DiamondRock Hospitality (NYSE:DRH) Posts Quarterly Earnings Results, Beats Expectations By $0.03 EPS

DiamondRock Hospitality (NYSE:DRH) announced its quarterly earnings data on Thursday. The real estate investment trust reported $0.27 earnings per share for the quarter, beating analysts’ consensus estimates of $0.24 by $0.03, Briefing.com reports. DiamondRock Hospitality had a net margin of 5.69% and a return on equity of 4.04%. The firm’s revenue for the quarter was down 1.6% on a year-over-year basis. During the same quarter last year, the business posted $0.24 earnings per share. DiamondRock Hospitality updated its FY 2026 guidance to 1.090-1.160 EPS.

DiamondRock Hospitality Stock Performance

Shares of DRH stock traded up $0.28 during trading hours on Thursday, hitting $10.33. The company’s stock had a trading volume of 4,108,522 shares, compared to its average volume of 3,011,850. The stock has a market cap of $2.10 billion, a PE ratio of 41.32, a price-to-earnings-growth ratio of 4.50 and a beta of 1.03. DiamondRock Hospitality has a 12-month low of $6.18 and a 12-month high of $10.34. The company has a 50 day moving average of $9.45 and a 200 day moving average of $8.74. The company has a current ratio of 1.64, a quick ratio of 1.64 and a debt-to-equity ratio of 0.70.

DiamondRock Hospitality Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, January 14th. Stockholders of record on Wednesday, December 31st were issued a $0.08 dividend. This represents a $0.32 annualized dividend and a dividend yield of 3.1%. The ex-dividend date of this dividend was Wednesday, December 31st. DiamondRock Hospitality’s dividend payout ratio is 128.00%.

Institutional Investors Weigh In On DiamondRock Hospitality

Hedge funds have recently added to or reduced their stakes in the business. Danske Bank A S purchased a new stake in DiamondRock Hospitality in the 3rd quarter worth approximately $33,000. Global Retirement Partners LLC increased its position in shares of DiamondRock Hospitality by 12,114.7% in the fourth quarter. Global Retirement Partners LLC now owns 4,153 shares of the real estate investment trust’s stock valued at $37,000 after buying an additional 4,119 shares in the last quarter. State of Wyoming purchased a new stake in shares of DiamondRock Hospitality in the second quarter valued at approximately $58,000. Smartleaf Asset Management LLC raised its stake in shares of DiamondRock Hospitality by 33.8% during the 2nd quarter. Smartleaf Asset Management LLC now owns 9,294 shares of the real estate investment trust’s stock worth $72,000 after buying an additional 2,349 shares during the period. Finally, United Services Automobile Association purchased a new position in shares of DiamondRock Hospitality during the 1st quarter valued at approximately $91,000.

Analyst Upgrades and Downgrades

A number of brokerages recently commented on DRH. Barclays began coverage on shares of DiamondRock Hospitality in a research note on Tuesday, January 6th. They issued an “equal weight” rating and a $10.00 price objective for the company. Evercore boosted their price target on DiamondRock Hospitality from $9.00 to $10.00 and gave the stock an “in-line” rating in a research report on Thursday, November 20th. Truist Financial upgraded DiamondRock Hospitality from a “hold” rating to a “buy” rating and upped their price objective for the stock from $10.00 to $11.00 in a research note on Friday, January 9th. Deutsche Bank Aktiengesellschaft upgraded DiamondRock Hospitality from a “hold” rating to a “buy” rating and lifted their target price for the company from $10.00 to $12.00 in a research note on Tuesday, January 13th. Finally, Wells Fargo & Company boosted their target price on shares of DiamondRock Hospitality from $9.00 to $10.00 and gave the stock an “equal weight” rating in a report on Monday, December 1st. Three investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus target price of $9.91.

About DiamondRock Hospitality

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.