Service Properties Trust (NASDAQ:SVC) to Issue Quarterly Dividend of $0.05

Service Properties Trust (NASDAQ:SVC) announced a quarterly dividend on Thursday, July 9th. Investors of record on Monday, July 20th will be paid a dividend of 0.05 per share by the real estate investment trust on Thursday, August 13th. This represents a c) dividend on an annualized basis and a yield of 2.3%. The ex-dividend date is Monday, July 20th. This is a 0.0% increase from Service Properties Trust’s previous quarterly dividend of $0.05.

Service Properties Trust has decreased its dividend payment by an average of 0.4%per year over the last three years. Service Properties Trust has a dividend payout ratio of -17.1% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect Service Properties Trust to earn $1.42 per share next year, which means the company should continue to be able to cover its $0.20 annual dividend with an expected future payout ratio of 14.1%.

Service Properties Trust Price Performance

Service Properties Trust stock traded up $0.18 during mid-day trading on Thursday, hitting $8.75. 2,978,942 shares of the company traded hands, compared to its average volume of 1,517,210. The company has a debt-to-equity ratio of 4.56, a quick ratio of 0.01 and a current ratio of 0.01. Service Properties Trust has a one year low of $5.65 and a one year high of $15.38. The stock has a market cap of $1.13 billion, a price-to-earnings ratio of -1.23 and a beta of 1.65. The stock has a fifty day moving average price of $8.33 and a 200-day moving average price of $9.11.

Service Properties Trust (NASDAQ:SVC) last issued its quarterly earnings results on Wednesday, May 6th. The real estate investment trust reported $0.20 EPS for the quarter, topping analysts’ consensus estimates of ($1.82) by $2.02. The firm had revenue of $364.45 million for the quarter, compared to analyst estimates of $347.82 million. Service Properties Trust had a negative net margin of 13.59% and a negative return on equity of 38.18%. Service Properties Trust has set its FY 2026 guidance at 0.240-0.270 EPS. On average, equities analysts predict that Service Properties Trust will post 1.25 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

Several research firms have commented on SVC. LADENBURG THALM/SH SH initiated coverage on shares of Service Properties Trust in a research note on Tuesday, June 30th. They set a “buy” rating and a $11.25 price target on the stock. B. Riley Financial upped their price objective on shares of Service Properties Trust from $10.00 to $12.50 and gave the company a “buy” rating in a research note on Wednesday, June 17th. Zacks Research lowered shares of Service Properties Trust from a “hold” rating to a “strong sell” rating in a report on Tuesday. Weiss Ratings cut shares of Service Properties Trust from a “sell (d-)” rating to a “sell (e+)” rating in a research report on Tuesday, May 26th. Finally, Odeon Capital Group assumed coverage on shares of Service Properties Trust in a research note on Friday, May 8th. They issued a “buy” rating and a $17.50 price target for the company. Three research analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $12.81.

Service Properties Trust Company Profile

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.