Service Properties Trust (NASDAQ:SVC) Sets New 12-Month Low After Earnings Miss

Service Properties Trust (NASDAQ:SVC)’s share price reached a new 52-week low on Thursday following a dissappointing earnings announcement. The company traded as low as $5.59 and last traded at $5.6350, with a volume of 939,765 shares traded. The stock had previously closed at $6.28.

The real estate investment trust reported ($0.68) EPS for the quarter, missing analysts’ consensus estimates of ($0.29) by ($0.39). The company had revenue of $399.52 million for the quarter, compared to the consensus estimate of $318.62 million. Service Properties Trust had a negative return on equity of 65.18% and a negative net margin of 25.44%.

Service Properties Trust Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, November 12th. Stockholders of record on Monday, October 19th will be given a dividend of $0.05 per share. The ex-dividend date is Monday, October 19th. This represents a $0.20 annualized dividend and a dividend yield of 3.8%. Service Properties Trust’s payout ratio is currently -2.60%.

Wall Street Analyst Weigh In

Several analysts have weighed in on the company. Weiss Ratings downgraded Service Properties Trust from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Thursday, October 8th. Loop Capital set a $9.00 price target on Service Properties Trust in a research note on Friday, October 2nd. Zacks Research raised Service Properties Trust from a “strong sell” rating to a “hold” rating in a report on Wednesday, August 12th. Finally, Wall Street Zen upgraded shares of Service Properties Trust from a “sell” rating to a “hold” rating in a research note on Saturday. Three investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $12.05.

Institutional Investors Weigh In On Service Properties Trust

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. DBA Trading LLC acquired a new stake in shares of Service Properties Trust during the 3rd quarter valued at $642,000. Vise Technologies Inc. acquired a new stake in shares of Service Properties Trust during the third quarter worth $74,000. Sequoia Financial Advisors LLC acquired a new stake in shares of Service Properties Trust during the second quarter worth $66,000. WINTON GROUP Ltd lifted its holdings in shares of Service Properties Trust by 94.8% during the second quarter. WINTON GROUP Ltd now owns 67,000 shares of the real estate investment trust’s stock valued at $113,000 after purchasing an additional 32,600 shares during the last quarter. Finally, Squarepoint Ops LLC purchased a new stake in shares of Service Properties Trust during the second quarter valued at $71,000. Institutional investors own 77.62% of the company’s stock.

Service Properties Trust Stock Performance

The company has a debt-to-equity ratio of 2.11, a current ratio of 0.01 and a quick ratio of 0.01. The firm has a market capitalization of $673.45 million, a PE ratio of -0.74 and a beta of 1.78. The firm has a fifty day moving average price of $6.53 and a 200 day moving average price of $8.25.

Service Properties Trust Company Profile

Service Properties Trust (NASDAQ:SVC) is a real estate investment trust that owns and invests in hospitality and service-oriented properties. The company’s portfolio has historically included hotels, extended-stay lodging properties and other real estate leased to businesses that provide essential or consumer-focused services.

Service Properties Trust generally leases its properties to hotel operators and other commercial tenants rather than managing most locations directly. Its hotel portfolio has included properties operated under a variety of well-known brands, while its service-focused properties have supported businesses such as healthcare, automotive and travel-related services.

The company’s properties are primarily located in the United States, with investments also having included select locations in Canada and Puerto Rico.