Truist Financial Upgrades Host Hotels & Resorts to $21 Target

Host Hotels & Resorts (NASDAQ:HST) received a positive update from Truist Financial, which raised its target price for the stock from $19.00 to $21.00 in a research note issued on Thursday morning. The brokerage maintains a “hold” rating on the stock, reflecting cautious optimism amid ongoing market evaluations.

The recent upgrade follows a series of analyses from various financial institutions regarding Host Hotels & Resorts. On October 1, 2023, Cantor Fitzgerald initiated coverage of the company with a “neutral” rating and a $19.00 price target. Following suit, Compass Point upgraded its rating from “neutral” to “buy” on November 7, 2023, increasing its price target from $18.00 to $22.00. Conversely, Evercore ISI downgraded the stock from “outperform” to “in-line,” setting a price objective of $20.00. In the same week, JPMorgan Chase & Co. raised its price target from $17.00 to $18.00 while maintaining a “neutral” rating.

The consensus among analysts indicates a mixed outlook. While one analyst has rated the stock as a “Strong Buy,” five have issued a “Buy” rating, and seven have assigned a “Hold” rating. According to data from MarketBeat.com, Host Hotels & Resorts currently holds an average rating of “Moderate Buy” with an average price target of $18.54.

Stock Performance and Financial Overview

As of Thursday, Host Hotels & Resorts opened at $17.16. The company’s 50-day moving average stands at $16.95, while its 200-day moving average is $16.46. Host Hotels & Resorts boasts a quick ratio and current ratio of 2.90, alongside a debt-to-equity ratio of 0.76. The firm has a market capitalization of $11.80 billion, a price-to-earnings (PE) ratio of 16.34, and a beta of 1.18. Over the past year, the stock has fluctuated between a low of $12.22 and a high of $19.36.

In its most recent earnings report released on November 5, 2023, Host Hotels & Resorts reported earnings per share (EPS) of $0.35, exceeding analysts’ expectations of $0.33 by $0.02. The firm recorded a net margin of 12.43% and a return on equity of 11.11%. Revenue for the quarter reached $1.33 billion, surpassing the consensus estimate of $1.30 billion. This revenue figure represents a 0.9% increase compared to the same quarter last year. The company has set its fiscal year 2025 guidance at an EPS of $2.030.

Dividend Announcements and Institutional Investments

In addition to the stock performance, Host Hotels & Resorts declared a quarterly dividend of $0.20 per share, which was paid on October 15, 2023. Shareholders of record as of September 30, 2023 received this dividend, which translates to an annualized dividend of $0.80 and a yield of 4.7%. The company’s dividend payout ratio is currently 76.19%.

Institutional investors have also shown interest in Host Hotels & Resorts, with several modifying their holdings. Notably, Armstrong Advisory Group Inc. increased its stake by 953.5% during the second quarter, now owning 1,675 shares valued at approximately $26,000. Clearstead Advisors LLC raised its holdings by 79.6% in the third quarter, owning 1,773 shares valued at $30,000. Other notable investments include CYBER HORNET ETFs LLC, Hantz Financial Services Inc., and Compagnie Lombard Odier SCmA, all acquiring additional stakes or new positions in the company.

Currently, institutional investors and hedge funds hold approximately 98.52% of the stock, indicating strong institutional confidence in Host Hotels & Resorts.

Founded in 1927 and headquartered in Bethesda, MD, Host Hotels & Resorts is a prominent real estate investment trust (REIT) that focuses on managing luxury and upper-upscale hotels across the United States, Brazil, and Canada. The company’s strategic positioning and recent financial performance suggest a steady path as it navigates the evolving hospitality landscape.