Pebblebrook Hotel (PEB) Q3 FFO Beat Estimates

Core Insights - Pebblebrook Hotel (PEB) reported quarterly funds from operations (FFO) of $0.51 per share, exceeding the Zacks Consensus Estimate of $0.50 per share, but down from $0.59 per share a year ago, indicating a FFO surprise of +2.00% [1] - The company generated revenues of $398.72 million for the quarter ended September 2025, slightly missing the Zacks Consensus Estimate by 0.48% and down from $404.53 million year-over-year [2] - Pebblebrook Hotel has surpassed consensus FFO estimates in all four of the last quarters, while it has topped consensus revenue estimates three times during the same period [2] Financial Performance - The FFO for the previous quarter was $0.65 per share, which was a surprise of +12.07% compared to the expected $0.58 per share [1] - The current consensus FFO estimate for the upcoming quarter is $0.23 on revenues of $352.34 million, and for the current fiscal year, it is $1.51 on revenues of $1.48 billion [7] Market Position - Pebblebrook Hotel shares have underperformed the market, losing about 24.1% since the beginning of the year, while the S&P 500 has gained 15.1% [3] - The Zacks Industry Rank places the REIT and Equity Trust - Other sector in the top 34% of over 250 Zacks industries, indicating a favorable industry outlook [8] Future Outlook - The sustainability of the stock's price movement will depend on management's commentary during the earnings call and the trends in estimate revisions [3][4] - The estimate revisions trend for Pebblebrook Hotel was favorable ahead of the earnings release, resulting in a Zacks Rank 1 (Strong Buy) for the stock, suggesting expected outperformance in the near future [6]