DiamondRock Hospitality (NYSE:DRH) Hits New 52-Week Low – Should You Sell?

DiamondRock Hospitality (NYSE:DRH) shares hit a new 52-week low during mid-day trading on Thursday . The stock traded as low as $7.12 and last traded at $7.34, with a volume of 546 shares changing hands. The stock had previously closed at $7.88.

Wall Street Analysts Forecast Growth

Separately, Wells Fargo & Company cut their price objective on shares of DiamondRock Hospitality from $10.50 to $9.50 and set an “equal weight” rating for the company in a research report on Tuesday, February 18th. Four research analysts have rated the stock with a hold rating and one has issued a buy rating to the company. Based on data from MarketBeat.com, DiamondRock Hospitality has a consensus rating of “Hold” and a consensus price target of $10.05.

DiamondRock Hospitality Price Performance

The stock has a fifty day moving average of $8.24 and a two-hundred day moving average of $8.78. The stock has a market cap of $1.46 billion, a price-to-earnings ratio of 25.02, a price-to-earnings-growth ratio of 2.06 and a beta of 1.63. The company has a quick ratio of 1.73, a current ratio of 1.73 and a debt-to-equity ratio of 0.66.

DiamondRock Hospitality Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, April 11th. Stockholders of record on Friday, March 28th will be paid a dividend of $0.08 per share. The ex-dividend date of this dividend is Friday, March 28th. This is a boost from DiamondRock Hospitality’s previous quarterly dividend of $0.03. This represents a $0.32 dividend on an annualized basis and a dividend yield of 4.57%. DiamondRock Hospitality’s dividend payout ratio is 188.24%.

Institutional Trading of DiamondRock Hospitality

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Versant Capital Management Inc increased its holdings in DiamondRock Hospitality by 156.3% in the first quarter. Versant Capital Management Inc now owns 3,699 shares of the real estate investment trust’s stock valued at $29,000 after buying an additional 2,256 shares in the last quarter. GF Fund Management CO. LTD. acquired a new stake in shares of DiamondRock Hospitality in the 4th quarter worth approximately $34,000. State of Wyoming purchased a new position in DiamondRock Hospitality in the 4th quarter valued at approximately $54,000. FIL Ltd acquired a new position in DiamondRock Hospitality during the fourth quarter worth $60,000. Finally, Smartleaf Asset Management LLC boosted its position in DiamondRock Hospitality by 278.6% during the fourth quarter. Smartleaf Asset Management LLC now owns 9,769 shares of the real estate investment trust’s stock worth $89,000 after purchasing an additional 7,189 shares in the last quarter.

About DiamondRock Hospitality

DiamondRock Hospitality Company is a self-advised real estate investment trust (REIT) that is an owner of a leading portfolio of geographically diversified hotels concentrated in leisure destinations and top gateway markets. The Company currently owns 36 premium quality hotels with over 9,700 rooms. The Company has strategically positioned its portfolio to be operated both under leading global brand families as well as independent boutique hotels in the lifestyle segment.