DiamondRock Hospitality (DRH) Rating Lowered to Hold at Zacks Investment Research

DiamondRock Hospitality (NYSE:DRH) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research note issued on Thursday.

According to Zacks, “DiamondRock Hospitality Company is a self-advised real estate company that owns, acquires and invests in upper upscale and upscale hotel properties located primarily in North America. To a lesser extent, it may invest, on a selective basis, in premium limited-service and extended-stay hotel properties in urban locations. The Company has a strategic acquisition sourcing relationship with Marriott International. “

Separately, Citigroup raised their price target on shares of DiamondRock Hospitality from $11.00 to $12.00 and gave the company a “neutral” rating in a research report on Wednesday, August 8th. Two analysts have rated the stock with a sell rating, three have issued a hold rating and four have issued a buy rating to the stock. The stock presently has a consensus rating of “Hold” and an average price target of $12.04.



Shares of NYSE DRH opened at $10.22 on Thursday. The company has a market cap of $2.15 billion, a price-to-earnings ratio of 10.22, a price-to-earnings-growth ratio of 2.93 and a beta of 1.38. The company has a quick ratio of 2.43, a current ratio of 2.43 and a debt-to-equity ratio of 0.49. DiamondRock Hospitality has a fifty-two week low of $9.87 and a fifty-two week high of $12.99.

DiamondRock Hospitality (NYSE:DRH) last announced its quarterly earnings results on Thursday, August 2nd. The real estate investment trust reported $0.14 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $0.32 by ($0.18). The firm had revenue of $236.70 million for the quarter, compared to the consensus estimate of $241.52 million. DiamondRock Hospitality had a net margin of 9.26% and a return on equity of 4.26%. DiamondRock Hospitality’s revenue was up 2.1% on a year-over-year basis. During the same period last year, the business earned $0.32 EPS. On average, sell-side analysts anticipate that DiamondRock Hospitality will post 1.02 EPS for the current year.

Institutional investors and hedge funds have recently made changes to their positions in the stock. BlackRock Inc. boosted its holdings in DiamondRock Hospitality by 3.6% in the second quarter. BlackRock Inc. now owns 36,542,897 shares of the real estate investment trust’s stock worth $448,748,000 after purchasing an additional 1,282,565 shares during the last quarter. Resolution Capital Ltd boosted its holdings in DiamondRock Hospitality by 14.6% in the second quarter. Resolution Capital Ltd now owns 8,149,876 shares of the real estate investment trust’s stock worth $100,080,000 after purchasing an additional 1,040,600 shares during the last quarter. Northern Trust Corp boosted its holdings in DiamondRock Hospitality by 2.6% in the second quarter. Northern Trust Corp now owns 7,090,141 shares of the real estate investment trust’s stock worth $87,068,000 after purchasing an additional 177,626 shares during the last quarter. Cbre Clarion Securities LLC boosted its holdings in DiamondRock Hospitality by 2,004.3% in the second quarter. Cbre Clarion Securities LLC now owns 6,298,144 shares of the real estate investment trust’s stock worth $77,341,000 after purchasing an additional 5,998,844 shares during the last quarter. Finally, LSV Asset Management boosted its holdings in DiamondRock Hospitality by 80.6% in the second quarter. LSV Asset Management now owns 4,115,221 shares of the real estate investment trust’s stock worth $50,534,000 after purchasing an additional 1,836,221 shares during the last quarter.

About DiamondRock Hospitality

DiamondRock Hospitality Company is a self-advised real estate investment trust (REIT) that is an owner of a leading portfolio of geographically diversified hotels concentrated in top gateway markets and destination resort locations. The Company owns 30 premium quality hotels with over 9,900 rooms. The Company has strategically positioned its hotels to be operated both under leading global brand families such as Hilton and Marriott as well as unique boutique hotels in the lifestyle segment.

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