First Trust Advisors LP Increases Position in Sunstone Hotel Investors, Inc. $SHO

First Trust Advisors LP increased its position in shares of Sunstone Hotel Investors, Inc. (NYSE:SHO) by 45.9% during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 287,089 shares of the real estate investment trust’s stock after purchasing an additional 90,324 shares during the period. First Trust Advisors LP owned 0.15% of Sunstone Hotel Investors worth $2,587,000 at the end of the most recent reporting period.

A number of other large investors also recently modified their holdings of SHO. Balyasny Asset Management L.P. purchased a new stake in Sunstone Hotel Investors in the 2nd quarter worth $41,332,000. Woodline Partners LP bought a new stake in Sunstone Hotel Investors during the third quarter valued at about $44,295,000. Alyeska Investment Group L.P. lifted its position in shares of Sunstone Hotel Investors by 86.8% in the fourth quarter. Alyeska Investment Group L.P. now owns 5,369,789 shares of the real estate investment trust’s stock valued at $48,006,000 after acquiring an additional 2,495,914 shares in the last quarter. SG Americas Securities LLC lifted its position in shares of Sunstone Hotel Investors by 1,899.5% in the first quarter. SG Americas Securities LLC now owns 2,244,427 shares of the real estate investment trust’s stock valued at $20,222,000 after acquiring an additional 2,132,180 shares in the last quarter. Finally, Goldman Sachs Group Inc. grew its position in shares of Sunstone Hotel Investors by 132.6% during the first quarter. Goldman Sachs Group Inc. now owns 2,787,519 shares of the real estate investment trust’s stock worth $26,231,000 after purchasing an additional 1,589,258 shares in the last quarter. Hedge funds and other institutional investors own 99.37% of the company’s stock.

Trending Headlines about Sunstone Hotel Investors

Here are the key news stories impacting Sunstone Hotel Investors this week:

• Positive Sentiment: Q2 results beat expectations: Sunstone reported EPS of $0.14 versus the $0.08 consensus estimate and revenue of $277.1 million versus expectations of $266.7 million. Net income increased to $26.0 million from $10.8 million a year earlier. Sunstone Hotel Q2 Earnings Snapshot
• Positive Sentiment: Funds from operations improved: Adjusted FFO rose 14.3% year over year to $0.32 per share, exceeding the $0.30 consensus estimate and supporting the REIT’s ability to maintain its dividend. Sunstone Hotel Investors Tops Q2 FFO and Revenue Estimates
• Positive Sentiment: 2026 guidance was raised: Management now expects full-year EPS of $0.93-$0.98, above the $0.91 analyst consensus. It also projects 2026 net income of $79 million-$89 million. Sunstone Hotel Investors Reports Second Quarter 2026 Results
• Positive Sentiment: Hotel fundamentals strengthened: Companywide RevPAR increased 9.3% to $263.61, while total RevPAR rose 7.7% to $434.00. Adjusted EBITDAre also increased 5.5% to $76.7 million.
• Positive Sentiment: Asset sale improved liquidity: Sunstone completed the $279 million sale of the Hyatt Regency San Francisco to Blackstone-affiliated funds, giving the hotel REIT additional capital flexibility.
• Neutral Sentiment: Dividend announcements: Sunstone declared its regular $0.09-per-share quarterly common dividend, payable October 15, and a $0.3562 dividend on its 5.70% Series I preferred stock. These reinforce shareholder returns but are not new earnings drivers.

Insiders Place Their Bets

In other Sunstone Hotel Investors news, insider Robert C. Springer sold 89,631 shares of the company’s stock in a transaction that occurred on Wednesday, June 24th. The stock was sold at an average price of $11.62, for a total transaction of $1,041,512.22. Following the sale, the insider directly owned 573,743 shares in the company, valued at $6,666,893.66. This represents a 13.51% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this link. 1.40% of the stock is owned by insiders.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on SHO. JPMorgan Chase & Co. lifted their target price on Sunstone Hotel Investors from $9.00 to $10.00 and gave the company an “underweight” rating in a research note on Tuesday, July 21st. Zacks Research lowered shares of Sunstone Hotel Investors from a “strong-buy” rating to a “hold” rating in a report on Thursday, July 23rd. Wells Fargo & Company upgraded shares of Sunstone Hotel Investors to a “strong-buy” rating in a research report on Thursday, July 23rd. Weiss Ratings reissued a “hold (c)” rating on shares of Sunstone Hotel Investors in a report on Friday, July 10th. Finally, Wall Street Zen lowered shares of Sunstone Hotel Investors from a “buy” rating to a “hold” rating in a research report on Saturday. One analyst has rated the stock with a Strong Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $10.67.

Sunstone Hotel Investors Price Performance

SHO stock opened at $11.11 on Friday. Sunstone Hotel Investors, Inc. has a 52 week low of $8.61 and a 52 week high of $12.07. The company has a quick ratio of 3.42, a current ratio of 7.01 and a debt-to-equity ratio of 0.59. The company has a fifty day simple moving average of $11.55 and a two-hundred day simple moving average of $10.22. The firm has a market capitalization of $2.07 billion, a P/E ratio of 50.52, a price-to-earnings-growth ratio of 2.30 and a beta of 0.97.

Sunstone Hotel Investors (NYSE:SHO) last issued its quarterly earnings data on Thursday, August 6th. The real estate investment trust reported $0.14 EPS for the quarter, topping analysts’ consensus estimates of $0.08 by $0.06. The business had revenue of $277.11 million during the quarter, compared to analysts’ expectations of $266.67 million. Sunstone Hotel Investors had a net margin of 5.30% and a return on equity of 3.21%. Sunstone Hotel Investors has set its FY 2026 guidance at 0.930-0.980 EPS. Analysts anticipate that Sunstone Hotel Investors, Inc. will post 0.97 earnings per share for the current fiscal year.

Sunstone Hotel Investors Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, October 15th. Shareholders of record on Wednesday, September 30th will be paid a dividend of $0.09 per share. This represents a $0.36 annualized dividend and a yield of 3.2%. The ex-dividend date of this dividend is Wednesday, September 30th. Sunstone Hotel Investors’s payout ratio is presently 327.27%.

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.