HST - Host Hotels & Resorts: Should You Lodge In This 3.8% Yielding Hotel REIT?
2024-03-07 21:01:30 ET
Summary
- Host Hotels & Resorts is currently paying out a 3.8% dividend yield and declared a special dividend of $0.25 per share during its fourth quarter.
- The REIT is set to grow fiscal 2024 FFO by 6 cents over 2023 at the midpoint of its guidance range.
- Healthy dividend coverage has opened up the possibility of another special dividend in 2024 with the REIT currently swapping hands for 10.6x, the midpoint of its 2024 FFO guidance range.
The short interest in its common shares of Host Hotels & Resorts ( HST ) grew to roughly 5.35% in February even as the largest hotel REIT reported a beat on revenue for its fiscal 2023 fourth quarter. Revenue of $1.32 billion grew by 4.8% over the year-ago comp and outperformed consensus by $30 million. The REIT also last declared a quarterly cash dividend of $0.20 per share, kept unchanged from its prior distribution and $0.80 per share annualized for a 3.8% dividend yield. HST owned 77 luxury and upper-upscale hotels spread across 41,967 rooms at the end of its fourth quarter with comparable hotels notching a RevPAR of $202.92 and a 67.2% average occupancy percentage. These are great metrics with HST's $15 billion market cap being driven by just 77 hotel properties....
Host Hotels & Resorts: Should You Lodge In This 3.8% Yielding Hotel REIT?