First Trust Advisors LP grew its position in Sunstone Hotel Investors, Inc. (NYSE:SHO – Free Report) by 45.9% during the 1st quarter, HoldingsChannel reports. The fund owned 287,089 shares of the real estate investment trust’s stock after purchasing an additional 90,324 shares during the period. First Trust Advisors LP’s holdings in Sunstone Hotel Investors were worth $2,587,000 at the end of the most recent quarter.
Other institutional investors have also recently made changes to their positions in the company. PNC Financial Services Group Inc. boosted its stake in shares of Sunstone Hotel Investors by 40.7% during the 1st quarter. PNC Financial Services Group Inc. now owns 18,382 shares of the real estate investment trust’s stock worth $166,000 after purchasing an additional 5,318 shares during the period. Dimensional Fund Advisors LP raised its position in Sunstone Hotel Investors by 2.1% in the 1st quarter. Dimensional Fund Advisors LP now owns 2,591,239 shares of the real estate investment trust’s stock worth $23,348,000 after purchasing an additional 54,242 shares during the period. Principal Financial Group Inc. lifted its stake in Sunstone Hotel Investors by 2.0% in the first quarter. Principal Financial Group Inc. now owns 923,138 shares of the real estate investment trust’s stock worth $8,317,000 after purchasing an additional 18,070 shares during the last quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS lifted its stake in Sunstone Hotel Investors by 99.7% in the first quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 211,528 shares of the real estate investment trust’s stock worth $1,906,000 after purchasing an additional 105,629 shares during the last quarter. Finally, Sequoia Financial Advisors LLC purchased a new position in shares of Sunstone Hotel Investors during the first quarter valued at approximately $91,000. Institutional investors own 99.37% of the company’s stock.
Wall Street Analysts Forecast Growth
A number of research firms have recently commented on SHO. JPMorgan Chase & Co. upped their target price on Sunstone Hotel Investors from $9.00 to $10.00 and gave the company an “underweight” rating in a research note on Tuesday, July 21st. Citigroup raised their price target on Sunstone Hotel Investors from $9.50 to $10.00 and gave the stock a “neutral” rating in a research note on Wednesday, May 6th. Wells Fargo & Company raised Sunstone Hotel Investors to a “strong-buy” rating in a research report on Thursday, July 23rd. Zacks Research downgraded Sunstone Hotel Investors from a “strong-buy” rating to a “hold” rating in a research report on Thursday, July 23rd. Finally, Wall Street Zen lowered Sunstone Hotel Investors from a “buy” rating to a “hold” rating in a research note on Saturday. One research analyst has rated the stock with a Strong Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, Sunstone Hotel Investors presently has an average rating of “Hold” and an average target price of $10.67.
Sunstone Hotel Investors Price Performance
Sunstone Hotel Investors stock opened at $11.11 on Friday. The company has a debt-to-equity ratio of 0.59, a current ratio of 7.01 and a quick ratio of 3.42. The stock has a market cap of $2.07 billion, a price-to-earnings ratio of 50.52, a price-to-earnings-growth ratio of 2.30 and a beta of 0.97. The firm has a 50-day moving average of $11.55 and a two-hundred day moving average of $10.22. Sunstone Hotel Investors, Inc. has a 1 year low of $8.61 and a 1 year high of $12.07.
Sunstone Hotel Investors (NYSE:SHO – Get Free Report) last issued its earnings results on Thursday, August 6th. The real estate investment trust reported $0.14 EPS for the quarter, topping analysts’ consensus estimates of $0.08 by $0.06. Sunstone Hotel Investors had a net margin of 5.30% and a return on equity of 3.21%. The business had revenue of $277.11 million for the quarter, compared to analyst estimates of $266.67 million. Sunstone Hotel Investors has set its FY 2026 guidance at 0.930-0.980 EPS. On average, research analysts forecast that Sunstone Hotel Investors, Inc. will post 0.97 earnings per share for the current year.
Sunstone Hotel Investors Dividend Announcement
The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 15th. Investors of record on Wednesday, September 30th will be paid a $0.09 dividend. The ex-dividend date of this dividend is Wednesday, September 30th. This represents a $0.36 annualized dividend and a yield of 3.2%. Sunstone Hotel Investors’s dividend payout ratio is 327.27%.
Insider Buying and Selling
In other Sunstone Hotel Investors news, insider Robert C. Springer sold 89,631 shares of the firm’s stock in a transaction on Wednesday, June 24th. The stock was sold at an average price of $11.62, for a total transaction of $1,041,512.22. Following the transaction, the insider directly owned 573,743 shares in the company, valued at $6,666,893.66. This trade represents a 13.51% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. 1.40% of the stock is owned by insiders.
Key Stories Impacting Sunstone Hotel Investors
Here are the key news stories impacting Sunstone Hotel Investors this week:
- Positive Sentiment: Q2 results beat expectations: Sunstone reported EPS of $0.14 versus the $0.08 consensus estimate and revenue of $277.1 million versus expectations of $266.7 million. Net income increased to $26.0 million from $10.8 million a year earlier. Sunstone Hotel Q2 Earnings Snapshot
- Positive Sentiment: Funds from operations improved: Adjusted FFO rose 14.3% year over year to $0.32 per share, exceeding the $0.30 consensus estimate and supporting the REIT’s ability to maintain its dividend. Sunstone Hotel Investors Tops Q2 FFO and Revenue Estimates
- Positive Sentiment: 2026 guidance was raised: Management now expects full-year EPS of $0.93-$0.98, above the $0.91 analyst consensus. It also projects 2026 net income of $79 million-$89 million. Sunstone Hotel Investors Reports Second Quarter 2026 Results
- Positive Sentiment: Hotel fundamentals strengthened: Companywide RevPAR increased 9.3% to $263.61, while total RevPAR rose 7.7% to $434.00. Adjusted EBITDAre also increased 5.5% to $76.7 million.
- Positive Sentiment: Asset sale improved liquidity: Sunstone completed the $279 million sale of the Hyatt Regency San Francisco to Blackstone-affiliated funds, giving the hotel REIT additional capital flexibility.
- Neutral Sentiment: Dividend announcements: Sunstone declared its regular $0.09-per-share quarterly common dividend, payable October 15, and a $0.3562 dividend on its 5.70% Series I preferred stock. These reinforce shareholder returns but are not new earnings drivers.
Sunstone Hotel Investors 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.
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