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

DiamondRock Hospitality Company (NYSE:DRH)’s share price reached a new 52-week high during mid-day trading on Friday . The stock traded as high as $11.66 and last traded at $11.6550, with a volume of 369757 shares. The stock had previously closed at $11.54.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on the stock. Citigroup raised their target price on shares of DiamondRock Hospitality from $9.50 to $11.00 and gave the stock a “neutral” rating in a report on Wednesday, May 6th. Morgan Stanley raised their price target on shares of DiamondRock Hospitality from $9.50 to $9.60 and gave the stock an “equal weight” rating in a research note on Tuesday, May 12th. Truist Financial raised their price target on shares of DiamondRock Hospitality from $11.00 to $12.00 and gave the stock a “buy” rating in a research note on Tuesday, May 26th. Barclays raised their price target on shares of DiamondRock Hospitality from $10.00 to $12.00 and gave the stock an “equal weight” rating in a research note on Monday. Finally, Stifel Nicolaus set a $12.25 price target on shares of DiamondRock Hospitality in a research note on Thursday. Three equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. Based on data from MarketBeat, DiamondRock Hospitality presently has an average rating of “Hold” and a consensus target price of $11.43.

DiamondRock Hospitality Stock Up 1.2%

The company has a current ratio of 1.64, a quick ratio of 1.64 and a debt-to-equity ratio of 0.70. The firm has a market cap of $2.39 billion, a PE ratio of 46.70, a P/E/G ratio of 4.50 and a beta of 1.00. The business’s 50-day simple moving average is $10.34 and its 200 day simple moving average is $9.70.

DiamondRock Hospitality Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, July 14th. Investors of record on Tuesday, June 30th will be paid a $0.09 dividend. The ex-dividend date is Tuesday, June 30th. This represents a $0.36 dividend on an annualized basis and a yield of 3.1%. DiamondRock Hospitality’s dividend payout ratio (DPR) is 76.60%.

Insider Buying and Selling

In related news, Director Michael A. Hartmeier sold 20,000 shares of DiamondRock Hospitality stock in a transaction that occurred on Wednesday, May 13th. The shares were sold at an average price of $10.46, for a total value of $209,200.00. Following the completion of the sale, the director directly owned 95,354 shares in the company, valued at $997,402.84. This trade represents a 17.34% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.90% of the stock is owned by company insiders.

Institutional Trading of DiamondRock Hospitality

Several institutional investors and hedge funds have recently bought and sold shares of DRH. Cohen & Steers Inc. acquired a new stake in DiamondRock Hospitality during the 4th quarter valued at approximately $59,231,000. SG Americas Securities LLC lifted its stake in DiamondRock Hospitality by 106.1% during the 1st quarter. SG Americas Securities LLC now owns 4,172,671 shares of the real estate investment trust’s stock valued at $39,098,000 after acquiring an additional 2,147,881 shares during the period. Healthcare of Ontario Pension Plan Trust Fund lifted its stake in DiamondRock Hospitality by 907.2% during the 4th quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 2,292,360 shares of the real estate investment trust’s stock valued at $20,540,000 after acquiring an additional 2,064,760 shares during the period. Qube Research & Technologies Ltd lifted its stake in DiamondRock Hospitality by 469.0% during the 3rd 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 acquiring an additional 1,650,871 shares during the period. Finally, Bank of America Corp DE lifted its stake in DiamondRock Hospitality by 17.5% during the 2nd quarter. Bank of America Corp DE now owns 9,231,991 shares of the real estate investment trust’s stock valued at $70,717,000 after acquiring an additional 1,377,897 shares during the period.

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.