Morgan Stanley Forecasts Strong Price Appreciation for DiamondRock Hospitality (NYSE:DRH) Stock

DiamondRock Hospitality (NYSE:DRH) had its target price upped by stock analysts at Morgan Stanley from $9.60 to $10.00 in a research note issued on Friday,Benzinga reports. The brokerage currently has an “equal weight” rating on the real estate investment trust’s stock. Morgan Stanley’s price target suggests a potential downside of 20.32% from the stock’s previous close.

Other research analysts have also recently issued research reports about the stock. Wells Fargo & Company upped their target price on shares of DiamondRock Hospitality from $11.00 to $12.00 and gave the company an “equal weight” rating in a research report on Monday, June 1st. Truist Financial lifted their price target on shares of DiamondRock Hospitality from $11.00 to $12.00 and gave the company a “buy” rating in a research report on Tuesday, May 26th. Barclays boosted their price target on shares of DiamondRock Hospitality from $10.00 to $12.00 and gave the company an “equal weight” rating in a research note on Monday, June 1st. Stifel Nicolaus set a $12.25 price objective on shares of DiamondRock Hospitality in a report on Thursday, June 4th. Finally, LADENBURG THALM/SH SH increased their price objective on shares of DiamondRock Hospitality from $13.00 to $14.00 and gave the stock a “buy” rating in a research report on Thursday, June 18th. Three investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $11.69.

DiamondRock Hospitality Stock Performance

NYSE DRH opened at $12.55 on Friday. The stock has a fifty day simple moving average of $11.58 and a 200-day simple moving average of $10.35. The company has a current ratio of 1.64, a quick ratio of 1.64 and a debt-to-equity ratio of 0.70. The stock has a market cap of $2.57 billion, a PE ratio of 50.20, a P/E/G ratio of 4.50 and a beta of 0.98. DiamondRock Hospitality has a twelve month low of $7.45 and a twelve month high of $12.56.

Insider Activity

In other news, Director Kathleen Merrill sold 20,000 shares of the stock in a transaction dated Friday, June 12th. The shares were sold at an average price of $11.88, for a total transaction of $237,600.00. Following the sale, the director owned 84,335 shares of the company’s stock, valued at approximately $1,001,899.80. This represents a 19.17% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Michael A. Hartmeier sold 20,000 shares of the firm’s stock in a transaction that occurred on Wednesday, May 13th. The shares were sold at an average price of $10.46, for a total transaction of $209,200.00. Following the completion of the transaction, the director directly owned 95,354 shares of the company’s stock, valued at approximately $997,402.84. The trade was a 17.34% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 0.90% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On DiamondRock Hospitality

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. AQR Capital Management LLC increased its position in shares of DiamondRock Hospitality by 223.2% during the first quarter. AQR Capital Management LLC now owns 65,376 shares of the real estate investment trust’s stock worth $505,000 after acquiring an additional 45,146 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in DiamondRock Hospitality by 5.1% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 123,672 shares of the real estate investment trust’s stock valued at $955,000 after purchasing an additional 5,971 shares during the period. United Services Automobile Association purchased a new position in DiamondRock Hospitality in the first quarter valued at $91,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in DiamondRock Hospitality by 3.8% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,327,841 shares of the real estate investment trust’s stock worth $10,251,000 after purchasing an additional 48,558 shares in the last quarter. Finally, Creative Planning acquired a new position in DiamondRock Hospitality during the 2nd quarter worth $99,000.

DiamondRock Hospitality Company Profile

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.