Service Properties Trust (NASDAQ:SVC) Trading Down 4.5% – What’s Next?

Service Properties Trust (NASDAQ:SVC) shares fell 4.5% during mid-day trading on Thursday . The stock traded as low as $3.76 and last traded at $3.80. 95,217 shares traded hands during mid-day trading, a decline of 92% from the average session volume of 1,122,806 shares. The stock had previously closed at $3.98.

Analyst Ratings Changes

Several research firms have issued reports on SVC. Wells Fargo & Company dropped their price target on Service Properties Trust from $5.00 to $4.00 and set an “underweight” rating on the stock in a research note on Friday, September 13th. B. Riley lowered their target price on Service Properties Trust from $9.00 to $8.00 and set a “buy” rating on the stock in a research report on Friday, August 9th.

Service Properties Trust Trading Down 4.3 %

The company has a debt-to-equity ratio of 3.98, a current ratio of 0.01 and a quick ratio of 0.01. The business has a 50-day moving average of $4.63 and a 200-day moving average of $5.29. The firm has a market cap of $631.55 million, a price-to-earnings ratio of -4.49 and a beta of 2.20.

Service Properties Trust (NASDAQ:SVC) last released its earnings results on Tuesday, August 6th. The real estate investment trust reported ($0.45) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.49 by ($0.94). The company had revenue of $512.95 million during the quarter, compared to analyst estimates of $509.33 million. Service Properties Trust had a negative net margin of 10.56% and a negative return on equity of 17.17%. During the same period in the prior year, the firm posted $0.58 EPS. Research analysts anticipate that Service Properties Trust will post 1.21 EPS for the current year.

Service Properties Trust Cuts Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, November 14th. Shareholders of record on Monday, October 28th will be given a dividend of $0.01 per share. This represents a $0.04 dividend on an annualized basis and a yield of 1.05%. The ex-dividend date is Monday, October 28th. Service Properties Trust’s dividend payout ratio (DPR) is presently -95.24%.

Hedge Funds Weigh In On Service Properties Trust

A number of institutional investors have recently bought and sold shares of SVC. FinTrust Capital Advisors LLC boosted its holdings in shares of Service Properties Trust by 137.9% during the first quarter. FinTrust Capital Advisors LLC now owns 5,928 shares of the real estate investment trust’s stock worth $40,000 after acquiring an additional 3,436 shares during the period. Xponance Inc. bought a new stake in shares of Service Properties Trust during the second quarter worth approximately $53,000. Choreo LLC bought a new stake in shares of Service Properties Trust during the second quarter worth approximately $54,000. Sequoia Financial Advisors LLC bought a new stake in shares of Service Properties Trust during the second quarter worth approximately $68,000. Finally, Family Wealth Partners LLC bought a new stake in shares of Service Properties Trust during the third quarter worth approximately $69,000. Institutional investors and hedge funds own 77.62% of the company’s stock.

About Service Properties Trust

Service Properties Trust (Nasdaq: SVC) is a real estate investment trust with over $11 billion invested in two asset categories: hotels and service-focused retail net lease properties. As of December 31, 2023, SVC owned 221 hotels with over 37,000 guest rooms throughout the United States and in Puerto Rico and Canada, the majority of which are extended stay and select service.