DiamondRock Hospitality (NYSE:DRH) Stock Rating Upgraded by Truist Financial

DiamondRock Hospitality (NYSE:DRH) was upgraded by research analysts at Truist Financial from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Friday, Marketbeat.com reports. The brokerage presently has a $11.00 target price on the real estate investment trust’s stock, up from their prior target price of $10.00. Truist Financial’s target price indicates a potential upside of 18.92% from the stock’s previous close.

Other equities analysts have also recently issued reports about the stock. Morgan Stanley cut their target price on shares of DiamondRock Hospitality from $9.00 to $8.50 and set an “equal weight” rating on the stock in a report on Wednesday, October 22nd. Barclays began coverage on shares of DiamondRock Hospitality in a research report on Tuesday, January 6th. They set an “equal weight” rating and a $10.00 price objective on the stock. Evercore ISI lifted their price objective on shares of DiamondRock Hospitality from $9.00 to $10.00 and gave the company an “in-line” rating in a research note on Thursday, November 20th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of DiamondRock Hospitality in a report on Wednesday, October 8th. Finally, Wells Fargo & Company raised their price target on DiamondRock Hospitality from $9.00 to $10.00 and gave the stock an “equal weight” rating in a report on Monday, December 1st. Two analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. According to MarketBeat, DiamondRock Hospitality currently has an average rating of “Hold” and a consensus price target of $9.61.

DiamondRock Hospitality Stock Up 1.0%

DRH opened at $9.25 on Friday. DiamondRock Hospitality has a one year low of $6.18 and a one year high of $9.44. The company has a debt-to-equity ratio of 0.70, a quick ratio of 1.64 and a current ratio of 1.64. The stock has a market capitalization of $1.88 billion, a P/E ratio of 37.00, a price-to-earnings-growth ratio of 4.50 and a beta of 1.03. The business’s 50-day simple moving average is $8.97 and its 200-day simple moving average is $8.34.

DiamondRock Hospitality (NYSE:DRH) last announced its earnings results on Thursday, November 6th. The real estate investment trust reported $0.29 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.25 by $0.04. The firm had revenue of $285.38 million during the quarter, compared to analysts’ expectations of $277.45 million. DiamondRock Hospitality had a return on equity of 4.04% and a net margin of 5.69%.The business’s revenue was up .1% on a year-over-year basis. During the same period in the prior year, the firm earned $0.27 EPS. DiamondRock Hospitality has set its FY 2025 guidance at 1.020-1.06 EPS. Analysts anticipate that DiamondRock Hospitality will post 0.96 EPS for the current year.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the company. State Street Corp boosted its holdings in DiamondRock Hospitality by 0.8% in the 2nd quarter. State Street Corp now owns 12,587,578 shares of the real estate investment trust’s stock valued at $97,400,000 after purchasing an additional 93,929 shares in the last quarter. Bank of America Corp DE lifted its holdings in shares of DiamondRock Hospitality by 17.5% in the 2nd quarter. Bank of America Corp DE now owns 9,231,991 shares of the real estate investment trust’s stock valued at $70,717,000 after buying an additional 1,377,897 shares during the period. Alyeska Investment Group L.P. lifted its holdings in shares of DiamondRock Hospitality by 5.5% in the 3rd quarter. Alyeska Investment Group L.P. now owns 9,152,343 shares of the real estate investment trust’s stock valued at $72,853,000 after buying an additional 475,611 shares during the period. Pzena Investment Management LLC grew its holdings in DiamondRock Hospitality by 2.1% during the second quarter. Pzena Investment Management LLC now owns 8,785,278 shares of the real estate investment trust’s stock worth $67,295,000 after acquiring an additional 181,610 shares during the period. Finally, Centersquare Investment Management LLC grew its holdings in DiamondRock Hospitality by 6.0% during the third quarter. Centersquare Investment Management LLC now owns 7,536,975 shares of the real estate investment trust’s stock worth $59,994,000 after acquiring an additional 427,467 shares during the period.

About DiamondRock Hospitality

DiamondRock Hospitality Company is a real estate investment trust (REIT) that acquires, owns and manages a diversified portfolio of upscale, full-service hotels in urban gateway markets across the United States. Established in 2004 and headquartered in Bethesda, Maryland, the company focuses on investing in high-quality lodging properties that cater to both business and leisure travelers. Its assets are positioned in key metropolitan areas, enabling DiamondRock to benefit from strong demand drivers such as corporate travel, group conventions and resort leisure stays.

The company’s portfolio includes full-service hotels offering a broad range of amenities, including guest rooms, on-site food and beverage outlets, meeting and event space, fitness centers and spa services.