A Peek at Diamondrock Hospitality's Future Earnings

Diamondrock Hospitality DRH is set to give its latest quarterly earnings report on Thursday, 2024-11-07. Here's what investors need to know before the announcement.

Analysts estimate that Diamondrock Hospitality will report an earnings per share (EPS) of $0.27.

Investors in Diamondrock Hospitality are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Past Earnings Performance

Last quarter the company beat EPS by $0.02, which was followed by a 0.0% drop in the share price the next day.

Here's a look at Diamondrock Hospitality's past performance and the resulting price change:

Performance of Diamondrock Hospitality Shares

Shares of Diamondrock Hospitality were trading at $8.75 as of November 05. Over the last 52-week period, shares are up 13.94%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Insights on Diamondrock Hospitality

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Diamondrock Hospitality.

The consensus rating for Diamondrock Hospitality is Neutral, based on 2 analyst ratings. With an average one-year price target of $9.5, there's a potential 8.57% upside.

Comparing Ratings with Peers

This comparison focuses on the analyst ratings and average 1-year price targets of Sunstone Hotel Invts, Xenia Hotels & Resorts and Pebblebrook Hotel, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• For Sunstone Hotel Invts, analysts project an Neutral trajectory, with an average 1-year price target of $10.5, indicating a potential 20.0% upside.
• The prevailing sentiment among analysts is an Outperform trajectory for Xenia Hotels & Resorts, with an average 1-year price target of $15.0, implying a potential 71.43% upside.
• Analysts currently favor an Neutral trajectory for Pebblebrook Hotel, with an average 1-year price target of $13.67, suggesting a potential 56.23% upside.

Insights: Peer Analysis

Within the peer analysis summary, vital metrics for Sunstone Hotel Invts, Xenia Hotels & Resorts and Pebblebrook Hotel are presented, shedding light on their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

Diamondrock Hospitality ranks at the top for Revenue Growth among its peers. It is in the middle for Gross Profit. For Return on Equity, it is also in the middle.

Get to Know Diamondrock Hospitality Better

Diamondrock Hospitality Company is a real estate investment trust that owns lodging properties. Its business is to acquire, own, manage, and renovate full-service hotel properties in the United States. It operates in cities such as Chicago, Boston, New York, Denver, and others. Within DiamondRock's holdings, the majority of the hotel brands include Marriott, Starwood, and Hilton. The revenue is divided between room, food and beverage, and others. The room segment contributes the majority of the revenue. The firm's customers include leisure transient, business transient, and group customers.

Diamondrock Hospitality: Financial Performance Dissected

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Revenue Growth: Diamondrock Hospitality's remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 6.19%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Real Estate sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Diamondrock Hospitality's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 7.14% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Diamondrock Hospitality's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.35% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Diamondrock Hospitality's ROA excels beyond industry benchmarks, reaching 0.68%. This signifies efficient management of assets and strong financial health.

Debt Management: Diamondrock Hospitality's debt-to-equity ratio is below the industry average at 0.78, reflecting a lower dependency on debt financing and a more conservative financial approach.

To track all earnings releases for Diamondrock Hospitality visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.