Service Properties Trust Plans Quarterly Dividend of $0.20 (NASDAQ:SVC)

Service Properties Trust (NASDAQ:SVC) declared a quarterly dividend on Thursday, April 11th, Zacks reports. Shareholders of record on Monday, April 22nd will be paid a dividend of 0.20 per share by the real estate investment trust on Thursday, May 16th. This represents a $0.80 dividend on an annualized basis and a yield of 12.35%. The ex-dividend date is Friday, April 19th.

Service Properties Trust has increased its dividend payment by an average of 12.0% per year over the last three years. Service Properties Trust has a payout ratio of -109.6% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities analysts expect Service Properties Trust to earn $1.60 per share next year, which means the company should continue to be able to cover its $0.80 annual dividend with an expected future payout ratio of 50.0%.

Service Properties Trust Stock Down 0.9 %

Shares of NASDAQ SVC opened at $6.48 on Friday. The company has a debt-to-equity ratio of 3.26, a quick ratio of 0.09 and a current ratio of 0.09. The stock’s 50-day simple moving average is $6.95 and its two-hundred day simple moving average is $7.44. Service Properties Trust has a twelve month low of $6.31 and a twelve month high of $9.86.

Hedge Funds Weigh In On Service Properties Trust

Institutional investors have recently modified their holdings of the company. Point72 Hong Kong Ltd increased its position in shares of Service Properties Trust by 350.6% during the 1st quarter. Point72 Hong Kong Ltd now owns 4,389 shares of the real estate investment trust’s stock valued at $39,000 after purchasing an additional 3,415 shares during the last quarter. Tower Research Capital LLC TRC grew its position in Service Properties Trust by 146.8% during the 1st quarter. Tower Research Capital LLC TRC now owns 5,131 shares of the real estate investment trust’s stock worth $51,000 after acquiring an additional 3,052 shares during the last quarter. Quilter Plc bought a new position in Service Properties Trust during the 2nd quarter worth approximately $48,000. Captrust Financial Advisors bought a new position in Service Properties Trust during the 2nd quarter worth approximately $41,000. Finally, HighTower Advisors LLC bought a new position in Service Properties Trust during the 1st quarter worth approximately $102,000. 77.62% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

A number of equities analysts have weighed in on SVC shares. Wells Fargo & Company decreased their target price on Service Properties Trust from $7.50 to $5.75 and set an “underweight” rating on the stock in a research note on Thursday, March 21st. B. Riley decreased their target price on Service Properties Trust from $12.00 to $10.00 and set a “buy” rating on the stock in a research note on Monday, March 4th.

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.