Sunstone Hotel Investors (NYSE:SHO) Upgraded by Wall Street Zen to “Buy” Rating

Wall Street Zen upgraded shares of Sunstone Hotel Investors (NYSE:SHO) from a hold rating to a buy rating in a research report sent to investors on Saturday.

Other equities analysts have also issued research reports about the stock. LADENBURG THALM/SH SH assumed coverage on shares of Sunstone Hotel Investors in a research report on Thursday, March 26th. They set a “hold” rating and a $10.00 price target for the company. Truist Financial raised their price objective on shares of Sunstone Hotel Investors from $10.00 to $11.00 and gave the stock a “hold” rating in a report on Thursday, March 26th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Sunstone Hotel Investors in a research report on Friday, July 10th. Zacks Research upgraded shares of Sunstone Hotel Investors from a “hold” rating to a “strong-buy” rating in a research note on Monday, May 18th. Finally, Citigroup increased their target price on shares of Sunstone Hotel Investors from $9.50 to $10.00 and gave the company a “neutral” rating in a research report on Wednesday, May 6th. One equities research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat, Sunstone Hotel Investors currently has a consensus rating of “Moderate Buy” and a consensus target price of $10.83.

Sunstone Hotel Investors Stock Performance

Shares of Sunstone Hotel Investors stock opened at $11.73 on Friday. The business’s fifty day simple moving average is $11.20 and its 200 day simple moving average is $9.96. The firm has a market capitalization of $2.19 billion, a P/E ratio of 106.69, a price-to-earnings-growth ratio of 2.62 and a beta of 0.97. Sunstone Hotel Investors has a 12 month low of $8.48 and a 12 month high of $12.07. The company has a current ratio of 3.42, a quick ratio of 3.42 and a debt-to-equity ratio of 0.58.

Sunstone Hotel Investors (NYSE:SHO) last announced its quarterly earnings data on Tuesday, May 5th. The real estate investment trust reported $0.27 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.22 by $0.05. Sunstone Hotel Investors had a return on equity of 2.27% and a net margin of 3.84%.The firm had revenue of $259.71 million during the quarter, compared to the consensus estimate of $244.29 million. During the same quarter in the prior year, the company earned $0.21 EPS. The business’s revenue for the quarter was up 10.9% on a year-over-year basis. Sunstone Hotel Investors has set its FY 2026 guidance at 0.880-0.960 EPS. As a group, analysts anticipate that Sunstone Hotel Investors will post 0.91 EPS for the current year.

Sunstone Hotel Investors Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 30th were paid a dividend of $0.09 per share. The ex-dividend date was Tuesday, June 30th. This represents a $0.36 annualized dividend and a dividend yield of 3.1%. Sunstone Hotel Investors’s dividend payout ratio is presently 327.27%.

Insider Buying and Selling at Sunstone Hotel Investors

In related news, insider Robert C. Springer sold 89,631 shares of Sunstone Hotel Investors stock in a transaction dated Wednesday, June 24th. The stock was sold at an average price of $11.62, for a total value of $1,041,512.22. Following the completion of the sale, the insider owned 573,743 shares of the company’s stock, valued at approximately $6,666,893.66. This trade represents a 13.51% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Insiders own 1.40% of the company’s stock.

Hedge Funds Weigh In On Sunstone Hotel Investors

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SHO. Mirae Asset Global Investments Co. Ltd. lifted its position in shares of Sunstone Hotel Investors by 27.4% during the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 5,274 shares of the real estate investment trust’s stock worth $47,000 after acquiring an additional 1,135 shares in the last quarter. California State Teachers Retirement System grew its position in shares of Sunstone Hotel Investors by 0.7% in the second quarter. California State Teachers Retirement System now owns 178,604 shares of the real estate investment trust’s stock valued at $1,550,000 after purchasing an additional 1,170 shares in the last quarter. Royal Bank of Canada raised its stake in shares of Sunstone Hotel Investors by 1.2% during the 1st quarter. Royal Bank of Canada now owns 103,294 shares of the real estate investment trust’s stock valued at $931,000 after purchasing an additional 1,204 shares during the period. AQR Capital Management LLC raised its stake in shares of Sunstone Hotel Investors by 1.6% during the 1st quarter. AQR Capital Management LLC now owns 83,864 shares of the real estate investment trust’s stock valued at $789,000 after purchasing an additional 1,307 shares during the period. Finally, Heritage Family Offices LLP raised its stake in shares of Sunstone Hotel Investors by 9.9% during the 4th quarter. Heritage Family Offices LLP now owns 21,473 shares of the real estate investment trust’s stock valued at $192,000 after purchasing an additional 1,938 shares during the period. Institutional investors own 99.37% of the company’s stock.

Sunstone Hotel Investors Company Profile

Sunstone Hotel Investors, Inc (NYSE:SHO) is a publicly traded real estate investment trust (REIT) focused on acquiring, owning and asset‐managing upper‐upscale extended‐stay and premium‐branded hotel properties in the United States. The company’s business model centers on generating stable, long‐term cash flows through franchise agreements and third‐party management contracts with established hotel operators.

As of the most recent reporting period, Sunstone’s portfolio includes approximately 97 hotels and nearly 25,000 guest rooms across 19 states, with concentrations in major metropolitan and select high‐growth secondary markets.