Wells Fargo & Company Forecasts Strong Price Appreciation for DiamondRock Hospitality (NYSE:DRH) Stock

DiamondRock Hospitality (NYSE:DRH) had its price objective increased by equities research analysts at Wells Fargo & Company from $9.00 to $10.00 in a research note issued to investors on Monday,Benzinga reports. The brokerage currently has an “equal weight” rating on the real estate investment trust’s stock. Wells Fargo & Company‘s price target would indicate a potential upside of 12.11% from the company’s current price.

A number of other research firms have also commented on DRH. Weiss Ratings restated a “hold (c)” rating on shares of DiamondRock Hospitality in a research note on Wednesday, October 8th. Evercore ISI increased their target price on DiamondRock Hospitality from $9.00 to $10.00 and gave the stock an “in-line” rating in a report on Thursday, November 20th. Finally, Morgan Stanley decreased their price target on DiamondRock Hospitality from $9.00 to $8.50 and set an “equal weight” rating on the stock in a research report on Wednesday, October 22nd. One analyst has rated the stock with a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $9.21.

DiamondRock Hospitality Price Performance

Shares of DiamondRock Hospitality stock opened at $8.92 on Monday. The company has a quick ratio of 1.64, a current ratio of 1.64 and a debt-to-equity ratio of 0.70. The stock has a market capitalization of $1.82 billion, a price-to-earnings ratio of 35.68, a price-to-earnings-growth ratio of 4.50 and a beta of 1.04. DiamondRock Hospitality has a twelve month low of $6.18 and a twelve month high of $10.00. The company has a 50-day simple moving average of $8.27 and a two-hundred day simple moving average of $8.06.

DiamondRock Hospitality (NYSE:DRH) last announced its earnings results on Thursday, November 6th. The real estate investment trust reported $0.29 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.25 by $0.04. DiamondRock Hospitality had a net margin of 5.69% and a return on equity of 4.04%. The firm had revenue of $285.38 million for the quarter, compared to analyst estimates of $277.45 million. During the same quarter in the prior year, the business posted $0.27 EPS. The business’s revenue was up .1% compared to the same quarter last year. DiamondRock Hospitality has set its FY 2025 guidance at 1.020-1.06 EPS. Analysts forecast that DiamondRock Hospitality will post 0.96 EPS for the current year.

Hedge Funds Weigh In On DiamondRock Hospitality

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Danske Bank A S acquired a new stake in shares of DiamondRock Hospitality during the third quarter valued at about $33,000. State of Wyoming acquired a new position in shares of DiamondRock Hospitality in the second quarter valued at approximately $58,000. Smartleaf Asset Management LLC raised its holdings in DiamondRock Hospitality by 33.8% in the 2nd quarter. Smartleaf Asset Management LLC now owns 9,294 shares of the real estate investment trust’s stock valued at $72,000 after buying an additional 2,349 shares during the last quarter. Profund Advisors LLC acquired a new stake in DiamondRock Hospitality during the 2nd quarter worth approximately $79,000. Finally, DRW Securities LLC acquired a new stake in DiamondRock Hospitality during the 1st quarter worth approximately $84,000.

About DiamondRock Hospitality

DiamondRock Hospitality Company is a self-advised real estate investment trust (REIT) that is an owner of a leading portfolio of geographically diversified hotels concentrated in leisure destinations and top gateway markets. The Company currently owns 36 premium quality hotels with over 9,700 rooms. The Company has strategically positioned its portfolio to be operated both under leading global brand families as well as independent boutique hotels in the lifestyle segment.