DiamondRock Hospitality (DRH) Beats Q4 FFO and Revenue Estimates

Financial Performance - DiamondRock Hospitality (DRH) reported quarterly funds from operations (FFO) of $0.24 per share, exceeding the Zacks Consensus Estimate of $0.21 per share, and up from $0.18 per share a year ago, representing a 14.29% surprise [1] - The company posted revenues of $279.05 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 1.96%, compared to $263.55 million in the same quarter last year [2] Market Performance - DiamondRock Hospitality shares have declined approximately 9.3% since the beginning of the year, while the S&P 500 has gained 1.3% [3] - The current consensus FFO estimate for the upcoming quarter is $0.19 on revenues of $263.16 million, and for the current fiscal year, it is $1.03 on revenues of $1.15 billion [7] Industry Outlook - The REIT and Equity Trust - Other industry, to which DiamondRock Hospitality belongs, is currently ranked in the bottom 47% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in estimate revisions, which could impact DiamondRock's stock performance [5][6]