DiamondRock Hospitality (NYSE:DRH) Hits New 1-Year High – Time to Buy?

Shares of DiamondRock Hospitality Company (NYSE:DRH) reached a new 52-week high on Tuesday . The company traded as high as $9.83 and last traded at $9.8050, with a volume of 677916 shares traded. The stock had previously closed at $9.53.

Analysts Set New Price Targets

A number of research analysts have recently commented on the stock. Morgan Stanley cut their price target on shares of DiamondRock Hospitality from $9.00 to $8.50 and set an “equal weight” rating on the stock in a report on Wednesday, October 22nd. Wells Fargo & Company upped their target price on shares of DiamondRock Hospitality from $9.00 to $10.00 and gave the stock an “equal weight” rating in a research note on Monday, December 1st. Evercore lifted their price target on shares of DiamondRock Hospitality from $9.00 to $10.00 and gave the company an “in-line” rating in a research note on Thursday, November 20th. Deutsche Bank Aktiengesellschaft raised DiamondRock Hospitality from a “hold” rating to a “buy” rating and increased their price objective for the stock from $10.00 to $12.00 in a research note on Tuesday, January 13th. Finally, Barclays initiated coverage on DiamondRock Hospitality in a report on Tuesday, January 6th. They set an “equal weight” rating and a $10.00 price objective on the stock. Three equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $9.91.

DiamondRock Hospitality Stock Performance

The firm’s fifty day moving average price is $9.20 and its 200 day moving average price is $8.55. The firm has a market cap of $2.02 billion, a P/E ratio of 39.62, a price-to-earnings-growth ratio of 4.50 and a beta of 1.03. The company has a debt-to-equity ratio of 0.70, a quick ratio of 1.64 and a current ratio of 1.64.

DiamondRock Hospitality Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, January 14th. Shareholders of record on Wednesday, December 31st were issued a dividend of $0.08 per share. The ex-dividend date was Wednesday, December 31st. This represents a $0.32 dividend on an annualized basis and a yield of 3.2%. DiamondRock Hospitality’s dividend payout ratio is currently 128.00%.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the stock. JPMorgan Chase & Co. boosted its position in DiamondRock Hospitality by 106.3% during the second quarter. JPMorgan Chase & Co. now owns 5,412,002 shares of the real estate investment trust’s stock valued at $41,456,000 after purchasing an additional 2,788,022 shares in the last quarter. SG Americas Securities LLC grew its stake in DiamondRock Hospitality by 881.7% during the 4th quarter. SG Americas Securities LLC now owns 2,024,790 shares of the real estate investment trust’s stock valued at $18,142,000 after purchasing an additional 1,818,527 shares during the last quarter. Qube Research & Technologies Ltd increased its holdings in shares of DiamondRock Hospitality by 469.0% in the third quarter. Qube Research & Technologies Ltd now owns 2,002,863 shares of the real estate investment trust’s stock valued at $15,943,000 after purchasing an additional 1,650,871 shares during the period. Bank of America Corp DE raised its stake in shares of DiamondRock Hospitality by 17.5% in the second quarter. Bank of America Corp DE now owns 9,231,991 shares of the real estate investment trust’s stock worth $70,717,000 after purchasing an additional 1,377,897 shares during the last quarter. Finally, Hudson Bay Capital Management LP acquired a new stake in shares of DiamondRock Hospitality during the third quarter worth about $9,098,000.

About DiamondRock Hospitality

DiamondRock Hospitality Company is a real estate investment trust (REIT) that acquires, owns and manages a diversified portfolio of upscale, full-service hotels in urban gateway markets across the United States. Established in 2004 and headquartered in Bethesda, Maryland, the company focuses on investing in high-quality lodging properties that cater to both business and leisure travelers. Its assets are positioned in key metropolitan areas, enabling DiamondRock to benefit from strong demand drivers such as corporate travel, group conventions and resort leisure stays.

The company’s portfolio includes full-service hotels offering a broad range of amenities, including guest rooms, on-site food and beverage outlets, meeting and event space, fitness centers and spa services.