DiamondRock Hospitality (NYSE:DRH) Sees Large Volume Increase Following Dividend Announcement

Shares of DiamondRock Hospitality (NYSE:DRH) saw unusually-high trading volume on Tuesday after the company announced a dividend. Approximately 7,488,613 shares traded hands during trading, an increase of 289% from the previous session’s volume of 1,923,925 shares.The stock last traded at $9.75 and had previously closed at $9.63.

The newly announced dividend which will be paid on Tuesday, January 14th. Stockholders of record on Tuesday, December 31st will be paid a dividend of $0.32 per share. The ex-dividend date is Tuesday, December 31st. This is an increase from DiamondRock Hospitality’s previous quarterly dividend of $0.03. This represents a $1.28 dividend on an annualized basis and a dividend yield of 13.24%. DiamondRock Hospitality’s dividend payout ratio (DPR) is currently 42.86%.

Analysts Set New Price Targets

Several equities research analysts have weighed in on DRH shares. Wells Fargo & Company raised their target price on shares of DiamondRock Hospitality from $10.00 to $10.50 and gave the company an “equal weight” rating in a research note on Monday. Evercore ISI downgraded shares of DiamondRock Hospitality from an “outperform” rating to an “inline” rating and set a $10.50 target price for the company. in a research note on Friday, November 15th. Stifel Nicolaus downgraded shares of DiamondRock Hospitality from a “buy” rating to a “hold” rating and lowered their target price for the company from $10.75 to $10.25 in a research note on Friday, November 22nd. StockNews.com upgraded shares of DiamondRock Hospitality from a “sell” rating to a “hold” rating in a research note on Tuesday, November 12th. Finally, Truist Financial lowered their price objective on shares of DiamondRock Hospitality from $11.00 to $10.00 and set a “hold” rating for the company in a research note on Wednesday, September 4th. Four equities research analysts have rated the stock with a hold rating and two have issued a buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $10.38.

DiamondRock Hospitality Stock Down 0.6 %

The company has a debt-to-equity ratio of 0.66, a current ratio of 1.73 and a quick ratio of 1.73. The business’s fifty day simple moving average is $9.08 and its two-hundred day simple moving average is $8.64. The company has a market cap of $2.01 billion, a PE ratio of 34.54, a PEG ratio of 5.58 and a beta of 1.60.

Institutional Trading of DiamondRock Hospitality

Institutional investors and hedge funds have recently modified their holdings of the stock. MQS Management LLC purchased a new stake in shares of DiamondRock Hospitality during the second quarter worth about $480,000. Millennium Management LLC purchased a new stake in shares of DiamondRock Hospitality during the second quarter worth about $15,118,000. Holocene Advisors LP purchased a new stake in shares of DiamondRock Hospitality during the third quarter worth about $568,000. Systematic Financial Management LP increased its stake in shares of DiamondRock Hospitality by 8.9% during the third quarter. Systematic Financial Management LP now owns 1,599,730 shares of the real estate investment trust’s stock worth $13,966,000 after purchasing an additional 130,507 shares in the last quarter. Finally, Intech Investment Management LLC increased its stake in shares of DiamondRock Hospitality by 199.2% during the third quarter. Intech Investment Management LLC now owns 82,739 shares of the real estate investment trust’s stock worth $722,000 after purchasing an additional 55,086 shares in the last quarter.

DiamondRock Hospitality Company Profile

DiamondRock Hospitality Company is a self-advised real estate investment trust (REIT) that is an owner of a leading portfolio of geographically diversified hotels concentrated in leisure destinations and top gateway markets. The Company currently owns 36 premium quality hotels with over 9,700 rooms. The Company has strategically positioned its portfolio to be operated both under leading global brand families as well as independent boutique hotels in the lifestyle segment.