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

Service Properties Trust (NASDAQ:SVC) announced a quarterly dividend on Thursday, January 15th. Shareholders of record on Monday, January 26th will be given a dividend of 0.01 per share by the real estate investment trust on Thursday, February 19th. This represents a c) annualized dividend and a yield of 1.9%. The ex-dividend date of this dividend is Monday, January 26th.

Service Properties Trust has decreased its dividend by an average of 0.2%per year over the last three years. Service Properties Trust has a payout ratio of -3.4% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect Service Properties Trust to earn $1.14 per share next year, which means the company should continue to be able to cover its $0.04 annual dividend with an expected future payout ratio of 3.5%.

Service Properties Trust Stock Performance

Shares of NASDAQ:SVC traded up $0.05 on Thursday, reaching $2.15. 1,211,549 shares of the company’s stock were exchanged, compared to its average volume of 1,305,165. The business’s 50-day moving average is $1.84 and its two-hundred day moving average is $2.33. The company has a quick ratio of 0.17, a current ratio of 0.17 and a debt-to-equity ratio of 5.68. Service Properties Trust has a fifty-two week low of $1.55 and a fifty-two week high of $3.08. The firm has a market capitalization of $361.38 million, a price-to-earnings ratio of -1.29 and a beta of 1.47.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on the stock. Zacks Research upgraded shares of Service Properties Trust from a “hold” rating to a “strong-buy” rating in a research note on Thursday, January 1st. Wells Fargo & Company upgraded Service Properties Trust to a “hold” rating in a research report on Friday, October 3rd. Weiss Ratings restated a “sell (d-)” rating on shares of Service Properties Trust in a research report on Wednesday, October 8th. Finally, B. Riley restated a “neutral” rating and set a $3.00 price objective (up from $2.00) on shares of Service Properties Trust in a research note on Thursday, September 25th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $2.75.

Service Properties Trust Company Profile

Service Properties Trust (NASDAQ: SVC) is a real estate investment trust (REIT) specializing in the acquisition, ownership and leasing of service-oriented properties, with a primary focus on the lodging sector. The company structures long-term, triple-net leases with established hotel operators under franchise agreements with leading global brands. By partnering with recognized hotel companies, Service Properties Trust seeks to generate a stable income stream through rent payments, while offering operators the capital and balance-sheet flexibility to grow their portfolios.

Since its formation in 2010, Service Properties Trust has grown its portfolio through strategic sale-leaseback transactions, targeted property acquisitions and selective dispositions.