Summit Hotel Properties (NYSE:INN) Shares Gap Down - Time to Sell?

Key Points

• Summit Hotel Properties shares gapped down from $5.52 to $5.35, closing at $5.43 with trading volume of 75,775 shares.
• Analysts have mixed opinions, with Bank of America raising the target price to $5.75, while Zacks Research downgraded the stock to a "strong sell" rating.
• The company declared a quarterly dividend of $0.08, representing a 5.9% yield, although it has a high dividend payout ratio of -355.56%.

Summit Hotel Properties, Inc. (NYSE:INN - Get Free Report) shares gapped down before the market opened on Friday . The stock had previously closed at $5.52, but opened at $5.35. Summit Hotel Properties shares last traded at $5.43, with a volume of 75,775 shares traded.

Analyst Upgrades and Downgrades

A number of research firms have issued reports on INN. Bank of America raised their target price on Summit Hotel Properties from $5.00 to $5.75 and gave the company a "neutral" rating in a research note on Monday, July 21st. Robert W. Baird cut their target price on Summit Hotel Properties from $5.00 to $4.50 and set a "neutral" rating on the stock in a research note on Friday. Zacks Research cut Summit Hotel Properties from a "hold" rating to a "strong sell" rating in a research note on Wednesday, September 3rd. Weiss Ratings reiterated a "sell (d)" rating on shares of Summit Hotel Properties in a research note on Saturday, September 27th. Finally, Wall Street Zen raised Summit Hotel Properties from a "sell" rating to a "hold" rating in a report on Saturday, August 9th. Two equities research analysts have rated the stock with a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, Summit Hotel Properties currently has a consensus rating of "Reduce" and a consensus target price of $5.13.

Summit Hotel Properties Trading Down 1.7%

The business has a fifty day moving average of $5.47 and a 200-day moving average of $4.97. The stock has a market capitalization of $590.62 million, a price-to-earnings ratio of -60.31 and a beta of 1.70. The company has a debt-to-equity ratio of 1.11, a current ratio of 0.80 and a quick ratio of 0.80.

Summit Hotel Properties (NYSE:INN - Get Free Report) last released its earnings results on Tuesday, August 5th. The real estate investment trust reported $0.27 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.26 by $0.01. The firm had revenue of $192.92 million for the quarter, compared to analyst estimates of $194.49 million. Summit Hotel Properties had a return on equity of 0.56% and a net margin of 1.00%. Summit Hotel Properties has set its FY 2025 guidance at 0.900-0.900 EPS. On average, equities analysts anticipate that Summit Hotel Properties, Inc. will post 0.88 earnings per share for the current fiscal year.

Summit Hotel Properties Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, August 29th. Investors of record on Friday, August 15th were paid a $0.08 dividend. The ex-dividend date of this dividend was Friday, August 15th. This represents a $0.32 dividend on an annualized basis and a yield of 5.9%. Summit Hotel Properties's dividend payout ratio (DPR) is currently -355.56%.

Hedge Funds Weigh In On Summit Hotel Properties

Institutional investors have recently bought and sold shares of the stock. GAMMA Investing LLC increased its stake in Summit Hotel Properties by 453.0% in the 1st quarter. GAMMA Investing LLC now owns 8,218 shares of the real estate investment trust's stock worth $44,000 after purchasing an additional 6,732 shares in the last quarter. Signaturefd LLC increased its stake in Summit Hotel Properties by 36.4% in the 2nd quarter. Signaturefd LLC now owns 8,656 shares of the real estate investment trust's stock worth $44,000 after purchasing an additional 2,309 shares in the last quarter. Tower Research Capital LLC TRC increased its stake in Summit Hotel Properties by 148.1% in the 2nd quarter. Tower Research Capital LLC TRC now owns 10,793 shares of the real estate investment trust's stock worth $55,000 after purchasing an additional 6,442 shares in the last quarter. BNP Paribas Financial Markets increased its stake in Summit Hotel Properties by 53.6% in the 2nd quarter. BNP Paribas Financial Markets now owns 10,807 shares of the real estate investment trust's stock worth $55,000 after purchasing an additional 3,773 shares in the last quarter. Finally, Wealth Enhancement Advisory Services LLC purchased a new position in Summit Hotel Properties in the 4th quarter worth about $77,000. Hedge funds and other institutional investors own 96.47% of the company's stock.

Summit Hotel Properties Company Profile

Summit Hotel Properties, Inc is a publicly traded real estate investment trust focused on owning premium-branded lodging properties with efficient operating models primarily in the upscale segment of the lodging industry. As of November 1, 2023, the Company's portfolio consisted of 101 assets, 57 of which are wholly owned, with a total of 15,035 guestrooms located in 24 states.

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