Sunstone Hotel Investors (NYSE:SHO) Shares Down 4.2% – Time to Sell?

Sunstone Hotel Investors, Inc. (NYSE:SHO) shares were down 4.2% during mid-day trading on Wednesday . The company traded as low as $11.25 and last traded at $11.25. Approximately 526,679 shares traded hands during mid-day trading, a decline of 75% from the average daily volume of 2,126,467 shares. The stock had previously closed at $11.74.

Wall Street Analysts Forecast Growth

SHO has been the topic of a number of research analyst reports. Morgan Stanley reiterated an “underweight” rating and set a $10.00 price target on shares of Sunstone Hotel Investors in a report on Tuesday, January 14th. Jefferies Financial Group lifted their target price on Sunstone Hotel Investors from $10.00 to $12.00 and gave the company a “hold” rating in a research note on Thursday, January 2nd. Finally, Wells Fargo & Company upped their target price on Sunstone Hotel Investors from $11.00 to $13.00 and gave the company an “equal weight” rating in a report on Monday, December 9th. Two equities research analysts have rated the stock with a sell rating, four have issued a hold rating, two have assigned a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, Sunstone Hotel Investors has a consensus rating of “Hold” and an average price target of $11.86.

Sunstone Hotel Investors Stock Down 2.2 %

The stock has a market cap of $2.30 billion, a price-to-earnings ratio of 15.06, a P/E/G ratio of 4.98 and a beta of 1.21. The business has a fifty day moving average of $11.59 and a 200 day moving average of $10.73. The company has a debt-to-equity ratio of 0.44, a current ratio of 2.98 and a quick ratio of 2.98.

Sunstone Hotel Investors (NYSE:SHO) last released its quarterly earnings results on Tuesday, November 12th. The real estate investment trust reported $0.18 earnings per share for the quarter, missing analysts’ consensus estimates of $0.20 by ($0.02). Sunstone Hotel Investors had a net margin of 18.61% and a return on equity of 9.04%. The business had revenue of $226.40 million for the quarter, compared to the consensus estimate of $224.61 million. During the same quarter in the prior year, the business posted $0.23 EPS. The firm’s revenue for the quarter was down 8.6% compared to the same quarter last year. On average, equities analysts predict that Sunstone Hotel Investors, Inc. will post 0.79 earnings per share for the current year.

Sunstone Hotel Investors Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, January 15th. Stockholders of record on Tuesday, December 31st were paid a dividend of $0.09 per share. The ex-dividend date was Tuesday, December 31st. This represents a $0.36 annualized dividend and a dividend yield of 3.15%. Sunstone Hotel Investors’s dividend payout ratio (DPR) is presently 44.74%.

Hedge Funds Weigh In On Sunstone Hotel Investors

Several large investors have recently made changes to their positions in the business. Federated Hermes Inc. bought a new stake in Sunstone Hotel Investors during the 2nd quarter worth approximately $34,000. GAMMA Investing LLC raised its position in shares of Sunstone Hotel Investors by 114.1% during the fourth quarter. GAMMA Investing LLC now owns 3,271 shares of the real estate investment trust’s stock worth $39,000 after purchasing an additional 1,743 shares during the period. Quarry LP boosted its holdings in shares of Sunstone Hotel Investors by 584.1% in the second quarter. Quarry LP now owns 4,310 shares of the real estate investment trust’s stock valued at $45,000 after buying an additional 3,680 shares during the period. Harbor Capital Advisors Inc. bought a new stake in shares of Sunstone Hotel Investors in the third quarter valued at about $59,000. Finally, Mirae Asset Global Investments Co. Ltd. boosted its holdings in Sunstone Hotel Investors by 34.8% during the third quarter. Mirae Asset Global Investments Co. Ltd. now owns 7,510 shares of the real estate investment trust’s stock worth $80,000 after purchasing an additional 1,937 shares during the last quarter. Institutional investors and hedge funds own 99.37% of the company’s stock.

Sunstone Hotel Investors Company Profile

Sunstone Hotel Investors, Inc is a lodging real estate investment trust ("REIT") that as of the date of this release owns 14 hotels comprised of 6,675 rooms, the majority of which are operated under nationally recognized brands. Sunstone's strategy is to create long-term stakeholder value through the acquisition, active ownership, and disposition of well-located hotel and resort real estate.