Chatham Lodging Trust (NYSE:CLDT) Releases Quarterly Earnings Results, Beats Expectations By $0.37 EPS

Chatham Lodging Trust (NYSE:CLDT) announced its quarterly earnings results on Tuesday. The real estate investment trust reported $0.48 earnings per share for the quarter, beating the consensus estimate of $0.11 by $0.37, Zacks reports. Chatham Lodging Trust had a return on equity of 1.18% and a net margin of 3.14%. Chatham Lodging Trust updated its FY 2026 guidance to 1.280-1.340 EPS.

Here are the key takeaways from Chatham Lodging Trust’s conference call:

• Chatham raised its 2026 guidance by approximately 20% from the start of the year, citing a strong second quarter, the Midwest acquisition and share repurchases. Full-year adjusted FFO guidance is now $1.28–$1.34 per share, with adjusted EBITDA guidance of $99.2 million–$102.3 million.
• Second-quarter RevPAR increased 3.3%, while hotel EBITDA reached $35.7 million and adjusted FFO was $0.48 per share. Expense controls drove a 220-basis-point increase in hotel EBITDA margins, supported by labor productivity, lower repairs and maintenance costs, property-tax refunds and reduced insurance costs.
• The six-hotel Midwest portfolio is outperforming expectations, with second-quarter RevPAR up 8.6%, 83% occupancy and $3.2 million of hotel EBITDA; July RevPAR rose 13%. Management also highlighted additional potential demand from major manufacturing, uranium-enrichment and data-center investments near the properties.
• Silicon Valley remained a major growth driver, with second-quarter RevPAR up 7% and July RevPAR up 26%, including a 41% increase at the two Sunnyvale hotels. Management cited double-digit demand growth from major technology accounts and expects further upside as corporate and technology activity expands.
• Management is assuming only low-single-digit RevPAR growth from September through December because of geopolitical uncertainty and limited visibility, despite strong July results. Convention-oriented hotels also faced weakness, with portfolio convention RevPAR down 5% and San Diego RevPAR down 9%; the company is marketing a smaller hotel for sale, with proceeds expected to be below $20 million.

Chatham Lodging Trust Price Performance

CLDT stock traded up $0.06 during mid-day trading on Tuesday, hitting $13.21. 100,030 shares of the stock were exchanged, compared to its average volume of 342,305. The business has a fifty day moving average price of $12.71 and a 200 day moving average price of $9.76. Chatham Lodging Trust has a 12 month low of $6.08 and a 12 month high of $13.88. The company has a debt-to-equity ratio of 0.30, a current ratio of 0.73 and a quick ratio of 0.73. The stock has a market capitalization of $616.41 million, a price-to-earnings ratio of 659.30 and a beta of 1.08.

Chatham Lodging Trust Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Tuesday, June 30th were paid a dividend of $0.10 per share. The ex-dividend date of this dividend was Tuesday, June 30th. This represents a $0.40 annualized dividend and a yield of 3.0%. Chatham Lodging Trust’s payout ratio is 2,000.00%.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on the stock. Alliance Global Partners reaffirmed a “buy” rating on shares of Chatham Lodging Trust in a research note on Friday, May 8th. BMO Capital Markets reiterated a “market perform” rating and issued a $12.00 target price on shares of Chatham Lodging Trust in a research note on Friday, June 12th. Weiss Ratings raised shares of Chatham Lodging Trust from a “sell (d+)” rating to a “hold (c-)” rating in a report on Monday, June 1st. Zacks Research raised shares of Chatham Lodging Trust from a “hold” rating to a “strong-buy” rating in a report on Thursday, July 9th. Finally, Stifel Nicolaus boosted their price target on shares of Chatham Lodging Trust from $13.00 to $14.00 and gave the company a “buy” rating in a research report on Tuesday, July 14th. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $13.00.

Hedge Funds Weigh In On Chatham Lodging Trust

A number of large investors have recently modified their holdings of the company. HRT Financial LP bought a new position in shares of Chatham Lodging Trust during the 4th quarter valued at $72,000. Cerity Partners LLC lifted its stake in Chatham Lodging Trust by 51.8% in the fourth quarter. Cerity Partners LLC now owns 19,286 shares of the real estate investment trust’s stock worth $131,000 after purchasing an additional 6,578 shares during the last quarter. Mercer Global Advisors Inc. ADV bought a new stake in Chatham Lodging Trust in the third quarter worth $136,000. Brevan Howard Capital Management LP purchased a new stake in Chatham Lodging Trust during the third quarter valued at about $164,000. Finally, Boothbay Fund Management LLC purchased a new stake in Chatham Lodging Trust during the third quarter valued at about $78,000. 88.37% of the stock is owned by hedge funds and other institutional investors.

Chatham Lodging Trust Company Profile

Chatham Lodging Trust is a self-advised, publicly traded real estate investment trust (REIT) focused primarily on investing in upscale, extended-stay hotels and premium-branded, select-service hotels. The company owns 39 hotels totaling 5,915 rooms/suites in 16 states and the District of Columbia.