Financial Performance - Net loss attributable to common stockholders for Q4 2024 was $13.7 million, or ($0.07) per diluted share, compared to a net income of $8.5 million in Q4 2023, impacted by a $32.6 million impairment loss on the Westin Washington D.C. City Center[5] - Net loss attributable to common stockholders for the year ended December 31, 2024, was $38,230,000, compared to a net income of $76,523,000 in 2023[29] - Net income for Q4 2024 was $(11,296) thousand, compared to $10,983 thousand in Q4 2023, with a full year net income of $48,250 thousand in 2024 versus $86,635 thousand in 2023[40] - FFO for Q4 2024 was $50,323 thousand, up from $39,290 thousand in Q4 2023, with full year FFO at $196,007 thousand compared to $198,878 thousand in 2023[42] Revenue Growth - Comparable revenues for Q4 2024 were $280.5 million, an increase of 5.7% compared to Q4 2023, while full year comparable revenues reached $1.1 billion, up 4.3% from 2023[5] - Total revenues for the year ended December 31, 2024, increased to $1,129,883,000, up from $1,074,867,000 in 2023, representing a growth of approximately 5.1%[29] - Total revenues for the fourth quarter of 2024 reached $279,051 million, with an adjusted EBITDA of $75,453 million[58] - The total comparable revenue for the year to date 2023 was $1,092,452,000, with an adjusted EBITDA of $305,224,000, indicating consistent performance[64] Adjusted EBITDA - Adjusted EBITDA for Q4 2024 was $68.7 million, a 19.9% increase from Q4 2023, and for the full year, it was $290.4 million, up 6.9% from 2023[9] - Adjusted EBITDA for Q4 2024 was $68,697 thousand, compared to $57,291 thousand in Q4 2023, with full year Adjusted EBITDA reaching $290,402 thousand versus $271,669 thousand in 2023[40] - Hotel Adjusted EBITDA for Q4 2024 was $75,453 thousand, an increase from $64,818 thousand in Q4 2023, with full year Hotel Adjusted EBITDA at $318,614 thousand compared to $301,156 thousand in 2023[44] - The total adjusted EBITDA for the year to date 2024 was $301,156,000, showing a significant increase compared to prior periods[64] Capital Expenditures and Investments - The company expects to invest approximately $85 to $95 million in capital improvements at its hotels in 2025[14] - The company repurchased 3.1 million shares of its common stock at an average price of $8.33 per share for a total of approximately $26.0 million during 2024[16] - The company declared a quarterly cash dividend of $0.08 per share on its common stock, payable on April 11, 2025[19] Guidance and Projections - The company provided guidance for 2025, expecting Adjusted EBITDA between $275 million and $300 million and Adjusted FFO between $199 million and $224 million[21] - Full year 2025 guidance for net income is projected between $79,117 thousand and $105,117 thousand[40] - Full year 2025 guidance for Adjusted EBITDA is estimated between $275,000 thousand and $300,000 thousand[40] - Full year 2025 guidance for FFO is expected to be between $195,117 thousand and $220,117 thousand[42] Asset and Liability Management - Total assets as of December 31, 2024, were $3,172,251,000, a decrease from $3,238,687,000 in 2023[27] - Total liabilities decreased to $1,573,319,000 as of December 31, 2024, from $1,589,704,000 in 2023[27] - Consolidated debt amounts to $1,095.8 million, with a weighted-average interest rate of 5.21%[50] Hotel Performance Metrics - Comparable RevPAR for Q4 2024 was $200.46, a 5.4% increase from Q4 2023, and for the full year, it was $205.15, up 2.6% compared to 2023[5] - The company has a total of 10,004 comparable rooms, achieving an average daily rate (ADR) of $290.02 and occupancy of 69.1% in Q4 2024[52] - The overall occupancy rate for YTD 2024 is 72.6%, up from 71.6% in the same period of 2023, reflecting a 1.0% increase[54] - The overall performance of the comparable hotels indicates a positive trend in revenue growth and occupancy rates across various locations[54] Acquisitions and Rebranding - The company completed the rebranding of the Hilton Burlington Lake Champlain to Hotel Champlain Burlington, Curio Collection by Hilton, in July 2024, enhancing its portfolio[17] - The company acquired the AC Hotel Minneapolis Downtown on November 12, 2024, contributing to the operating results for the period[52] - The hotel portfolio includes acquisitions such as the AC Minneapolis Downtown and Chico Hot Springs Resort & Day Spa, contributing to the overall performance metrics[56]

