Service Properties Trust (NASDAQ:SVC) Posts Earnings Results, Beats Estimates By $0.63 EPS

Service Properties Trust (NASDAQ:SVCGet Free Report) released its quarterly earnings results on Wednesday. The real estate investment trust reported $0.43 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.20) by $0.63, Zacks reports. Service Properties Trust had a negative return on equity of 38.18% and a negative net margin of 13.59%.The business had revenue of $420.97 million during the quarter, compared to the consensus estimate of $403.53 million. Service Properties Trust updated its FY 2026 guidance to 1.200-1.350 EPS.

Service Properties Trust Trading Up 7.2%

Shares of Service Properties Trust stock traded up $0.57 during mid-day trading on Thursday, hitting $8.45. 3,451,103 shares of the stock were exchanged, compared to its average volume of 1,569,271. Service Properties Trust has a twelve month low of $5.65 and a twelve month high of $15.05. The stock has a market capitalization of $1.09 billion, a price-to-earnings ratio of -1.19 and a beta of 1.67. The company has a 50-day simple moving average of $8.42 and a 200 day simple moving average of $8.93. The company has a current ratio of 0.01, a quick ratio of 0.01 and a debt-to-equity ratio of 4.56.

Service Properties Trust Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, August 13th. Shareholders of record on Monday, July 20th will be issued a $0.05 dividend. This is a positive change from Service Properties Trust’s previous quarterly dividend of $0.05. The ex-dividend date is Monday, July 20th. This represents a $0.20 dividend on an annualized basis and a yield of 2.4%. Service Properties Trust’s payout ratio is currently -2.82%.

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on SVC shares. LADENBURG THALM/SH SH initiated coverage on shares of Service Properties Trust in a report on Tuesday, June 30th. They set a “buy” rating and a $11.25 target price for the company. Odeon Capital Group started coverage on shares of Service Properties Trust in a report on Friday, May 8th. They issued a “buy” rating and a $17.50 price target on the stock. Weiss Ratings upgraded shares of Service Properties Trust from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Wednesday, July 29th. Zacks Research cut shares of Service Properties Trust from a “hold” rating to a “strong sell” rating in a research note on Tuesday, July 7th. Finally, Wall Street Zen lowered Service Properties Trust from a “hold” rating to a “sell” rating in a research note on Saturday, May 9th. Three analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $12.81.

Get Our Latest Stock Report on Service Properties Trust

Hedge Funds Weigh In On Service Properties Trust

Institutional investors and hedge funds have recently modified their holdings of the company. Charles Schwab Investment Management Inc. boosted its position in Service Properties Trust by 1.6% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 8,693,982 shares of the real estate investment trust’s stock worth $15,997,000 after acquiring an additional 136,283 shares during the last quarter. Goldman Sachs Group Inc. lifted its stake in shares of Service Properties Trust by 8.9% during the 4th quarter. Goldman Sachs Group Inc. now owns 6,810,031 shares of the real estate investment trust’s stock worth $12,530,000 after purchasing an additional 553,942 shares during the period. Susquehanna Advisors Group Inc. lifted its stake in shares of Service Properties Trust by 17.4% during the 4th quarter. Susquehanna Advisors Group Inc. now owns 6,014,299 shares of the real estate investment trust’s stock worth $11,066,000 after purchasing an additional 892,880 shares during the period. Geode Capital Management LLC boosted its holdings in shares of Service Properties Trust by 0.6% during the fourth quarter. Geode Capital Management LLC now owns 4,221,659 shares of the real estate investment trust’s stock worth $7,769,000 after purchasing an additional 26,994 shares during the last quarter. Finally, Silver Point Capital L.P. boosted its holdings in shares of Service Properties Trust by 93.3% during the fourth quarter. Silver Point Capital L.P. now owns 3,439,000 shares of the real estate investment trust’s stock worth $6,328,000 after purchasing an additional 1,660,000 shares during the last quarter. Hedge funds and other institutional investors own 77.62% of the company’s stock.

About Service Properties Trust

(Get Free Report)

Service Properties Trust (NASDAQ: SVC) is a real estate investment trust (REIT) specializing in the acquisition, ownership and leasing of service-oriented properties, with a primary focus on the lodging sector. The company structures long-term, triple-net leases with established hotel operators under franchise agreements with leading global brands. By partnering with recognized hotel companies, Service Properties Trust seeks to generate a stable income stream through rent payments, while offering operators the capital and balance-sheet flexibility to grow their portfolios.

Since its formation in 2010, Service Properties Trust has grown its portfolio through strategic sale-leaseback transactions, targeted property acquisitions and selective dispositions.

See Also

Earnings History for Service Properties Trust (NASDAQ:SVC)

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