DiamondRock Hospitality (NYSE:DRH) Sees Large Volume Increase After Dividend Announcement

DiamondRock Hospitality (NYSE:DRH) shares saw an uptick in trading volume on Tuesday following a dividend announcement from the company. 7,488,613 shares traded hands during trading, an increase of 289% from the previous session’s volume of 1,923,925 shares.The stock last traded at $9.75 and had previously closed at $9.63.

The newly announced dividend which will be paid on Tuesday, January 14th. Stockholders of record on Tuesday, December 31st will be issued a $0.32 dividend. This represents a $1.28 dividend on an annualized basis and a dividend yield of 13.14%. This is a positive change from DiamondRock Hospitality’s previous quarterly dividend of $0.03. DiamondRock Hospitality’s dividend payout ratio (DPR) is presently 42.86%.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on DRH shares. Stifel Nicolaus lowered shares of DiamondRock Hospitality from a “buy” rating to a “hold” rating and reduced their price objective for the company from $10.75 to $10.25 in a report on Friday, November 22nd. Evercore ISI downgraded shares of DiamondRock Hospitality from an “outperform” rating to an “inline” rating and set a $10.50 target price on the stock. in a report on Friday, November 15th. StockNews.com raised shares of DiamondRock Hospitality from a “sell” rating to a “hold” rating in a report on Tuesday, November 12th. Wells Fargo & Company raised their price objective on shares of DiamondRock Hospitality from $10.00 to $10.50 and gave the company an “equal weight” rating in a research note on Monday. Finally, Truist Financial reduced their price objective on shares of DiamondRock Hospitality from $11.00 to $10.00 and set a “hold” rating for the company in a research note on Wednesday, September 4th. Four analysts have rated the stock with a hold rating and two have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $10.38.

DiamondRock Hospitality Trading Up 1.1 %

The company has a debt-to-equity ratio of 0.66, a current ratio of 1.73 and a quick ratio of 1.73. The company has a market cap of $2.02 billion, a price-to-earnings ratio of 34.39, a PEG ratio of 5.58 and a beta of 1.60. The business’s 50-day simple moving average is $9.04 and its 200-day simple moving average is $8.62.

Hedge Funds Weigh In On DiamondRock Hospitality

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Vanderbilt University purchased a new stake in shares of DiamondRock Hospitality during the second quarter worth about $233,000. Louisiana State Employees Retirement System grew its holdings in shares of DiamondRock Hospitality by 1.8% during the second quarter. Louisiana State Employees Retirement System now owns 105,700 shares of the real estate investment trust’s stock worth $893,000 after buying an additional 1,900 shares in the last quarter. Bank of New York Mellon Corp grew its holdings in shares of DiamondRock Hospitality by 1.2% during the second quarter. Bank of New York Mellon Corp now owns 2,081,031 shares of the real estate investment trust’s stock worth $17,585,000 after buying an additional 25,154 shares in the last quarter. Allspring Global Investments Holdings LLC grew its holdings in shares of DiamondRock Hospitality by 46.0% during the second quarter. Allspring Global Investments Holdings LLC now owns 67,532 shares of the real estate investment trust’s stock worth $571,000 after buying an additional 21,292 shares in the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank grew its holdings in shares of DiamondRock Hospitality by 6.6% during the second quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 95,258 shares of the real estate investment trust’s stock worth $805,000 after buying an additional 5,881 shares in 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 leisure destinations and top gateway markets. The Company currently owns 36 premium quality hotels with over 9,700 rooms. The Company has strategically positioned its portfolio to be operated both under leading global brand families as well as independent boutique hotels in the lifestyle segment.