Service Properties Trust (NASDAQ:SVC) Announces $0.20 Quarterly Dividend

Service Properties Trust (NASDAQ:SVC) declared a quarterly dividend on Thursday, April 11th, Zacks reports. Shareholders of record on Monday, April 22nd will be given a dividend of 0.20 per share by the real estate investment trust on Thursday, May 16th. This represents a $0.80 dividend on an annualized basis and a yield of 13.11%. The ex-dividend date is Friday, April 19th.

Service Properties Trust has increased its dividend payment by an average of 12.0% per year over the last three years. Service Properties Trust has a payout ratio of -109.6% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities analysts expect Service Properties Trust to earn $1.60 per share next year, which means the company should continue to be able to cover its $0.80 annual dividend with an expected future payout ratio of 50.0%.

Service Properties Trust Stock Performance

Shares of Service Properties Trust stock opened at $6.10 on Thursday. Service Properties Trust has a 12-month low of $6.09 and a 12-month high of $9.68. The company has a current ratio of 0.09, a quick ratio of 0.09 and a debt-to-equity ratio of 3.26. The business’s 50 day moving average is $6.88 and its 200-day moving average is $7.41.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on the stock. Wells Fargo & Company decreased their price objective on shares of Service Properties Trust from $7.50 to $5.75 and set an “underweight” rating for the company in a research report on Thursday, March 21st. B. Riley reduced their target price on Service Properties Trust from $12.00 to $10.00 and set a “buy” rating for the company in a research note on Monday, March 4th.

Institutional Trading of Service Properties Trust

A number of hedge funds have recently modified their holdings of SVC. JPMorgan Chase & Co. increased its stake in shares of Service Properties Trust by 16.4% during the first quarter. JPMorgan Chase & Co. now owns 1,043,522 shares of the real estate investment trust’s stock worth $9,214,000 after purchasing an additional 146,822 shares during the period. Raymond James Financial Services Advisors Inc. lifted its holdings in shares of Service Properties Trust by 330.2% during the first quarter. Raymond James Financial Services Advisors Inc. now owns 170,481 shares of the real estate investment trust’s stock worth $1,505,000 after buying an additional 130,851 shares in the last quarter. PNC Financial Services Group Inc. boosted its position in shares of Service Properties Trust by 30.7% in the first quarter. PNC Financial Services Group Inc. now owns 12,699 shares of the real estate investment trust’s stock valued at $112,000 after acquiring an additional 2,982 shares during the period. Bank of Montreal Can grew its stake in shares of Service Properties Trust by 17.8% in the first quarter. Bank of Montreal Can now owns 65,201 shares of the real estate investment trust’s stock valued at $587,000 after acquiring an additional 9,855 shares in the last quarter. Finally, MetLife Investment Management LLC increased its position in Service Properties Trust by 49.7% during the first quarter. MetLife Investment Management LLC now owns 80,220 shares of the real estate investment trust’s stock worth $708,000 after acquiring an additional 26,633 shares during the period. Institutional investors and hedge funds own 77.62% of the company’s stock.

Service Properties Trust Company Profile

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.