Group 1 - The article highlights DiamondRock Hospitality Company (NYSE: DRH) as a safe choice for Hotel REIT investments [1] - The investing group Trade With Beta offers features such as frequent picks for mispriced preferred stocks and baby bonds, weekly reviews of over 1200 equities, IPO previews, hedging strategies, and an actively managed portfolio [1] - The analyst has a beneficial long position in the shares of DRH, indicating confidence in the company's performance [1]

Core Viewpoint - Wall Street analysts anticipate DiamondRock Hospitality (DRH) to report quarterly earnings of $0.21 per share, reflecting a year-over-year increase of 16.7%, with revenues expected to reach $273.69 million, up 3.9% from the previous year [1]. Earnings Estimates - The consensus EPS estimate has been revised upward by 0.9% in the last 30 days, indicating a reassessment of initial estimates by covering analysts [2]. - Revisions to earnings estimates are crucial indicators for predicting investor actions regarding the stock, with empirical research showing a strong correlation between earnings estimate trends and short-term stock price performance [3]. Revenue Projections - Analysts project 'Revenues- Other' to reach $24.45 million, indicating a 3.9% increase from the prior-year quarter [5]. - 'Revenues- Food and beverage' are expected to be $68.85 million, suggesting a year-over-year change of 2.9% [5]. - 'Revenues- Rooms' are predicted to reach $178.65 million, reflecting a 3.2% increase from the year-ago quarter [5]. Depreciation and Amortization - The average prediction for 'Depreciation and amortization' is set at $29.06 million, compared to $28.31 million reported in the same quarter last year [6]. Stock Performance - Shares of DiamondRock Hospitality have decreased by 8.7% over the past month, contrasting with a 1.8% decline in the Zacks S&P 500 composite [6]. - With a Zacks Rank of 3 (Hold), DRH is expected to perform in line with the overall market in the near future [6].

Company Overview - DiamondRock Hospitality Company is a self-advised real estate investment trust (REIT) that owns a diversified portfolio of hotels concentrated in leisure destinations and top gateway markets, currently owning 36 premium quality hotels and resorts with approximately 9,600 rooms [3] Recent Transaction - On February 19, 2025, the company completed the sale of the 410-room Westin Washington, D.C. City Center for a contract price of $92.0 million, representing an 11.2x multiple on 2024 Hotel EBITDA and a 7.5% capitalization rate on 2024 Hotel net operating income [1] - Excluding a one-time property tax credit and temporary discount on franchise fees, the sales price represents an 11.9x multiple on 2024 Hotel EBITDA and a 7.0% capitalization rate on 2024 Hotel net operating income [1] Strategic Intent - The sale of the Westin D.C. City Center is part of the company's strategy to drive long-term earnings and cash flow per share growth, with plans to prudently redeploy the proceeds to create exceptional value for shareholders [2]

Core Insights - Investors in the REIT and Equity Trust - Other sector may consider DiamondRock Hospitality (DRH) and CubeSmart (CUBE) for potential value investments [1] - The Zacks Rank and Style Scores system are effective tools for identifying value stocks, emphasizing earnings estimates and specific stock traits [2] Valuation Metrics - DiamondRock Hospitality has a Zacks Rank of 2 (Buy), indicating a stronger earnings outlook compared to CubeSmart, which has a Zacks Rank of 3 (Hold) [3] - DRH's forward P/E ratio is 8.21, significantly lower than CUBE's forward P/E of 15.60, suggesting DRH may be undervalued [5] - The PEG ratio for DRH is 4.72, while CUBE's PEG ratio is 11.56, indicating DRH's expected EPS growth is more favorable [5] - DRH's P/B ratio is 1.06, compared to CUBE's P/B of 3.38, further supporting DRH's valuation advantage [6] - Based on these metrics, DRH receives a Value grade of A, while CUBE is rated D, making DRH the more attractive option for value investors [6]

