Service Properties Trust's (SVC) Equal Weight Rating Reiterated at Wells Fargo & Company

Key Points

• Wells Fargo & Company reiterated an "equal weight" rating for Service Properties Trust (NASDAQ:SVC) but lowered the price target from $3.00 to $2.50, indicating a potential downside of 12.28% from the current stock price.
• Zacks Research downgraded Service Properties Trust from a "hold" to a "strong sell" rating, highlighting a consensus price target of $2.25 among analysts.
• Service Properties Trust reported EPS of $0.35 for the last quarter, exceeding estimates, while also noting a negative net margin of 14.73% and a high debt-to-equity ratio of 5.79.

Wells Fargo & Company reissued their equal weight rating on shares of Service Properties Trust (NASDAQ:SVC - Free Report) in a research report report published on Wednesday morning, MarketBeat reports. Wells Fargo & Company currently has a $2.50 price objective on the real estate investment trust's stock, down from their previous price objective of $3.00.

Separately, Zacks Research lowered Service Properties Trust from a "hold" rating to a "strong sell" rating in a research note on Tuesday, August 19th. Two analysts have rated the stock with a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Reduce" and an average target price of $2.25.

Service Properties Trust Stock Down 2.1%

Shares of SVC traded down $0.06 during midday trading on Wednesday, hitting $2.85. 968,742 shares of the company's stock traded hands, compared to its average volume of 898,045. Service Properties Trust has a 1 year low of $1.71 and a 1 year high of $5.00. The firm's fifty day moving average is $2.70 and its 200-day moving average is $2.45. The company has a current ratio of 0.04, a quick ratio of 0.04 and a debt-to-equity ratio of 5.79. The stock has a market capitalization of $475.55 million, a price-to-earnings ratio of -1.71 and a beta of 1.86.

Service Properties Trust (NASDAQ:SVC - Get Free Report) last issued its quarterly earnings data on Tuesday, August 5th. The real estate investment trust reported $0.35 EPS for the quarter, beating the consensus estimate of $0.34 by $0.01. The firm had revenue of $503.44 million during the quarter, compared to analyst estimates of $497.53 million. Service Properties Trust had a negative return on equity of 34.61% and a negative net margin of 14.73%.

Service Properties Trust Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, August 14th. Stockholders of record on Monday, July 21st were given a dividend of $0.01 per share. This represents a $0.04 annualized dividend and a dividend yield of 1.4%. The ex-dividend date of this dividend was Monday, July 21st. Service Properties Trust's payout ratio is presently -2.40%.

Institutional Trading of Service Properties Trust

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. State of Wyoming acquired a new position in shares of Service Properties Trust in the second quarter worth $72,000. CANADA LIFE ASSURANCE Co raised its holdings in Service Properties Trust by 14.2% during the second quarter. CANADA LIFE ASSURANCE Co now owns 167,086 shares of the real estate investment trust's stock worth $399,000 after purchasing an additional 20,746 shares in the last quarter. LMR Partners LLP acquired a new stake in Service Properties Trust during the second quarter worth approximately $297,000. BNP Paribas Financial Markets grew its holdings in shares of Service Properties Trust by 54.4% during the second quarter. BNP Paribas Financial Markets now owns 14,470 shares of the real estate investment trust's stock worth $35,000 after purchasing an additional 5,099 shares during the last quarter. Finally, Sei Investments Co. grew its holdings in shares of Service Properties Trust by 16.6% during the second quarter. Sei Investments Co. now owns 146,539 shares of the real estate investment trust's stock worth $350,000 after purchasing an additional 20,835 shares during the last quarter. Hedge funds and other institutional investors own 77.62% of the company's stock.

Service Properties Trust Company Profile

Service Properties Trust Nasdaq: SVC is a real estate investment trust with over $11 billion invested in two asset categories: hotels and service-focused retail net lease properties. As of December 31, 2023, SVC owned 221 hotels with over 37,000 guest rooms throughout the United States and in Puerto Rico and Canada, the majority of which are extended stay and select service.