Brokerages Set DiamondRock Hospitality Company (NYSE:DRH) PT at $12.22

DiamondRock Hospitality Company (NYSE:DRH) has been given a consensus recommendation of “Moderate Buy” by the twelve ratings firms that are presently covering the company, MarketBeat reports. Seven research analysts have rated the stock with a hold rating, four have assigned a buy rating and one has issued a strong buy rating on the company. The average twelve-month price target among analysts that have covered the stock in the last year is $12.3250.

DRH has been the topic of several research reports. LADENBURG THALM/SH SH raised their price objective on DiamondRock Hospitality from $13.00 to $14.00 and gave the stock a “buy” rating in a report on Thursday, June 18th. Morgan Stanley upped their target price on DiamondRock Hospitality from $10.00 to $11.00 and gave the company an “equal weight” rating in a research report on Tuesday, August 18th. Truist Financial raised their price target on DiamondRock Hospitality from $11.00 to $12.00 and gave the stock a “buy” rating in a research note on Tuesday, May 26th. Bank of America raised their price target on DiamondRock Hospitality from $12.50 to $13.00 and gave the stock a “buy” rating in a research note on Monday, July 20th. Finally, Barclays lifted their price target on DiamondRock Hospitality from $10.00 to $12.00 and gave the stock an “equal weight” rating in a research report on Monday, June 1st.

DiamondRock Hospitality Stock Performance

Shares of DiamondRock Hospitality stock opened at $12.82 on Monday. 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 company has a fifty day simple moving average of $12.43 and a 200-day simple moving average of $10.97. The stock has a market cap of $2.62 billion, a price-to-earnings ratio of 51.28, a PEG ratio of 4.50 and a beta of 0.98. DiamondRock Hospitality has a 12-month low of $7.47 and a 12-month high of $13.79.

DiamondRock Hospitality (NYSE:DRH) last announced its quarterly earnings results on Thursday, July 30th. The real estate investment trust reported $0.44 EPS for the quarter, topping the consensus estimate of $0.22 by $0.22. DiamondRock Hospitality had a net margin of 5.69% and a return on equity of 4.04%. The firm had revenue of $318.29 million for the quarter, compared to analyst estimates of $314.98 million. During the same period last year, the business earned $0.35 EPS. DiamondRock Hospitality’s revenue for the quarter was up 4.1% compared to the same quarter last year. DiamondRock Hospitality has set its FY 2026 guidance at 1.180-1.230 EPS. On average, equities analysts forecast that DiamondRock Hospitality will post 0.96 EPS for the current fiscal year.

DiamondRock Hospitality Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 14th. Stockholders of record on Wednesday, September 30th will be given a dividend of $0.11 per share. This represents a $0.44 dividend on an annualized basis and a dividend yield of 3.4%. This is a boost from DiamondRock Hospitality’s previous quarterly dividend of $0.09. The ex-dividend date is Wednesday, September 30th. DiamondRock Hospitality’s payout ratio is 60.27%.

Insider Activity at DiamondRock Hospitality

In other news, Director Kathleen Merrill sold 20,000 shares of DiamondRock Hospitality stock in a transaction on Friday, June 12th. The shares were sold at an average price of $11.88, for a total value of $237,600.00. Following the transaction, the director directly owned 84,335 shares of the company’s stock, valued at $1,001,899.80. The trade was a 19.17% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. 0.90% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of DRH. Louisiana State Employees Retirement System acquired a new stake in shares of DiamondRock Hospitality in the 1st quarter worth $846,000. UBS Group AG increased its stake in shares of DiamondRock Hospitality by 49.9% during the fourth quarter. UBS Group AG now owns 2,627,787 shares of the real estate investment trust’s stock worth $23,545,000 after acquiring an additional 874,536 shares during the period. Bank of America Corp DE increased its stake in shares of DiamondRock Hospitality by 7.2% during the first quarter. Bank of America Corp DE now owns 8,987,338 shares of the real estate investment trust’s stock worth $84,211,000 after acquiring an additional 606,962 shares during the period. SG Americas Securities LLC increased its stake in shares of DiamondRock Hospitality by 106.1% during the first quarter. SG Americas Securities LLC now owns 4,172,671 shares of the real estate investment trust’s stock worth $39,098,000 after acquiring an additional 2,147,881 shares during the period. Finally, Principal Financial Group Inc. raised its holdings in DiamondRock Hospitality by 37.2% during the first quarter. Principal Financial Group Inc. now owns 1,334,731 shares of the real estate investment trust’s stock worth $12,506,000 after purchasing an additional 361,674 shares in the last quarter.

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.