Service Properties Trust (SVC) Outlook Starting To Look Brighter?


    SSgA Funds Management, Inc. has recently announced that it has increased stake in Service Properties Trust (NASDAQ:SVC) by 7.10%. After grabbing 9.32 million shares, the institutional investor is now in possession of 0.62 million shares of the Real Estate Company. The new investment brought the stake of investor firm to 5.66% having worth around $62.42 million. Moreover, Northern Trust Investments, Inc.(.. increased its share by 0.96 million to have a control over 3.57 million shares. And Geode Capital Management LLC raised its holdings to 0.45 million shares by acquiring 3.51 million shares or 2.13% of the stake.

    Service Properties Trust (SVC) concluded trading on 08/26/20 at a closing price of $8.15, with 1.11 million shares of worth about $9.07 million changed hands on the day. Weekly performance of the stock remained positive as price took a surge of 5.36% during that period and on Wednesday the price saw a loss of about -2.86%. Currently the company’s common shares owned by public are about 164.38M shares, out of which, 162.44M shares are available for trading.

    A deeper look into what the analysts at Wall Street are thinking about the price target of this stock provides us with the following: 3 analysts are covering the SVC stock and their offered price forecasts bring an average price target of $11.33. Over the next 12 months, analysts forecasted that the stock’s price could jump as high as $14.00 and could fall to a lowest price of $9.00. Analysts also issued an outlook of 2.00 for the Service Properties Trust stock for next 12 months. The stock’s current price level is 35.67% above of average price target set by the analysts, while a rise to estimated low would result in gain of 9.44 for the stock. However, touching the estimated high of $14.00 would mean a gain of 41.79% for the stock.

    According to filings with the U.S. Securities and Exchange Commission (SEC), insiders took part in trade of the company’s stock for 19 times over the past 12 months. They bought 77,500 shares in 14 of the transactions. In 5 selling transactions, insiders dumped 15,577 shares.

    Vanguard Real Estate Index Fund, Vanguard Total Stock Market Index, and iShares Core S&P Mid Cap ETF are the top 3 mutual funds which are holding stakes in Service Properties Trust Vanguard Real Estate Index Fund is currently holding 7.33 million shares of worth totaling $49.11 million. The company recently came selling 36246.0 shares which brought its stake up to 4.45% of the company’s outstanding shares. Vanguard Total Stock Market Index sold 3156.0 shares, after which its hold over company’s outstanding shares shrunk to 2.81%, leaving 4.62 million shares with the mutual fund that have a worth of about $30.97 million. iShares Core S&P Mid Cap ETF, after selling 4.35 million shares, have now control over 2.65% of the stake in the company. It holds 68094.0 shares of worth $29.17 million.

    Service Properties Trust (NASDAQ: SVC) started trading at $8.40, below $0.0 from concluding price of the previous day. However, the stock finished the trading on the day at a closing price of $8.15, or with a loss of -2.86%. Stock saw a price change of 5.36% in past 5 days and over the past one month there was a price change of 12.95%. Year-to-date (YTD), SVC shares are showing a performance of -66.48% which decreased to -65.15% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $3.59 but also hit the highest price of $26.28 during that period. While comparing its average daily trading volume of 2.81 million shares, we see that about 1.11 million changed hands on the day. The stock is currently trading 4.91% above its 20-day simple moving average (SMA20), while that difference is up 9.68% for SMA50 and it goes to -39.21% lower than SMA200.

    SSgA Funds Management, Inc. acquired 9.32 million shares of Service Properties Trust having value of about $62.42 million. Data submitted at the U.S SEC by SSgA Funds Management, Inc. revealed that the firm now holds 0.62 million shares in the company valued at close to $5032437.55, or have control over 7.10% stake in the company. Service Properties Trust (NASDAQ: SVC) currently have 164.38M outstanding shares and institutions hold larger chunk of about 74.10% of that. Holding of mutual funds in the company is about 34.10% while other institutional holders and individual stake holders have control over 39.47% and 1.25% of the stake respectively.

    The stock has a current market capitalization of $1.41B and its 3Y-monthly beta is at 1.99. It has posted earnings per share of -$0.28 in the same period. It has a debt-to-equity ratio of 2.63. Volatility of a stock is a metric used to know how much the price of that stock is under influence and for SVC, volatility over the week remained 8.64% while standing at 6.79% over the month.

    Analysts are in expectations that Service Properties Trust (SVC) stock would likely to be making an EPS of -$0.37 in the current quarter, while forecast for next quarter ESPS is -$0.32 and it is -$0.51 for next year. For the current quarter EPS, analysts have given the company a lowest target -$0.37 which is -$0.37 at the higher side of the target for the same. When we compare those targets with actual EPS, we find that company posted an EPS of $0.24 in the same quarter a year ago. Stock’s fiscal year EPS is expected to rise by 39.80% while it is estimated to increase by 73.70% in next year. EPS is likely to shrink at an annualized rate of 5.00% for next 5-years, compared to annual growth of 6.10% made by the stock over the past 5-years.

    Analysts at 3 brokerage firms have issued recommendations for the Service Properties Trust (SVC)’s stock and average of those rates the stock at a “Moderate Buy” and assign it a score of 2.00. Out of those 3 Wall Street analysts, 2 recommended a “Buy” rating, while 1 were in favor recommending the stock as a “Hold” and 0 analyst recommended the stock as “Sell”.


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