Service Properties Trust (NASDAQ:SVC) Plans $0.01 Quarterly Dividend

Service Properties Trust (NASDAQ:SVC) announced a quarterly dividend on Wednesday, October 16th, Zacks reports. Shareholders of record on Monday, October 28th will be paid a dividend of 0.01 per share by the real estate investment trust on Thursday, November 14th. This represents a $0.04 dividend on an annualized basis and a yield of 1.01%. The ex-dividend date is Monday, October 28th.

Service Properties Trust has a dividend payout ratio of -87.0% meaning 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 $1.26 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 63.5%.

Service Properties Trust Trading Down 16.4 %

SVC opened at $3.98 on Thursday. The business’s 50-day simple moving average is $4.63 and its 200-day simple moving average is $5.29. The company has a market cap of $659.72 million, a P/E ratio of -4.74 and a beta of 2.20. Service Properties Trust has a one year low of $3.77 and a one year high of $8.72. The company has a debt-to-equity ratio of 3.98, a quick ratio of 0.01 and a current ratio of 0.01.

Service Properties Trust (NASDAQ:SVC) last issued its earnings results on Tuesday, August 6th. The real estate investment trust reported ($0.45) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.49 by ($0.94). Service Properties Trust had a negative net margin of 10.56% and a negative return on equity of 17.17%. The company had revenue of $512.95 million during the quarter, compared to analyst estimates of $509.33 million. During the same quarter in the previous year, the company posted $0.58 EPS. As a group, equities research analysts expect that Service Properties Trust will post 1.21 EPS for the current fiscal year.

Analyst Ratings Changes

Several research analysts have commented on the company. B. Riley cut their price target on Service Properties Trust from $9.00 to $8.00 and set a “buy” rating on the stock in a research report on Friday, August 9th. Wells Fargo & Company lowered their price target on shares of Service Properties Trust from $5.00 to $4.00 and set an “underweight” rating on the stock in a research note on Friday, September 13th.

About Service Properties Trust

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.