Starwood Property Trust (NYSE:STWD) Sets New 1-Year Low – Should You Sell?

Starwood Property Trust, Inc. (NYSE:STWD) shares reached a new 52-week low during mid-day trading on Tuesday . The company traded as low as $16.43 and last traded at $16.4380, with a volume of 44729 shares trading hands. The stock had previously closed at $16.96.

Analysts Set New Price Targets

A number of research analysts have commented on STWD shares. JPMorgan Chase & Co. lowered their target price on Starwood Property Trust from $20.00 to $19.00 and set an “overweight” rating on the stock in a research note on Thursday, April 16th. UBS Group assumed coverage on Starwood Property Trust in a report on Tuesday, June 2nd. They set a “buy” rating and a $20.00 price target for the company. Weiss Ratings cut Starwood Property Trust from a “hold (c)” rating to a “hold (c-)” rating in a research note on Monday, May 11th. Bank of America restated a “neutral” rating and issued a $19.00 price objective on shares of Starwood Property Trust in a report on Friday, March 6th. Finally, Keefe, Bruyette & Woods cut their price objective on shares of Starwood Property Trust from $20.00 to $19.50 and set an “outperform” rating on the stock in a research report on Wednesday, May 13th. Four analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, Starwood Property Trust presently has an average rating of “Moderate Buy” and a consensus price target of $19.70.

Starwood Property Trust Stock Performance

The stock has a fifty day moving average price of $17.26 and a 200 day moving average price of $17.74. The company has a current ratio of 1.57, a quick ratio of 1.57 and a debt-to-equity ratio of 3.31. The firm has a market cap of $6.07 billion, a price-to-earnings ratio of 17.05, a price-to-earnings-growth ratio of 2.16 and a beta of 0.98.

Starwood Property Trust (NYSE:STWD) last posted its earnings results on Friday, May 8th. The real estate investment trust reported $0.39 earnings per share for the quarter, missing the consensus estimate of $0.42 by ($0.03). Starwood Property Trust had a return on equity of 7.91% and a net margin of 18.11%.The company had revenue of $205.55 million during the quarter, compared to analyst estimates of $496.25 million. During the same quarter last year, the firm posted $0.45 earnings per share. The firm’s revenue for the quarter was up 22.5% compared to the same quarter last year. As a group, analysts predict that Starwood Property Trust, Inc. will post 1.55 earnings per share for the current year.

Starwood Property Trust Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, July 15th. Investors of record on Tuesday, June 30th will be paid a $0.48 dividend. The ex-dividend date is Tuesday, June 30th. This represents a $1.92 dividend on an annualized basis and a yield of 11.7%. Starwood Property Trust’s dividend payout ratio (DPR) is presently 200.00%.

Institutional Investors Weigh In On Starwood Property Trust

A number of hedge funds have recently bought and sold shares of STWD. Peak Financial Advisors LLC increased its stake in shares of Starwood Property Trust by 2.2% in the first quarter. Peak Financial Advisors LLC now owns 25,664 shares of the real estate investment trust’s stock worth $442,000 after purchasing an additional 559 shares during the period. Brown Advisory Inc. boosted its stake in Starwood Property Trust by 1.3% during the 4th quarter. Brown Advisory Inc. now owns 47,432 shares of the real estate investment trust’s stock valued at $854,000 after purchasing an additional 600 shares during the period. CIBC Private Wealth Group LLC grew its holdings in Starwood Property Trust by 11.5% in the 3rd quarter. CIBC Private Wealth Group LLC now owns 5,943 shares of the real estate investment trust’s stock valued at $115,000 after buying an additional 613 shares during the last quarter. Quadrant Capital Group LLC grew its holdings in Starwood Property Trust by 2.3% in the 3rd quarter. Quadrant Capital Group LLC now owns 27,220 shares of the real estate investment trust’s stock valued at $527,000 after buying an additional 621 shares during the last quarter. Finally, Mutual Advisors LLC increased its position in Starwood Property Trust by 1.8% in the 4th quarter. Mutual Advisors LLC now owns 36,608 shares of the real estate investment trust’s stock worth $659,000 after buying an additional 631 shares during the period. 49.82% of the stock is currently owned by institutional investors.

Starwood Property Trust Company Profile

Starwood Property Trust (NYSE: STWD) is a publicly traded real estate investment trust that specializes in originating, acquiring and managing commercial mortgage loans and other real estate-related investments. The company’s portfolio spans a variety of asset classes, including senior mortgages, mezzanine debt, preferred equity and direct equity investments in commercial properties. By focusing on both debt and equity capital solutions, Starwood Property Trust seeks to generate attractive risk-adjusted returns for its shareholders through a combination of current income and capital appreciation.

Operating primarily in the United States, Starwood Property Trust deploys capital across a broad range of property types, such as multifamily residential, office, retail, hotel and industrial.