Sunstone Hotel Inv Stock Price, News & Analysis

Sunstone Hotel Investors (NYSE: SHO) announced the retirement of Marc Hoffman as Chief Operating Officer after nearly 15 years. Hoffman will assist during the transition to Chris Ostapovicz, previously Senior VP of Asset Management at Host Hotels & Resorts. Ostapovicz's extensive background in hotel asset management and operations positions him to enhance Sunstone's long-term success. Sunstone operates 17 hotels with 9,017 rooms, focusing on acquiring and managing Long-Term Relevant Real Estate® in the hospitality sector.

Sunstone Hotel Investors (NYSE: SHO) reported a net loss of $39.4 million for Q4 2020, down from a net income of $45.4 million in Q4 2019. The company's RevPAR plummeted 86.9% to $25.36. For the full year, net loss reached $410.5 million compared to a $142.8 million profit in 2019. Despite the pandemic's impact, 15 of 17 hotels were operational by year-end, with some positive trends in leisure and group bookings noted. The company plans significant investments in 2021 to reposition and rebrand its properties.

On January 22, 2021, Sunstone Hotel Investors (NYSE: SHO) announced the tax treatment for its 2020 distributions to common and preferred stockholders. The distributions include a $0.0500 ordinary dividend per share for common stock and $0.434375 for Series E preferred stock, payable on April 15, 2020, for the first quarter, with similar payments scheduled throughout the year. Additionally, Series F preferred stockholders will receive $0.403125 per share. Shareholders are advised to consult with tax advisors regarding the implications of these distributions.

Sunstone Hotel Investors (NYSE: SHO) will release its fourth quarter and full year 2020 financial results on February 11, 2021, after market close. A conference call is scheduled for February 12, 2021, at 12:00 p.m. ET to discuss these results. Investors can access the live webcast through the company's website or call in at 1-323-289-6576 with the confirmation code 1183215. As a REIT, Sunstone focuses on upper upscale hotels operated under major brands like Marriott, Hilton, and Hyatt.

Sunstone Hotel Investors (NYSE: SHO) announced significant balance sheet enhancements on December 23, 2020. The company extended the waiver period for covenant tests on its $500 million credit facility and $185 million term loans, providing relief through March 31, 2022. A resolution was achieved regarding the Hilton Times Square mortgage, satisfying all debt obligations and resulting in an expected $22 million expense write-off. Additionally, the repayment of a mortgage on the Renaissance Washington DC will reduce annual debt service by $9.7 million.

Sunstone Hotel Investors (NYSE: SHO) announced the sale of the Renaissance Los Angeles Airport for $91.5 million, approximately $182,300 per key. This sale, which reflects a 12.2x multiple on 2019 Hotel Adjusted EBITDAre and a 6.8% capitalization rate on the hotel's net operating income, aligns with the company's strategy to focus on Long-Term Relevant Real Estate®. The transaction enhances liquidity, positioning Sunstone to capitalize on future opportunities.

Sunstone Hotel Investors reported a third-quarter net loss of $91.1 million, a significant decline from a profit of $33.5 million in Q3 2019. The company's RevPAR plummeted 91.5% to $17.58 for its 19 hotel portfolio. By the end of Q3, 12 out of 19 hotels reopened, with total operational hotels increasing to 16 by November. Adjusted FFO per share fell 189.7% to $(0.26). Despite these challenges, signs of recovery are emerging, with improved cash burn management, a strong liquidity position, and a focus on long-term profitability. Dividends for common stockholders have been suspended.

Sunstone Hotel Investors, Inc. (NYSE: SHO) will report its third quarter 2020 financial results on November 5, 2020, after the market closes. A conference call is scheduled for November 6, 2020 at 12:00 PM ET to discuss these results. Investors can access the live webcast through Sunstone's investor relations website or dial in using 1-323-289-6576 with the confirmation code 1700254. Sunstone specializes in investing in upper upscale hotels within the hospitality sector, primarily operating under recognized brands like Marriott, Hilton, and Hyatt.

Sunstone Hotel Investors (NYSE: SHO) reported a significant net loss of $117.5 million for Q2 2020, down from a net income of $45.9 million in Q2 2019. This loss, partly due to an impairment loss of $18.1 million, resulted in a RevPAR decrease of 98.1%, totaling $3.99. The company's Adjusted EBITDAre was $(47.0 million)

Operations were suspended at 15 out of 20 hotels due to COVID-19, though six resumed in June and July. The company has increased liquidity by approximately $80 million through the sale of the Renaissance Harborplace.