Service Properties Trust (NASDAQ:SVC) Sees Large Growth in Short Interest

Service Properties Trust (NASDAQ:SVC) was the target of a significant increase in short interest in November. As of November 15th, there was short interest totalling 7,240,000 shares, an increase of 24.4% from the October 31st total of 5,820,000 shares. Based on an average daily trading volume, of 1,830,000 shares, the days-to-cover ratio is currently 4.0 days. Currently, 4.7% of the shares of the stock are sold short.

Service Properties Trust Trading Down 0.4 %

Shares of Service Properties Trust stock traded down $0.01 during midday trading on Friday, reaching $2.78. 1,223,804 shares of the company’s stock traded hands, compared to its average volume of 1,305,609. The company has a debt-to-equity ratio of 4.32, a quick ratio of 0.03 and a current ratio of 0.03. The company has a market cap of $463.29 million, a PE ratio of -1.89 and a beta of 2.23. The stock has a 50 day moving average of $3.68 and a 200-day moving average of $4.60. Service Properties Trust has a 12 month low of $2.47 and a 12 month high of $8.72.

Service Properties Trust (NASDAQ:SVC) last issued its quarterly earnings results on Wednesday, November 6th. The real estate investment trust reported ($0.28) earnings per share for the quarter, missing the consensus estimate of $0.37 by ($0.65). The firm had revenue of $491.17 million during the quarter, compared to analysts’ expectations of $497.97 million. Service Properties Trust had a negative return on equity of 22.67% and a negative net margin of 12.87%. During the same period in the previous year, the company earned $0.56 earnings per share. As a group, equities analysts expect that Service Properties Trust will post 1.13 EPS for the current fiscal year.

Service Properties Trust Cuts Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, November 14th. Stockholders of record on Monday, October 28th were paid a $0.01 dividend. The ex-dividend date was Monday, October 28th. This represents a $0.04 dividend on an annualized basis and a dividend yield of 1.44%. Service Properties Trust’s dividend payout ratio is currently -2.72%.

Wall Street Analyst Weigh In

Several analysts have issued reports on the company. Wells Fargo & Company cut their target price on Service Properties Trust from $4.00 to $3.00 and set an “underweight” rating for the company in a research note on Tuesday. B. Riley cut their target price on Service Properties Trust from $9.00 to $8.00 and set a “buy” rating for the company in a research note on Friday, August 9th.

Institutional Investors Weigh In On Service Properties Trust

A number of institutional investors have recently modified their holdings of the stock. Van ECK Associates Corp grew its stake in shares of Service Properties Trust by 12.3% in the third quarter. Van ECK Associates Corp now owns 28,352 shares of the real estate investment trust’s stock worth $129,000 after acquiring an additional 3,112 shares during the last quarter. King Luther Capital Management Corp boosted its position in shares of Service Properties Trust by 13.0% during the second quarter. King Luther Capital Management Corp now owns 27,115 shares of the real estate investment trust’s stock valued at $139,000 after buying an additional 3,115 shares during the last quarter. The Manufacturers Life Insurance Company boosted its position in shares of Service Properties Trust by 3.8% during the second quarter. The Manufacturers Life Insurance Company now owns 85,140 shares of the real estate investment trust’s stock valued at $438,000 after buying an additional 3,122 shares during the last quarter. abrdn plc boosted its position in shares of Service Properties Trust by 10.5% during the third quarter. abrdn plc now owns 33,919 shares of the real estate investment trust’s stock valued at $155,000 after buying an additional 3,236 shares during the last quarter. Finally, Asset Management One Co. Ltd. boosted its position in shares of Service Properties Trust by 1.5% during the third quarter. Asset Management One Co. Ltd. now owns 247,449 shares of the real estate investment trust’s stock valued at $1,128,000 after buying an additional 3,594 shares during the last quarter. 77.62% of the stock is owned by hedge funds and other institutional investors.

Service Properties Trust Company Profile

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.