Summit Hotel Properties, Inc. (NYSE:INN) Given Consensus Rating of "Reduce" by Analysts

Key Points

• Consensus "Reduce" rating from five covering analysts (2 sell, 2 hold, 1 buy) with an average 12‑month price target of $5.00.
• Summit missed quarterly EPS at -$0.06 vs. a $0.18 estimate (revenue roughly in line), reports negative net margin and ROE, and set FY2026 guidance of 0.73–0.85 EPS versus analyst estimates near 0.88.
• The company pays an annualized dividend of $0.32 (~7.5% yield) but has a payout ratio of -139.13%, insiders recently sold shares, and institutional ownership is very high (~96%).

Shares of Summit Hotel Properties, Inc. (NYSE:INN - Get Free Report) have been assigned a consensus recommendation of "Reduce" from the five brokerages that are presently covering the firm, Marketbeat.com reports. Two analysts have rated the stock with a sell rating, two have assigned a hold rating and one has issued a buy rating on the company. The average 12 month price objective among brokerages that have updated their coverage on the stock in the last year is $5.00.

Several brokerages recently issued reports on INN. Robert W. Baird set a $5.00 price target on shares of Summit Hotel Properties in a report on Wednesday, December 17th. Deutsche Bank Aktiengesellschaft set a $6.00 price target on Summit Hotel Properties and gave the company a "buy" rating in a report on Tuesday, January 13th. Weiss Ratings reissued a "sell (d+)" rating on shares of Summit Hotel Properties in a report on Monday, December 29th. Wall Street Zen upgraded shares of Summit Hotel Properties from a "sell" rating to a "hold" rating in a research report on Saturday, February 28th. Finally, Zacks Research raised shares of Summit Hotel Properties from a "strong sell" rating to a "hold" rating in a research note on Monday, March 16th.

Summit Hotel Properties Stock Down 2.2%

NYSE INN opened at $4.25 on Friday. The company has a current ratio of 0.70, a quick ratio of 0.70 and a debt-to-equity ratio of 1.14. The stock's 50 day moving average is $4.44 and its two-hundred day moving average is $4.97. The company has a market capitalization of $461.85 million, a price-to-earnings ratio of -18.46 and a beta of 1.25. Summit Hotel Properties has a 1-year low of $3.57 and a 1-year high of $6.00.

Summit Hotel Properties (NYSE:INN - Get Free Report) last released its quarterly earnings data on Wednesday, February 25th. The real estate investment trust reported ($0.06) earnings per share for the quarter, missing the consensus estimate of $0.18 by ($0.24). The company had revenue of $174.96 million during the quarter, compared to the consensus estimate of $172.88 million. Summit Hotel Properties had a negative net margin of 0.87% and a negative return on equity of 0.50%. Summit Hotel Properties has set its FY 2026 guidance at 0.730-0.850 EPS. Equities analysts forecast that Summit Hotel Properties will post 0.88 earnings per share for the current fiscal year.

Summit Hotel Properties Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, February 27th. Shareholders of record on Friday, February 13th were issued a dividend of $0.08 per share. This represents a $0.32 dividend on an annualized basis and a yield of 7.5%. The ex-dividend date of this dividend was Friday, February 13th. Summit Hotel Properties's payout ratio is currently -139.13%.

Insider Activity at Summit Hotel Properties

In other news, Director Mehulkumar Bhikhubhai Patel sold 25,000 shares of the stock in a transaction on Monday, January 5th. The stock was sold at an average price of $4.84, for a total value of $121,000.00. Following the transaction, the director owned 444,295 shares of the company's stock, valued at $2,150,387.80. This represents a 5.33% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 3.83% of the company's stock.

Institutional Investors Weigh In On Summit Hotel Properties

A number of institutional investors have recently made changes to their positions in INN. Long Pond Capital LP acquired a new position in Summit Hotel Properties in the second quarter valued at about $47,846,000. UBS Group AG grew its position in shares of Summit Hotel Properties by 18.9% during the 3rd quarter. UBS Group AG now owns 6,936,070 shares of the real estate investment trust's stock worth $38,079,000 after buying an additional 1,102,102 shares during the period. Invesco Ltd. increased its stake in shares of Summit Hotel Properties by 87.2% in the 4th quarter. Invesco Ltd. now owns 774,543 shares of the real estate investment trust's stock valued at $3,772,000 after acquiring an additional 360,800 shares during the last quarter. Charles Schwab Investment Management Inc. increased its stake in shares of Summit Hotel Properties by 12.4% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 2,542,670 shares of the real estate investment trust's stock valued at $12,383,000 after acquiring an additional 279,823 shares during the last quarter. Finally, Jane Street Group LLC raised its position in shares of Summit Hotel Properties by 275.3% in the 4th quarter. Jane Street Group LLC now owns 352,069 shares of the real estate investment trust's stock valued at $1,715,000 after acquiring an additional 258,261 shares during the period. 96.47% of the stock is owned by institutional investors and hedge funds.

Summit Hotel Properties Company Profile

Summit Hotel Properties is a real estate investment trust (REIT) that acquires, owns and operates branded select-service hotels and extended-stay properties across the United States. The company focuses on upper-midscale and upscale lodging segments, targeting established national brands to combine the operational efficiencies of limited-service properties with strong franchise affiliation.

The company's portfolio comprises over thirty hotels carrying well-known flags such as Marriott, Hilton, Hyatt and IHG.

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