DiamondRock Hospitality Company (DRH) to Issue Quarterly Dividend of $0.11 on October 14th

DiamondRock Hospitality Company (NYSE:DRH) declared a quarterly dividend on Thursday, July 30th. Stockholders of record on Wednesday, September 30th will be given a dividend of 0.11 per share by the real estate investment trust on Wednesday, October 14th. This represents a c) annualized dividend and a dividend yield of 3.3%. The ex-dividend date of this dividend is Wednesday, September 30th. This is a 22.2% increase from DiamondRock Hospitality’s previous quarterly dividend of $0.09.

DiamondRock Hospitality has a dividend payout ratio of 80.0% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings fall. Analysts expect DiamondRock Hospitality to earn $1.02 per share next year, which means the company should continue to be able to cover its $0.36 annual dividend with an expected future payout ratio of 35.3%.

DiamondRock Hospitality Stock Performance

DRH stock opened at $13.24 on Friday. The company has a debt-to-equity ratio of 0.70, a current ratio of 1.64 and a quick ratio of 1.64. DiamondRock Hospitality has a 1 year low of $7.45 and a 1 year high of $13.48. The company has a market cap of $2.71 billion, a P/E ratio of 52.96, a price-to-earnings-growth ratio of 4.50 and a beta of 0.98. The stock’s fifty day moving average price is $12.05 and its 200-day moving average price is $10.62.

DiamondRock Hospitality (NYSE:DRH) last posted its quarterly earnings data on Thursday, July 30th. The real estate investment trust reported $0.44 EPS for the quarter, beating analysts’ consensus estimates of $0.22 by $0.22. The company had revenue of $318.29 million during the quarter, compared to analysts’ expectations of $314.98 million. DiamondRock Hospitality had a return on equity of 4.04% and a net margin of 5.69%.DiamondRock Hospitality’s revenue for the quarter was up 4.1% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.35 earnings per share. DiamondRock Hospitality has set its FY 2026 guidance at 1.180-1.230 EPS. On average, equities analysts forecast that DiamondRock Hospitality will post 0.96 earnings per share for the current year.

Analyst Ratings Changes

A number of equities research analysts have issued reports on DRH shares. Truist Financial boosted their price target on DiamondRock Hospitality from $11.00 to $12.00 and gave the company a “buy” rating in a research note on Tuesday, May 26th. Wells Fargo & Company increased their price objective on shares of DiamondRock Hospitality from $12.00 to $13.00 and gave the stock an “equal weight” rating in a research note on Thursday, July 23rd. LADENBURG THALM/SH SH raised their price objective on shares of DiamondRock Hospitality from $13.00 to $14.00 and gave the stock a “buy” rating in a report on Thursday, June 18th. Barclays boosted their target price on shares of DiamondRock Hospitality from $10.00 to $12.00 and gave the company an “equal weight” rating in a research report on Monday, June 1st. Finally, Citigroup upped their target price on shares of DiamondRock Hospitality from $11.00 to $13.00 and gave the company a “neutral” rating in a report on Wednesday, July 22nd. Four equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat.com, DiamondRock Hospitality currently has a consensus rating of “Hold” and an average target price of $12.22.

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.