LADENBURG THALM/SH SH Initiates Coverage on Service Properties Trust (NASDAQ:SVC)

Investment analysts at LADENBURG THALM/SH SH began coverage on shares of Service Properties Trust (NASDAQ:SVC) in a report issued on Tuesday. The brokerage set a “buy” rating and a $2.25 price target on the real estate investment trust’s stock. LADENBURG THALM/SH SH’s target price indicates a potential upside of 33.93% from the company’s previous close.

SVC has been the topic of several other reports. Weiss Ratings lowered shares of Service Properties Trust from a “sell (d-)” rating to a “sell (e+)” rating in a report on Tuesday, May 26th. B. Riley Financial raised their target price on Service Properties Trust from $2.00 to $2.50 and gave the stock a “buy” rating in a research note on Wednesday, June 17th. Odeon Capital Group began coverage on Service Properties Trust in a research report on Friday, May 8th. They set a “buy” rating and a $3.50 price objective for the company. Finally, Wall Street Zen lowered shares of Service Properties Trust from a “hold” rating to a “sell” rating in a report on Saturday, May 9th. Three research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $2.56.

Service Properties Trust Price Performance

Service Properties Trust stock opened at $1.68 on Tuesday. The company has a fifty day simple moving average of $1.64 and a 200-day simple moving average of $1.83. The firm has a market capitalization of $1.09 billion, a price-to-earnings ratio of -1.18 and a beta of 1.65. The company has a quick ratio of 0.01, a current ratio of 0.01 and a debt-to-equity ratio of 4.56. Service Properties Trust has a 52-week low of $1.13 and a 52-week high of $3.08.

Shares of Service Properties Trust are scheduled to reverse split before the market opens on Tuesday, July 7th. The 1-5 reverse split was recently announced. The number of shares owned by shareholders will be adjusted after the closing bell on Monday, July 6th.

Service Properties Trust (NASDAQ:SVC) last issued its earnings results on Wednesday, May 6th. The real estate investment trust reported $0.04 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.36) by $0.40. Service Properties Trust had a negative return on equity of 38.18% and a negative net margin of 13.59%.The company had revenue of $364.45 million during the quarter, compared to analysts’ expectations of $347.82 million. Service Properties Trust has set its FY 2026 guidance at 0.240-0.270 EPS. On average, equities analysts anticipate that Service Properties Trust will post 0.25 EPS for the current fiscal year.

Insider Activity

In other news, CFO Brian E. Donley bought 55,000 shares of Service Properties Trust stock in a transaction that occurred on Thursday, April 2nd. The shares were purchased at an average price of $1.20 per share, with a total value of $66,000.00. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Christopher J. Bilotto acquired 100,000 shares of the company’s stock in a transaction on Thursday, April 2nd. The stock was purchased at an average cost of $1.20 per share, for a total transaction of $120,000.00. The disclosure for this purchase is available in the SEC filing. Insiders have bought a total of 41,914,999 shares of company stock valued at $50,297,999 over the last three months. 1.57% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Service Properties Trust

Hedge funds have recently added to or reduced their stakes in the stock. Yorkville Advisors Global LP acquired a new position in shares of Service Properties Trust in the 1st quarter valued at $28,333,000. Lonestar Capital Management LLC purchased a new position in Service Properties Trust during the 3rd quarter worth approximately $7,412,000. Goldman Sachs Group Inc. lifted its stake in Service Properties Trust by 114.8% in the first quarter. Goldman Sachs Group Inc. now owns 4,118,530 shares of the real estate investment trust’s stock valued at $10,749,000 after buying an additional 2,200,754 shares during the last quarter. Silver Point Capital L.P. grew its position 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 acquiring an additional 1,660,000 shares during the last quarter. Finally, Philosophy Capital Management LLC purchased a new stake in Service Properties Trust in the 3rd quarter valued at $3,838,000. 77.62% of the stock is currently owned by hedge funds and other institutional investors.

About Service Properties Trust

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.