Service Properties Trust (NASDAQ:SVC) Plans Quarterly Dividend of $0.01

Service Properties Trust (NASDAQ:SVC) announced a quarterly dividend on Wednesday, October 16th, Zacks reports. Shareholders of record on Monday, October 28th will be given a dividend of 0.01 per share by the real estate investment trust on Thursday, November 14th. This represents a $0.04 annualized dividend and a yield of 1.10%. The ex-dividend date of this dividend is Monday, October 28th.

Service Properties Trust has a dividend payout ratio of -4.3% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect Service Properties Trust to earn $1.26 per share next year, which means the company should continue to be able to cover its $0.04 annual dividend with an expected future payout ratio of 3.2%.

Service Properties Trust Stock Down 2.7 %

Shares of SVC opened at $3.62 on Friday. The company has a 50-day moving average of $4.51 and a two-hundred day moving average of $5.16. The company has a current ratio of 0.01, a quick ratio of 0.01 and a debt-to-equity ratio of 3.98. Service Properties Trust has a one year low of $3.44 and a one year high of $8.72.

Service Properties Trust (NASDAQ:SVC) last posted its quarterly earnings data on Tuesday, August 6th. The real estate investment trust reported ($0.45) EPS for the quarter, missing analysts’ consensus estimates of $0.49 by ($0.94). Service Properties Trust had a negative return on equity of 17.17% and a negative net margin of 10.56%. The firm had revenue of $512.95 million during the quarter, compared to analyst estimates of $509.33 million. During the same period in the prior year, the business posted $0.58 EPS. As a group, equities analysts anticipate that Service Properties Trust will post 1.21 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of brokerages have recently weighed in on SVC. B. Riley lowered their price target on Service Properties Trust from $9.00 to $8.00 and set a “buy” rating on the stock in a report on Friday, August 9th. Wells Fargo & Company lowered their target price on Service Properties Trust from $5.00 to $4.00 and set an “underweight” rating on the stock in a research note on Friday, September 13th.

About Service Properties Trust

Service Properties Trust (Nasdaq: SVC) is a real estate investment trust with over $11 billion invested in two asset categories: hotels and service-focused retail net lease properties. As of December 31, 2023, SVC owned 221 hotels with over 37,000 guest rooms throughout the United States and in Puerto Rico and Canada, the majority of which are extended stay and select service.