Starwood Property Trust (NYSE:STWD) Reaches New 1-Year Low – Should You Sell?

Starwood Property Trust, Inc. (NYSE:STWD)’s share price hit a new 52-week low during mid-day trading on Friday . The stock traded as low as $18.41 and last traded at $18.52, with a volume of 436327 shares. The stock had previously closed at $18.81.

Analyst Ratings Changes

Several brokerages recently weighed in on STWD. UBS Group raised their price objective on shares of Starwood Property Trust from $19.50 to $20.00 and gave the company a “neutral” rating in a research report on Friday, November 15th. JPMorgan Chase & Co. reduced their price objective on shares of Starwood Property Trust from $20.50 to $20.00 and set an “overweight” rating for the company in a research note on Thursday, November 7th. Wells Fargo & Company increased their target price on shares of Starwood Property Trust from $22.00 to $24.00 and gave the stock an “outperform” rating in a research report on Friday, September 20th. Finally, JMP Securities reduced their price target on Starwood Property Trust from $24.00 to $23.00 and set a “market outperform” rating for the company in a research report on Thursday, November 7th. Three investment analysts have rated the stock with a hold rating, five have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $22.25.

Starwood Property Trust Stock Performance

The stock has a market cap of $6.23 billion, a P/E ratio of 15.80 and a beta of 1.69. The firm has a 50 day moving average of $19.65 and a two-hundred day moving average of $19.82. The company has a debt-to-equity ratio of 2.61, a quick ratio of 1.79 and a current ratio of 1.79.

Starwood Property Trust (NYSE:STWD) last posted its quarterly earnings data on Wednesday, November 6th. The real estate investment trust reported $0.48 earnings per share for the quarter, beating the consensus estimate of $0.43 by $0.05. The company had revenue of $479.50 million during the quarter, compared to analysts’ expectations of $488.63 million. Starwood Property Trust had a return on equity of 9.93% and a net margin of 18.82%. Starwood Property Trust’s revenue for the quarter was down 8.1% compared to the same quarter last year. During the same period in the prior year, the business earned $0.46 earnings per share. On average, research analysts predict that Starwood Property Trust, Inc. will post 1.88 EPS for the current fiscal year.

Starwood Property Trust Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, January 15th. Investors of record on Tuesday, December 31st will be paid a $0.48 dividend. The ex-dividend date is Tuesday, December 31st. This represents a $1.92 dividend on an annualized basis and a dividend yield of 10.38%. Starwood Property Trust’s payout ratio is 164.10%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in STWD. Geode Capital Management LLC grew its holdings in Starwood Property Trust by 8.1% during the 3rd quarter. Geode Capital Management LLC now owns 5,345,000 shares of the real estate investment trust’s stock worth $108,960,000 after acquiring an additional 399,672 shares during the period. Charles Schwab Investment Management Inc. increased its holdings in Starwood Property Trust by 5.8% in the third quarter. Charles Schwab Investment Management Inc. now owns 2,109,988 shares of the real estate investment trust’s stock valued at $43,002,000 after purchasing an additional 116,182 shares during the last quarter. HighTower Advisors LLC lifted its stake in Starwood Property Trust by 9.6% in the third quarter. HighTower Advisors LLC now owns 1,725,473 shares of the real estate investment trust’s stock valued at $35,170,000 after buying an additional 150,576 shares during the period. Van ECK Associates Corp lifted its stake in Starwood Property Trust by 27.1% in the third quarter. Van ECK Associates Corp now owns 1,313,824 shares of the real estate investment trust’s stock valued at $26,106,000 after buying an additional 279,793 shares during the period. Finally, Raymond James & Associates grew its position in shares of Starwood Property Trust by 0.6% during the 3rd quarter. Raymond James & Associates now owns 1,090,325 shares of the real estate investment trust’s stock worth $22,221,000 after buying an additional 6,616 shares during the period. Institutional investors own 49.82% of the company’s stock.

Starwood Property Trust Company Profile

Starwood Property Trust, Inc operates as a real estate investment trust (REIT) in the United States and internationally. The company operates through Commercial and Residential Lending, Infrastructure Lending, Property, and Investing and Servicing segments. The Commercial and Residential Lending segment originates, acquires, finances, and manages commercial first mortgages, non-agency residential mortgages, subordinated mortgages, mezzanine loans, preferred equity, commercial mortgage-backed securities (CMBS), and residential mortgage-backed securities, as well as other real estate and real estate-related debt investments, include distressed or non-performing loans.