Sunstone Hotel Investors, Inc. (NYSE:SHO) Given Consensus Recommendation of “Hold” by Analysts

Sunstone Hotel Investors, Inc. (NYSE:SHO) has earned an average recommendation of “Hold” from the nine brokerages that are currently covering the firm, Marketbeat Ratings reports. One equities research analyst has rated the stock with a sell rating, five have given a hold rating, two have given a buy rating and one has issued a strong buy rating on the company. The average twelve-month price target among brokers that have issued a report on the stock in the last year is $10.00.

Several research analysts have recently commented on the company. LADENBURG THALM/SH SH assumed coverage on Sunstone Hotel Investors in a research report on Thursday, March 26th. They issued a “hold” rating and a $10.00 target price for the company. Zacks Research upgraded Sunstone Hotel Investors from a “hold” rating to a “strong-buy” rating in a research report on Monday, May 18th. Citigroup lifted their target price on Sunstone Hotel Investors from $9.50 to $10.00 and gave the stock a “neutral” rating in a research report on Wednesday, May 6th. Truist Financial lifted their target price on Sunstone Hotel Investors from $10.00 to $11.00 and gave the stock a “hold” rating in a research report on Thursday, March 26th. Finally, Wells Fargo & Company decreased their target price on Sunstone Hotel Investors from $11.00 to $10.00 and set an “overweight” rating for the company in a research report on Tuesday, March 24th.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in SHO. Balyasny Asset Management L.P. acquired a new position in Sunstone Hotel Investors during the 2nd quarter valued at approximately $41,332,000. Woodline Partners LP acquired a new position in Sunstone Hotel Investors during the 3rd quarter valued at approximately $44,295,000. Alyeska Investment Group L.P. boosted its position in Sunstone Hotel Investors by 86.8% during the 4th quarter. Alyeska Investment Group L.P. now owns 5,369,789 shares of the real estate investment trust’s stock valued at $48,006,000 after purchasing an additional 2,495,914 shares during the period. SG Americas Securities LLC boosted its position in Sunstone Hotel Investors by 1,899.5% during the 1st quarter. SG Americas Securities LLC now owns 2,244,427 shares of the real estate investment trust’s stock valued at $20,222,000 after purchasing an additional 2,132,180 shares during the period. Finally, Bank of America Corp DE boosted its position in Sunstone Hotel Investors by 21.1% during the 1st quarter. Bank of America Corp DE now owns 10,099,538 shares of the real estate investment trust’s stock valued at $90,997,000 after purchasing an additional 1,757,965 shares during the period. Institutional investors and hedge funds own 99.37% of the company’s stock.

Sunstone Hotel Investors Price Performance

Shares of SHO opened at $10.63 on Monday. The firm has a market cap of $1.98 billion, a price-to-earnings ratio of 96.60, a PEG ratio of 2.49 and a beta of 0.96. The stock has a 50 day moving average of $9.60 and a 200-day moving average of $9.35. 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 has a 52 week low of $8.43 and a 52 week high of $10.74.

Sunstone Hotel Investors (NYSE:SHO) last issued its earnings results on Tuesday, May 5th. The real estate investment trust reported $0.27 EPS for the quarter, topping the consensus estimate of $0.22 by $0.05. The company had revenue of $259.71 million during the quarter, compared to analyst estimates of $244.30 million. Sunstone Hotel Investors had a return on equity of 2.27% and a net margin of 3.84%.The business’s revenue was up 10.9% on a year-over-year basis. During the same quarter last year, the firm earned $0.21 EPS. Sunstone Hotel Investors has set its FY 2026 guidance at 0.880-0.960 EPS. As a group, analysts forecast that Sunstone Hotel Investors will post 0.91 EPS for the current year.

Sunstone Hotel Investors Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 15th. Investors of record on Tuesday, June 30th will be given a dividend of $0.09 per share. The ex-dividend date is Tuesday, June 30th. This represents a $0.36 dividend on an annualized basis and a yield of 3.4%. Sunstone Hotel Investors’s payout ratio is currently 327.27%.

About Sunstone Hotel Investors

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.