Service Properties Trust Target of Unusually Large Options Trading (NASDAQ:SVC)

Service Properties Trust (NASDAQ:SVC) was the recipient of unusually large options trading activity on Thursday. Investors acquired 5,000 put options on the company. This represents an increase of 523% compared to the typical volume of 803 put options.

Service Properties Trust Stock Down 4.3%

Shares of NASDAQ SVC opened at $2.00 on Friday. The firm’s fifty day moving average is $2.15 and its 200 day moving average is $2.17. Service Properties Trust has a 52 week low of $1.55 and a 52 week high of $3.08. The company has a quick ratio of 0.14, a current ratio of 0.14 and a debt-to-equity ratio of 5.00. The company has a market cap of $336.12 million, a price-to-earnings ratio of -1.65 and a beta of 1.40.

Service Properties Trust (NASDAQ:SVC) last announced its quarterly earnings results on Wednesday, February 25th. The real estate investment trust reported $0.17 earnings per share for the quarter, beating the consensus estimate of $0.01 by $0.16. The business had revenue of $397.45 million during the quarter, compared to analysts’ expectations of $394.32 million. Service Properties Trust had a negative net margin of 11.15% and a negative return on equity of 29.70%. Service Properties Trust has set its FY 2026 guidance at 0.650-0.770 EPS.

Service Properties Trust Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, February 19th. Stockholders of record on Monday, January 26th were issued a dividend of $0.01 per share. This represents a $0.04 dividend on an annualized basis and a dividend yield of 2.0%. The ex-dividend date was Monday, January 26th. Service Properties Trust’s dividend payout ratio is currently -3.31%.

Insider Buying and Selling at Service Properties Trust

In other news, Director Laurie B. Burns sold 87,680 shares of the company’s stock in a transaction on Friday, February 27th. The shares were sold at an average price of $2.32, for a total value of $203,417.60. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 1.43% of the company’s stock.

Institutional Trading of Service Properties Trust

Several large investors have recently modified their holdings of SVC. Lonestar Capital Management LLC purchased a new position in shares of Service Properties Trust during the third quarter valued at approximately $7,412,000. Goldman Sachs Group Inc. lifted its stake in Service Properties Trust by 114.8% in the first quarter. Goldman Sachs Group Inc. now owns 4,118,530 shares of the real estate investment trust’s stock worth $10,749,000 after acquiring an additional 2,200,754 shares during the period. Silver Point Capital L.P. lifted its stake in Service Properties Trust by 93.3% in the fourth quarter. Silver Point Capital L.P. now owns 3,439,000 shares of the real estate investment trust’s stock worth $6,328,000 after acquiring an additional 1,660,000 shares during the period. Philosophy Capital Management LLC bought a new stake in Service Properties Trust in the third quarter valued at $3,838,000. Finally, Varde Management L.P. bought a new stake in Service Properties Trust in the third quarter valued at $3,695,000. 77.62% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on SVC. Zacks Research lowered shares of Service Properties Trust from a “strong-buy” rating to a “hold” rating in a research report on Friday, January 30th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Service Properties Trust in a report on Thursday, January 22nd. Finally, Wells Fargo & Company lowered their target price on Service Properties Trust from $2.50 to $2.00 and set an “equal weight” rating for the company in a research note on Thursday, January 22nd. Three analysts have rated the stock with a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Service Properties Trust has a consensus rating of “Reduce” and an average price target of $2.50.

About Service Properties Trust

Service Properties Trust (NASDAQ: SVC) is a real estate investment trust (REIT) specializing in the acquisition, ownership and leasing of service-oriented properties, with a primary focus on the lodging sector. The company structures long-term, triple-net leases with established hotel operators under franchise agreements with leading global brands. By partnering with recognized hotel companies, Service Properties Trust seeks to generate a stable income stream through rent payments, while offering operators the capital and balance-sheet flexibility to grow their portfolios.

Since its formation in 2010, Service Properties Trust has grown its portfolio through strategic sale-leaseback transactions, targeted property acquisitions and selective dispositions.