Sunstone Hotel Investors, Inc. (SHO) to Issue Quarterly Dividend of $0.09 on July 15th

Sunstone Hotel Investors, Inc. (NYSE:SHO) announced a quarterly dividend on Monday, May 6th, Zacks reports. Stockholders of record on Friday, June 28th will be paid a dividend of 0.09 per share by the real estate investment trust on Monday, July 15th. This represents a $0.36 annualized dividend and a dividend yield of 3.47%. The ex-dividend date is Friday, June 28th. This is a positive change from Sunstone Hotel Investors’s previous quarterly dividend of $0.07.

Sunstone Hotel Investors has raised its dividend payment by an average of 68.7% annually over the last three years and has increased its dividend annually for the last 1 consecutive years. Sunstone Hotel Investors has a dividend payout ratio of 96.6% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings fall. Equities research analysts expect Sunstone Hotel Investors to earn $0.95 per share next year, which means the company should continue to be able to cover its $0.28 annual dividend with an expected future payout ratio of 29.5%.

Sunstone Hotel Investors Price Performance

Shares of Sunstone Hotel Investors stock opened at $10.39 on Wednesday. The company has a debt-to-equity ratio of 0.43, a quick ratio of 7.03 and a current ratio of 7.03. The firm’s 50-day simple moving average is $10.82 and its 200-day simple moving average is $10.53. Sunstone Hotel Investors has a twelve month low of $8.61 and a twelve month high of $11.59. The firm has a market cap of $2.12 billion, a P/E ratio of 11.17, a price-to-earnings-growth ratio of 3.98 and a beta of 1.22.

Sunstone Hotel Investors (NYSE:SHO) last issued its earnings results on Friday, February 23rd. The real estate investment trust reported $0.60 earnings per share for the quarter, beating the consensus estimate of $0.16 by $0.44. Sunstone Hotel Investors had a net margin of 20.95% and a return on equity of 11.32%. The business had revenue of $219.20 million for the quarter, compared to analyst estimates of $192.56 million. During the same period in the previous year, the business earned $0.26 EPS. The firm’s revenue was down 10.2% on a year-over-year basis. As a group, research analysts expect that Sunstone Hotel Investors will post 0.85 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on SHO. StockNews.com raised shares of Sunstone Hotel Investors from a “sell” rating to a “hold” rating in a report on Thursday, March 21st. Compass Point raised shares of Sunstone Hotel Investors from a “sell” rating to a “neutral” rating and lifted their price target for the company from $10.00 to $12.00 in a report on Tuesday. Finally, Truist Financial lifted their price target on shares of Sunstone Hotel Investors from $12.00 to $13.00 and gave the company a “hold” rating in a report on Thursday, March 14th. Two research analysts have rated the stock with a sell rating and six have issued a hold rating to the company’s stock. According to data from MarketBeat, Sunstone Hotel Investors currently has a consensus rating of “Hold” and a consensus price target of $10.50.

About Sunstone Hotel Investors

Sunstone Hotel Investors, Inc is a lodging real estate investment trust ("REIT") that as of the date of this release owns 14 hotels comprised of 6,675 rooms, the majority of which are operated under nationally recognized brands. Sunstone's strategy is to create long-term stakeholder value through the acquisition, active ownership, and disposition of well-located hotel and resort real estate.