. The firm has a market cap of $1.14 billion, a price-to-earnings ratio of -1.25 and a beta of 1.65. The stock's 50-day moving average is $8.49 and its 200-day moving average is $9.09. Service Properties Trust has a one year low of $5.65 and a one year high of $15.38.

Service Properties Trust (NASDAQ:SVC - Get Free Report) last released its earnings results on Wednesday, May 6th. The real estate investment trust reported $0.20 EPS for the quarter, beating the consensus estimate of ($1.82) by $2.02. Service Properties Trust had a negative return on equity of 38.18% and a negative net margin of 13.59%.The firm had revenue of $364.45 million for the quarter, compared to analysts' expectations of $347.82 million. Service Properties Trust has set its FY 2026 guidance at 0.240-0.270 EPS. Equities analysts predict that Service Properties Trust will post 1.25 earnings per share for the current fiscal year.

Service Properties Trust Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, August 13th. Investors of record on Monday, July 20th will be issued a dividend of $0.05 per share. The ex-dividend date is Monday, July 20th. This is a boost from Service Properties Trust's previous quarterly dividend of $0.05. This represents a $0.20 annualized dividend and a yield of 2.3%. Service Properties Trust's dividend payout ratio is currently -2.82%.

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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