Sunstone Hotel Investors, Inc. (NYSE:SHO) Announces Quarterly Dividend of $0.09

Sunstone Hotel Investors, Inc. (NYSE:SHO) announced a quarterly dividend on Wednesday, November 13th,Wall Street Journal reports. Shareholders of record on Tuesday, December 31st will be paid a dividend of 0.09 per share by the real estate investment trust on Wednesday, January 15th. This represents a $0.36 dividend on an annualized basis and a yield of 3.45%. The ex-dividend date is Tuesday, December 31st.

Sunstone Hotel Investors has increased its dividend by an average of 68.7% per year over the last three years. Sunstone Hotel Investors has a dividend payout ratio of 133.3% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect Sunstone Hotel Investors to earn $0.97 per share next year, which means the company should continue to be able to cover its $0.36 annual dividend with an expected future payout ratio of 37.1%.

Sunstone Hotel Investors Stock Down 0.7 %

Shares of SHO stock traded down $0.07 on Wednesday, reaching $10.44. 3,007,017 shares of the company were exchanged, compared to its average volume of 2,046,711. The company has a market cap of $2.12 billion, a price-to-earnings ratio of 13.91, a PEG ratio of 6.11 and a beta of 1.25. The company has a 50-day moving average of $10.33 and a 200-day moving average of $10.25. The company has a debt-to-equity ratio of 0.44, a current ratio of 2.98 and a quick ratio of 3.75. Sunstone Hotel Investors has a one year low of $9.39 and a one year high of $11.59.

Sunstone Hotel Investors (NYSE:SHO) last released its quarterly earnings data on Tuesday, November 12th. The real estate investment trust reported $0.18 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.20 by ($0.02). Sunstone Hotel Investors had a return on equity of 9.04% and a net margin of 18.61%. The company had revenue of $226.40 million for the quarter, compared to the consensus estimate of $224.61 million. During the same period last year, the company earned $0.23 EPS. Sunstone Hotel Investors’s revenue for the quarter was down 8.6% compared to the same quarter last year. Analysts anticipate that Sunstone Hotel Investors will post 0.85 earnings per share for the current year.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on SHO. StockNews.com lowered shares of Sunstone Hotel Investors from a “hold” rating to a “sell” rating in a report on Thursday, August 1st. Wells Fargo & Company upgraded shares of Sunstone Hotel Investors from an “underweight” rating to an “equal weight” rating and set a $10.50 price objective for the company in a research note on Friday, September 13th. One investment analyst has rated the stock with a sell rating, four have issued a hold rating, two have given a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, Sunstone Hotel Investors presently has an average rating of “Hold” and an average price target of $11.42.

Sunstone Hotel Investors Company Profile

Sunstone Hotel Investors, Inc is a lodging real estate investment trust ("REIT") that as of the date of this release owns 14 hotels comprised of 6,675 rooms, the majority of which are operated under nationally recognized brands. Sunstone's strategy is to create long-term stakeholder value through the acquisition, active ownership, and disposition of well-located hotel and resort real estate.