Sunstone Hotel Investors (NYSE:SHO) Downgraded by Zacks Research to “Hold”

Sunstone Hotel Investors (NYSE:SHO) was downgraded by research analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a report released on Thursday,Zacks.com reports.

Other equities analysts have also recently issued reports about the stock. Weiss Ratings restated a “hold (c)” rating on shares of Sunstone Hotel Investors in a research report on Friday, July 10th. Wells Fargo & Company lifted their price target on shares of Sunstone Hotel Investors from $12.00 to $13.00 and gave the stock an “overweight” rating in a report on Wednesday, June 24th. LADENBURG THALM/SH SH assumed coverage on shares of Sunstone Hotel Investors in a research note on Thursday, March 26th. They issued a “hold” rating and a $10.00 price objective on the stock. Citigroup increased their price objective on Sunstone Hotel Investors from $9.50 to $10.00 and gave the company a “neutral” rating in a report on Wednesday, May 6th. Finally, JPMorgan Chase & Co. raised their target price on Sunstone Hotel Investors from $9.00 to $10.00 and gave the stock an “underweight” rating in a research report on Tuesday. Two equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of “Hold” and an average target price of $10.71.

Sunstone Hotel Investors Stock Performance

NYSE:SHO opened at $11.74 on Thursday. The stock’s 50-day moving average is $11.35 and its 200-day moving average is $10.06. Sunstone Hotel Investors has a 1-year low of $8.48 and a 1-year high of $12.07. The company has a current ratio of 3.42, a quick ratio of 3.42 and a debt-to-equity ratio of 0.58. The stock has a market cap of $2.19 billion, a P/E ratio of 106.78, a price-to-earnings-growth ratio of 2.57 and a beta of 0.97.

Sunstone Hotel Investors (NYSE:SHO) last issued its quarterly earnings data on Tuesday, May 5th. The real estate investment trust reported $0.27 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.22 by $0.05. Sunstone Hotel Investors had a net margin of 3.84% and a return on equity of 2.27%. The business had revenue of $259.71 million during the quarter, compared to analyst estimates of $244.29 million. During the same quarter last year, the business earned $0.21 EPS. The firm’s quarterly revenue was up 10.9% on a year-over-year basis. Sunstone Hotel Investors has set its FY 2026 guidance at 0.880-0.960 EPS. Equities research analysts anticipate that Sunstone Hotel Investors will post 0.89 earnings per share for the current year.

Insider Activity at Sunstone Hotel Investors

In other news, insider Robert C. Springer sold 89,631 shares of the company’s stock in a transaction on Wednesday, June 24th. The shares were sold at an average price of $11.62, for a total value of $1,041,512.22. Following the sale, the insider directly owned 573,743 shares of the company’s stock, valued at approximately $6,666,893.66. This represents a 13.51% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Corporate insiders own 1.40% of the company’s stock.

Institutional Trading of Sunstone Hotel Investors

A number of large investors have recently bought and sold shares of the business. Mirae Asset Global Investments Co. Ltd. grew its stake in Sunstone Hotel Investors by 27.4% during the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 5,274 shares of the real estate investment trust’s stock worth $47,000 after purchasing an additional 1,135 shares during the period. California State Teachers Retirement System increased its holdings in Sunstone Hotel Investors by 0.7% in the second quarter. California State Teachers Retirement System now owns 178,604 shares of the real estate investment trust’s stock worth $1,550,000 after purchasing an additional 1,170 shares in the last quarter. Royal Bank of Canada lifted its stake in Sunstone Hotel Investors by 1.2% in the first quarter. Royal Bank of Canada now owns 103,294 shares of the real estate investment trust’s stock valued at $931,000 after buying an additional 1,204 shares during the period. AQR Capital Management LLC lifted its stake in Sunstone Hotel Investors by 1.6% in the first quarter. AQR Capital Management LLC now owns 83,864 shares of the real estate investment trust’s stock valued at $789,000 after buying an additional 1,307 shares during the period. Finally, Barclays PLC boosted its holdings in shares of Sunstone Hotel Investors by 0.7% during the 4th quarter. Barclays PLC now owns 308,643 shares of the real estate investment trust’s stock worth $2,759,000 after buying an additional 2,011 shares in the last quarter. 99.37% of the stock is currently owned by institutional investors and hedge funds.

About Sunstone Hotel Investors

Sunstone Hotel Investors, Inc (NYSE:SHO) is a publicly traded real estate investment trust (REIT) focused on acquiring, owning and asset‐managing upper‐upscale extended‐stay and premium‐branded hotel properties in the United States. The company’s business model centers on generating stable, long‐term cash flows through franchise agreements and third‐party management contracts with established hotel operators.

As of the most recent reporting period, Sunstone’s portfolio includes approximately 97 hotels and nearly 25,000 guest rooms across 19 states, with concentrations in major metropolitan and select high‐growth secondary markets.