Sunstone Hotel Investors (NYSE:SHO) Lifted to Hold at Zacks Investment Research

Zacks Investment Research upgraded shares of Sunstone Hotel Investors (NYSE:SHO) from a sell rating to a hold rating in a research report released on Thursday, Zacks.com reports.

According to Zacks, “Sunstone Hotel Investors, Inc. is a Southern California-based lodging real estate company that expects to qualify as a real estate investment trust for federal income tax purposes. The Company owns hotels primarily in the upper-upscale and upscale segments primarily operated under franchises owned nationally-recognized companies, such as Marriott, Hilton, InterContinental and Hyatt. “

SHO has been the topic of a number of other research reports. ValuEngine cut shares of Sunstone Hotel Investors from a hold rating to a sell rating in a research note on Friday, July 12th. Bank of America cut shares of Sunstone Hotel Investors from a neutral rating to an underperform rating in a research note on Wednesday, July 17th. Wells Fargo & Co raised shares of Sunstone Hotel Investors from a market perform rating to an outperform rating and set a $15.00 target price on the stock in a research note on Thursday, June 27th. TheStreet cut shares of Sunstone Hotel Investors from a b- rating to a c+ rating in a research note on Friday, May 31st. Finally, Wedbush raised shares of Sunstone Hotel Investors from a neutral rating to an outperform rating in a research note on Wednesday, June 26th. Two investment analysts have rated the stock with a sell rating, three have issued a hold rating and two have given a buy rating to the stock. Sunstone Hotel Investors presently has a consensus rating of Hold and a consensus price target of $15.67.

Shares of SHO traded down $0.34 during trading hours on Thursday, reaching $12.96. 32,069 shares of the company traded hands, compared to its average volume of 1,860,050. The firm has a fifty day moving average of $13.50. The firm has a market cap of $3.04 billion, a PE ratio of 11.05, a P/E/G ratio of 2.05 and a beta of 1.05. The company has a current ratio of 7.05, a quick ratio of 7.05 and a debt-to-equity ratio of 0.42. Sunstone Hotel Investors has a 1-year low of $12.54 and a 1-year high of $16.91.

Sunstone Hotel Investors (NYSE:SHO) last announced its quarterly earnings data on Thursday, August 1st. The real estate investment trust reported $0.18 EPS for the quarter, missing the Zacks’ consensus estimate of $0.33 by ($0.15). The company had revenue of $302.90 million for the quarter, compared to analyst estimates of $297.95 million. Sunstone Hotel Investors had a net margin of 20.14% and a return on equity of 8.98%. The firm’s quarterly revenue was down 4.6% on a year-over-year basis. During the same period in the prior year, the company posted $0.37 EPS. Sell-side analysts predict that Sunstone Hotel Investors will post 1.09 EPS for the current fiscal year.

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, October 15th. Investors of record on Monday, September 30th will be paid a $0.05 dividend. The ex-dividend date of this dividend is Friday, September 27th. This represents a $0.20 dividend on an annualized basis and a yield of 1.54%. Sunstone Hotel Investors’s payout ratio is currently 17.09%.

A number of hedge funds and other institutional investors have recently bought and sold shares of SHO. Alpha Windward LLC grew its stake in Sunstone Hotel Investors by 2.4% during the first quarter. Alpha Windward LLC now owns 33,614 shares of the real estate investment trust’s stock worth $484,000 after buying an additional 780 shares during the last quarter. Brinker Capital Inc. grew its stake in Sunstone Hotel Investors by 10.5% during the first quarter. Brinker Capital Inc. now owns 14,300 shares of the real estate investment trust’s stock worth $206,000 after buying an additional 1,360 shares during the last quarter. Zurcher Kantonalbank Zurich Cantonalbank grew its stake in Sunstone Hotel Investors by 2.7% during the second quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 63,095 shares of the real estate investment trust’s stock worth $865,000 after buying an additional 1,632 shares during the last quarter. Great West Life Assurance Co. Can grew its stake in Sunstone Hotel Investors by 1.5% during the first quarter. Great West Life Assurance Co. Can now owns 209,980 shares of the real estate investment trust’s stock worth $3,021,000 after buying an additional 3,198 shares during the last quarter. Finally, Mitsubishi UFJ Kokusai Asset Management Co. Ltd. grew its stake in Sunstone Hotel Investors by 8.0% during the first quarter. Mitsubishi UFJ Kokusai Asset Management Co. Ltd. now owns 43,599 shares of the real estate investment trust’s stock worth $628,000 after buying an additional 3,223 shares during the last quarter.

Sunstone Hotel Investors Company Profile

Sunstone Hotel Investors, Inc is a lodging real estate investment trust ("REIT") that as of February 12, 2019 has interests in 21 hotels comprised of 10,780 rooms. Sunstone's primary business is to acquire, own, asset manage and renovate hotels considered to be Long-Term Relevant Real Estate®, the majority of which are operated under nationally recognized brands, such as Marriott, Hilton and Hyatt.

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