Sunstone Hotel Investors, Inc. (NYSE:SHO) Receives Average Recommendation of “Hold” from Analysts

Shares of Sunstone Hotel Investors, Inc. (NYSE:SHO) have earned a consensus recommendation of “Hold” from the eight research firms that are currently covering the company, MarketBeat reports. One analyst has rated the stock with a sell recommendation, five have issued a hold recommendation, one has given a buy recommendation and one has given a strong buy recommendation to the company. The average 12-month price objective among brokerages that have covered the stock in the last year is $10.6667.

Several research analysts recently commented on the stock. Wall Street Zen lowered shares of Sunstone Hotel Investors from a “buy” rating to a “hold” rating in a research note on Saturday, August 8th. Citigroup raised their target price on shares of Sunstone Hotel Investors from $9.50 to $10.00 and gave the company a “neutral” rating in a research note on Wednesday, May 6th. Wells Fargo & Company raised shares of Sunstone Hotel Investors to a “strong-buy” rating in a 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, Weiss Ratings upgraded Sunstone Hotel Investors from a “hold (c)” rating to a “buy (b-)” rating in a report on Tuesday.

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 dated Wednesday, June 24th. The stock was sold at an average price of $11.62, for a total value of $1,041,512.22. Following the completion of the sale, the insider owned 573,743 shares of the company’s stock, valued at approximately $6,666,893.66. This trade represents a 13.51% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Company insiders own 1.40% of the company’s stock.

Hedge Funds Weigh In On Sunstone Hotel Investors

Hedge funds have recently modified their holdings of the stock. Kestra Advisory Services LLC purchased a new stake in shares of Sunstone Hotel Investors during the fourth quarter valued at $26,000. North Star Investment Management Corp. acquired a new stake in shares of Sunstone Hotel Investors during the first quarter worth about $27,000. Mirae Asset Global Investments Co. Ltd. boosted its position in Sunstone Hotel Investors by 27.4% in the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 5,274 shares of the real estate investment trust’s stock valued at $47,000 after buying an additional 1,135 shares during the last quarter. FIL Ltd boosted its position in Sunstone Hotel Investors by 57.2% in the fourth quarter. FIL Ltd now owns 9,010 shares of the real estate investment trust’s stock valued at $81,000 after buying an additional 3,280 shares during the last quarter. Finally, Cerity Partners LLC acquired a new position in Sunstone Hotel Investors in the 2nd quarter worth approximately $88,000. Institutional investors and hedge funds own 99.37% of the company’s stock.

Sunstone Hotel Investors Price Performance

Shares of SHO stock opened at $10.91 on Friday. The stock’s 50-day moving average is $11.50 and its 200 day moving average is $10.28. Sunstone Hotel Investors has a 1-year low of $8.69 and a 1-year high of $12.07. The company has a debt-to-equity ratio of 0.59, a current ratio of 3.84 and a quick ratio of 3.84. The company has a market cap of $2.03 billion, a P/E ratio of 49.60, a PEG ratio of 2.62 and a beta of 0.97.

Sunstone Hotel Investors (NYSE:SHO) last announced 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 during the quarter, compared to the consensus estimate of $266.67 million. Sunstone Hotel Investors has set its FY 2026 guidance at 0.930-0.980 EPS. Research analysts predict that Sunstone Hotel Investors will post 0.96 earnings per share for the current fiscal year.

Sunstone Hotel Investors Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 15th. Shareholders of record on Wednesday, September 30th will be paid a $0.09 dividend. The ex-dividend date is Wednesday, September 30th. This represents a $0.36 dividend on an annualized basis and a yield of 3.3%. Sunstone Hotel Investors’s dividend payout ratio (DPR) is 163.64%.

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.