Core Insights - The article emphasizes the importance of value investing and highlights specific companies that exhibit strong value characteristics, particularly DiamondRock Hospitality (DRH) and Xenia Hotels & Resorts (XHR) [2][9]. Company Analysis: DiamondRock Hospitality (DRH) - DRH holds a Zacks Rank of 2 (Buy) and a Value grade of A, indicating strong potential for value investors [4]. - The stock has a P/E ratio of 8.31, significantly lower than the industry average of 15.07, suggesting it may be undervalued [4]. - DRH's P/B ratio is 1.08, compared to the industry's average P/B of 1.77, further indicating solid valuation metrics [5]. - The P/S ratio for DRH is 1.58, while the industry average is 3.88, reinforcing the notion of undervaluation [6]. - The P/CF ratio stands at 9.80, compared to the industry's average of 15.99, highlighting an attractive cash flow outlook [7]. Company Analysis: Xenia Hotels & Resorts (XHR) - XHR also holds a Zacks Rank of 2 (Buy) and a Value score of A, making it another appealing option for value investors [8]. - The P/B ratio for XHR is 1.15, which is lower than the industry's average of 1.77, indicating a favorable valuation [8]. Conclusion - Both DRH and XHR are identified as impressive value stocks, likely being undervalued in the current market, supported by their strong earnings outlook and favorable valuation metrics [9].

Core Viewpoint - The comparison between DiamondRock Hospitality (DRH) and CubeSmart (CUBE) indicates that DRH presents a better value opportunity for investors at this time [1]. Group 1: Zacks Rank and Earnings Outlook - DiamondRock Hospitality has a Zacks Rank of 2 (Buy), while CubeSmart has a Zacks Rank of 3 (Hold), suggesting a more favorable earnings outlook for DRH [3]. - The Zacks Rank system favors stocks with positive revisions to earnings estimates, which is currently the case for DRH [3]. Group 2: Valuation Metrics - DRH has a forward P/E ratio of 8.74, significantly lower than CUBE's forward P/E of 15.87, indicating that DRH may be undervalued [5]. - The PEG ratio for DRH is 5.02, while CUBE's PEG ratio is 11.75, further suggesting that DRH is a more attractive investment based on expected earnings growth [5]. - DRH's P/B ratio stands at 1.13, compared to CUBE's P/B of 3.44, reinforcing the notion that DRH is undervalued relative to its book value [6]. Group 3: Overall Value Assessment - Based on the aforementioned valuation metrics, DRH holds a Value grade of A, while CUBE has a Value grade of D, indicating a stronger value proposition for DRH [6]. - The improving earnings outlook for DRH enhances its attractiveness as a value investment option [7].

Core Insights - The article emphasizes the importance of value investing as a successful strategy across various market conditions, focusing on fundamental analysis and traditional valuation metrics to identify undervalued stocks [2][10]. Company Analysis: DiamondRock Hospitality (DRH) - DRH holds a Zacks Rank of 2 (Buy) and a Value grade of A, with a current P/E ratio of 8.56, significantly lower than the industry average of 14.94 [4]. - The company's P/B ratio is 1.11, which is favorable compared to the industry's average P/B of 1.75, with historical P/B values ranging from 0.99 to 1.25 [5]. - DRH's P/S ratio stands at 1.68, compared to the industry average of 4.2, indicating a strong valuation based on sales [6]. - The P/CF ratio for DRH is 10.09, lower than the industry's average of 15.82, with a historical range of 8.71 to 11.08 [7]. Company Analysis: RLJ Lodging Trust (RLJ) - RLJ is also rated 2 (Buy) with a Value Score of A, trading at a forward earnings multiple of 6.16, which is much lower than the industry P/E of 14.94 [8]. - The P/B ratio for RLJ is 0.77, significantly below the industry's average of 1.75, with historical values between 0.70 and 0.96 [9]. - RLJ's PEG ratio is 1.98, compared to the industry's PEG ratio of 2.09, indicating a favorable valuation relative to growth [8]. Conclusion - Both DiamondRock Hospitality and RLJ Lodging Trust are identified as likely undervalued stocks based on their strong earnings outlook and favorable valuation metrics [10].

DiamondRock Hospitality (NYSE: DRH ) is a hotel REIT that owns a portfolio of about three dozen premium hotels in the United States . While the common shares are not uninteresting based on the after-capex AFFO guidance for 2024 (the definitiveHe is the leader of the investment group European Small Cap Ideas which offers exclusive access to actionable research on appealing Europe-focused investment opportunities not found elsewhere. The a focus is on high-quality ideas in the small-cap space, with emphasis o ...

BETHESDA, Md., Jan. 24, 2025 /PRNewswire/ -- DiamondRock Hospitality Company (the "Company") (NYSE: DRH) announced the following tax treatment of the 2024 distributions to holders of the Company's common and Series A preferred stock. Security Description Ticker Symbol Record Date Payable Date Total Distribution per Share Ordinary Dividends (Box 1a) Section 199A  Dividends (Box 5) Common DRH 3/29/2024 4/12/2024 $0.030000 $0.030000 $0.030000 Common DRH 6/28/2024 7/12/2024 $0 ...