Morgan Stanley Issues Pessimistic Forecast for Sunstone Hotel Investors (NYSE:SHO) Stock Price

Sunstone Hotel Investors (NYSE:SHO) had its price objective lowered by research analysts at Morgan Stanley from $9.00 to $7.00 in a research report issued on Tuesday,Benzinga reports. The brokerage presently has an “underweight” rating on the real estate investment trust’s stock. Morgan Stanley’s price objective suggests a potential downside of 12.54% from the company’s previous close.

Several other analysts also recently commented on SHO. Wells Fargo & Company decreased their target price on shares of Sunstone Hotel Investors from $13.00 to $12.00 and set an “equal weight” rating for the company in a research report on Tuesday, February 18th. Truist Financial decreased their price objective on shares of Sunstone Hotel Investors from $12.00 to $11.00 and set a “hold” rating for the company in a report on Friday, March 21st. Finally, Jefferies Financial Group cut their target price on Sunstone Hotel Investors from $12.00 to $8.00 and set a “hold” rating on the stock in a report on Wednesday, April 9th. Two research analysts have rated the stock with a sell rating, four have issued a hold rating, two have assigned a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $10.57.

Sunstone Hotel Investors Trading Down 2.4 %

NYSE SHO opened at $8.00 on Tuesday. The company has a market capitalization of $1.61 billion, a PE ratio of 10.53, a price-to-earnings-growth ratio of 4.52 and a beta of 1.16. Sunstone Hotel Investors has a 1-year low of $7.45 and a 1-year high of $12.41. The company has a current ratio of 2.98, a quick ratio of 2.98 and a debt-to-equity ratio of 0.44. The firm’s fifty day simple moving average is $9.51 and its 200-day simple moving average is $10.59.

Sunstone Hotel Investors (NYSE:SHO) last posted its quarterly earnings results on Friday, February 21st. The real estate investment trust reported $0.16 earnings per share for the quarter, topping analysts’ consensus estimates of $0.14 by $0.02. The company had revenue of $214.77 million during the quarter, compared to the consensus estimate of $211.17 million. Sunstone Hotel Investors had a return on equity of 9.04% and a net margin of 18.61%. As a group, sell-side analysts anticipate that Sunstone Hotel Investors will post 0.79 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Sunstone Hotel Investors

A number of hedge funds and other institutional investors have recently made changes to their positions in SHO. Principal Financial Group Inc. increased its holdings in shares of Sunstone Hotel Investors by 645.6% during the fourth quarter. Principal Financial Group Inc. now owns 8,355,572 shares of the real estate investment trust’s stock worth $98,929,000 after buying an additional 7,234,862 shares in the last quarter. GRS Advisors LLC bought a new stake in shares of Sunstone Hotel Investors during the fourth quarter worth approximately $22,980,000. Woodline Partners LP acquired a new position in shares of Sunstone Hotel Investors in the 4th quarter valued at $17,309,000. Centersquare Investment Management LLC bought a new position in Sunstone Hotel Investors during the fourth quarter worth about $15,653,000. Finally, Bank of America Corp DE grew its holdings in Sunstone Hotel Investors by 23.0% during the fourth quarter. Bank of America Corp DE now owns 6,567,535 shares of the real estate investment trust’s stock valued at $77,760,000 after purchasing an additional 1,229,769 shares during the period. 99.37% of the stock is owned by institutional investors.

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.