Starwood Property Trust, Inc. (NYSE:STWD) Given Consensus Recommendation of “Hold” by Analysts

Shares of Starwood Property Trust, Inc. (NYSE:STWD) have been given a consensus rating of “Hold” by the seven ratings firms that are presently covering the firm, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell rating, two have given a hold rating and four have given a buy rating to the company. The average twelve-month price target among brokerages that have issued ratings on the stock in the last year is $19.70.

A number of equities analysts have recently commented on the stock. Bank of America reissued a “neutral” rating and issued a $19.00 target price on shares of Starwood Property Trust in a research note on Friday, March 6th. Wells Fargo & Company cut their target price on shares of Starwood Property Trust from $22.00 to $21.00 and set an “outperform” rating on the stock in a research note on Thursday, February 26th. Keefe, Bruyette & Woods cut their target price on shares of Starwood Property Trust from $20.00 to $19.50 and set an “outperform” rating on the stock in a research note on Wednesday, May 13th. UBS Group assumed coverage on shares of Starwood Property Trust in a research note on Tuesday, June 2nd. They issued a “buy” rating and a $20.00 target price on the stock. Finally, Weiss Ratings downgraded shares of Starwood Property Trust from a “hold (c)” rating to a “hold (c-)” rating in a research note on Monday, May 11th.

Starwood Property Trust Stock Performance

NYSE:STWD opened at $16.97 on Tuesday. The company has a quick ratio of 1.57, a current ratio of 1.57 and a debt-to-equity ratio of 3.31. The company has a market cap of $6.29 billion, a P/E ratio of 17.67, a P/E/G ratio of 2.40 and a beta of 0.98. Starwood Property Trust has a fifty-two week low of $16.76 and a fifty-two week high of $21.05. The firm’s 50 day moving average is $17.53 and its two-hundred day moving average is $17.89.

Starwood Property Trust (NYSE:STWD) last issued its earnings results on Friday, May 8th. The real estate investment trust reported $0.39 EPS for the quarter, missing analysts’ consensus estimates of $0.42 by ($0.03). Starwood Property Trust had a net margin of 18.11% and a return on equity of 7.91%. The business had revenue of $205.55 million during the quarter, compared to analysts’ expectations of $496.25 million. During the same period in the prior year, the business posted $0.45 EPS. The business’s revenue was up 22.5% on a year-over-year basis. Analysts expect that Starwood Property Trust will post 1.57 EPS for the current year.

Starwood Property Trust declared that its Board of Directors has approved a share buyback plan on Thursday, February 26th that allows the company to repurchase $400.00 million in outstanding shares. This repurchase authorization allows the real estate investment trust to reacquire up to 6.1% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s management believes its stock is undervalued.

Insider Activity at Starwood Property Trust

In other news, Director Jeffrey G. Dishner sold 7,013 shares of the firm’s stock in a transaction on Wednesday, April 1st. The shares were sold at an average price of $17.13, for a total value of $120,132.69. Following the transaction, the director owned 168,152 shares of the company’s stock, valued at approximately $2,880,443.76. This trade represents a 4.00% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Corporate insiders own 5.80% of the company’s stock.

Institutional Investors Weigh In On Starwood Property Trust

Large investors have recently added to or reduced their stakes in the company. MassMutual Private Wealth & Trust FSB grew its holdings in Starwood Property Trust by 106.1% during the 4th quarter. MassMutual Private Wealth & Trust FSB now owns 1,449 shares of the real estate investment trust’s stock valued at $26,000 after purchasing an additional 746 shares in the last quarter. CENTRAL TRUST Co grew its holdings in Starwood Property Trust by 154.4% during the 4th quarter. CENTRAL TRUST Co now owns 1,496 shares of the real estate investment trust’s stock valued at $27,000 after purchasing an additional 908 shares in the last quarter. Los Angeles Capital Management LLC acquired a new stake in Starwood Property Trust during the 4th quarter valued at $28,000. Jackson Grant Investment Advisers Inc. acquired a new stake in Starwood Property Trust during the 3rd quarter valued at $29,000. Finally, FNY Investment Advisers LLC acquired a new stake in Starwood Property Trust during the 3rd quarter valued at $30,000. 49.82% of the stock is owned by institutional investors and hedge funds.

About Starwood Property Trust

Starwood Property Trust (NYSE: STWD) is a publicly traded real estate investment trust that specializes in originating, acquiring and managing commercial mortgage loans and other real estate-related investments. The company’s portfolio spans a variety of asset classes, including senior mortgages, mezzanine debt, preferred equity and direct equity investments in commercial properties. By focusing on both debt and equity capital solutions, Starwood Property Trust seeks to generate attractive risk-adjusted returns for its shareholders through a combination of current income and capital appreciation.

Operating primarily in the United States, Starwood Property Trust deploys capital across a broad range of property types, such as multifamily residential, office, retail, hotel and industrial.