Zacks Investment Research Lowers Hospitality Properties Trust (HPT) to Strong Sell
According to Zacks, “Hospitality Properties Trust is a real estate investment trust. The company owns and leases hotels to unaffiliated hotel operators. The company’s principal strategy is to expand its investments in hotels and to set minimum rents which produce income in excess of the company’s cost of raising capital. The company seeks to provide capital to unaffiliated hotel operators who wish to divest their properties while remaining in the hotel business as tenants and in doing so, ensure stability of cash flow through dependable and diversified revenue sources. “
HPT has been the subject of a number of other reports. FBR & Co downgraded Hospitality Properties Trust from an outperform rating to a market perform rating and increased their price objective for the stock from $31.00 to $32.00 in a report on Wednesday, August 10th. They noted that the move was a valuation call. Canaccord Genuity reiterated a hold rating and set a $33.00 price objective on shares of Hospitality Properties Trust in a report on Wednesday, August 10th. Two research analysts have rated the stock with a sell rating, three have assigned a hold rating and two have given a buy rating to the company. The stock currently has an average rating of Hold and an average target price of $29.50.
Hospitality Properties Trust (NYSE:HPT) opened at 29.04 on Tuesday. The company has a market capitalization of $4.40 billion, a P/E ratio of 34.04 and a beta of 1.11. Hospitality Properties Trust has a 12 month low of $20.69 and a 12 month high of $32.32. The firm has a 50-day moving average price of $29.43 and a 200 day moving average price of $28.42.
Hospitality Properties Trust (NYSE:HPT) last announced its quarterly earnings results on Tuesday, August 9th. The real estate investment trust reported $1.09 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.05 by $0.04. The business earned $550.30 million during the quarter, compared to the consensus estimate of $544 million. During the same quarter last year, the company earned $0.99 earnings per share. The firm’s revenue was up 8.5% compared to the same quarter last year. Analysts expect that Hospitality Properties Trust will post $3.60 EPS for the current year.
The company also recently declared a quarterly dividend, which will be paid on Thursday, November 17th. Investors of record on Friday, October 21st will be issued a dividend of $0.51 per share. The ex-dividend date is Wednesday, October 19th. This represents a $2.04 annualized dividend and a yield of 7.02%. Hospitality Properties Trust’s payout ratio is currently 196.16%.
A number of hedge funds have recently added to or reduced their stakes in HPT. RS Investment Management Co. LLC purchased a new stake in Hospitality Properties Trust during the second quarter valued at $131,000. Independent Portfolio Consultants Inc. boosted its stake in Hospitality Properties Trust by 0.3% in the second quarter. Independent Portfolio Consultants Inc. now owns 5,240 shares of the real estate investment trust’s stock valued at $151,000 after buying an additional 15 shares during the last quarter. NEXT Financial Group Inc boosted its stake in Hospitality Properties Trust by 2.1% in the second quarter. NEXT Financial Group Inc now owns 5,481 shares of the real estate investment trust’s stock valued at $157,000 after buying an additional 113 shares during the last quarter. Daiwa Securities Group Inc. boosted its stake in Hospitality Properties Trust by 1.9% in the second quarter. Daiwa Securities Group Inc. now owns 5,500 shares of the real estate investment trust’s stock valued at $158,000 after buying an additional 100 shares during the last quarter. Finally, Creative Planning boosted its stake in Hospitality Properties Trust by 12.3% in the second quarter. Creative Planning now owns 6,400 shares of the real estate investment trust’s stock valued at $184,000 after buying an additional 700 shares during the last quarter.
About Hospitality Properties Trust
Hospitality Properties Trust is a real estate investment trust. The Company owns approximately 300 hotels with over 45,860 rooms or suites, and approximately 190 travel centers. The Company’s segments include hotel investments, travel center investments and corporate. The Company’s properties are located in approximately 50 states in the United States, Canada and Puerto Rico.
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