Sunstone Hotel Investors, Inc. (SHO) Q1 2025 Earnings Call Transcript
Sunstone Hotel Investors, Inc. (NYSE:SHO ) Q1 2025 Earnings Conference Call May 6, 2025 10:30 AM ET Company Participants Aaron Reyes - CFO & EVP Bryan Giglia - CEO & Director Robert Springer - President & Chief Investment Officer Conference Call Participants David Katz - Jefferies Dany Asad - Bank of America Merrill Lynch Duane Pfennigwerth - Evercore ISI Michael Bellisario - Baird Smedes Rose - Citi Chris Woronka - Deutsche Bank Operator Good morning, ladies and gentlemen, and thank you for standing by. Welcome to the Sunstone Hotel Investors First Quarter 2025 Earnings Call.
Sunstone Hotel (SHO) Q1 Earnings: Taking a Look at Key Metrics Versus Estimates
Although the revenue and EPS for Sunstone Hotel (SHO) give a sense of how its business performed in the quarter ended March 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Sunstone Hotel Investors (SHO) Tops Q1 FFO Estimates
Sunstone Hotel Investors (SHO) came out with quarterly funds from operations (FFO) of $0.21 per share, beating the Zacks Consensus Estimate of $0.18 per share. This compares to FFO of $0.18 per share a year ago.
We Are Buying REIT Preferred Stocks Part 2: Summit Hotel Or Sunstone Hotel Preferreds?
Recent improvements in spreads make REIT preferred stocks attractive, focusing on those offering yields above 6.5%, particularly Summit Hotel Properties and Sunstone Hotel Investors. INN and SHO are both lodging REITs with similar structures and yields, but SHO has stronger financial metrics and a better credit score. SHO's preferreds offer similar returns to INN's but with significantly lower credit risk, making SHO a more favorable investment.
Sunstone Hotel: Consider Its Preferreds If You're Banking On A Recovery
Sunstone Hotel Investors' common and preferred stocks have lost significant market value, presenting a potential buying opportunity despite macroeconomic headwinds. Sunstone's preferred shares, specifically H and I series, offer attractive yields of in and around 7.20% with arguably limited call and spread risk. The REIT's financials showed a decline in 2024 net income. However, new facility transformations and a deceleration in U.S. disinflation might result in stabilised fundamental performance.
Credit Scoring Of Sunstone Hotel Investors Confirms Our Purchase Of The Preferred Shares
Sunstone Hotel Investors received a Baa2 to Baa3 equivalent credit score, reflecting its financial strength despite operating in the riskier hotel industry. SHO's balance sheet metrics are comparable to high-rated REIT Agree Realty, but SHO offers a 1.3% higher yield on preferred shares. Moody's rates SHO lower due to the hotel industry's perceived higher risk and cyclical nature, despite stable revenue and operating expenses.
Sunstone Hotel Investors, Inc. (SHO) Q4 2024 Earnings Call Transcript
Sunstone Hotel Investors, Inc. (NYSE:SHO ) Q4 2024 Earnings Conference Call February 21, 2025 1:00 PM ET Company Participants Aaron Reyes - CFO Bryan Giglia - CEO Robert Springer - President and Chief Investment Officer Conference Call Participants Duane Pfennigwerth - Evercore ISI Smedes Rose - Citi Dori Kesten - Wells Fargo Michael Bellisario - Baird Chris Darling - Green Street Chris Woronka - Deutsche Bank Floris van Dijkum - Compass Point Patrick Scholes - Truist Securities Operator Good morning, ladies and gentlemen, and thank you for standing by. Welcome to the Sunstone Hotel Investors Fourth Quarter Earnings Call.
SHO: The Preferred Stocks' 7.3% Yield Outshines The FFO Yield
Sunstone Hotel Investors Inc. (SHO) is a relatively safe Hotel REIT due to its strong financials, including a 400% asset coverage ratio and no secured debt. SHO's preferred stocks offer a 7.3% yield, outperforming common stock's expected 8% FFO yield, making them a better risk-adjusted investment. SHO's preferred stocks have narrowed their spread to the 20-year Treasury, suggesting potential for higher credit ratings and narrower spreads in the future.
Sunstone Hotel (SHO) Reports Q4 Earnings: What Key Metrics Have to Say
The headline numbers for Sunstone Hotel (SHO) give insight into how the company performed in the quarter ended December 2024, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.
Sunstone Hotel Investors (SHO) Beats Q4 FFO and Revenue Estimates
Sunstone Hotel Investors (SHO) came out with quarterly funds from operations (FFO) of $0.16 per share, beating the Zacks Consensus Estimate of $0.14 per share. This compares to FFO of $0.19 per share a year ago.
Unveiling Sunstone Hotel (SHO) Q4 Outlook: Wall Street Estimates for Key Metrics
Looking beyond Wall Street's top -and-bottom-line estimate forecasts for Sunstone Hotel (SHO), delve into some of its key metrics to gain a deeper insight into the company's potential performance for the quarter ended December 2024.
Sunstone Hotel Investors, Inc. (SHO) Q3 2024 Earnings Call Transcript
Sunstone Hotel Investors, Inc. (NYSE:SHO ) Q3 2024 Earnings Conference Call November 12, 2024 12:00 PM ET Company Participants Aaron Reyes – Chief Financial Officer Bryan Giglia – Chief Executive Officer Robert Springer – President and Chief Investment Officer Conference Call Participants Michael Bellisario – Baird Dori Kesten – Wells Fargo Keegan Carl – Wolfe Research Smedes Rose – Citi Duane Pfennigwerth – Evercore ISI David Katz – Jefferies Chris Darling – Green Street Stephen Grambling – Morgan Stanley Chris Woronka – Deutsche Bank Floris van Dijkum – Compass Point Operator Good morning, ladies and gentlemen, and thank you for standing by. Welcome to the Sunstone Hotel Investors Third Quarter 2024 Earnings Call.
