Procore stock price target raised to $90 from Goldman Sachs on stabilizing growth
Investing.com - BofA Securities downgraded Apple Hospitality REIT (NYSE:APLE) from Buy to Neutral on Tuesday, while reducing its price target to $11.00 from $15.00. Currently trading at $5.22, the stock sits below the analysts’ consensus price target range of $4.50 to $8.00, according to InvestingPro data.
The downgrade reflects BofA’s concerns about broader demand headwinds in the hospitality sector that could impact the real estate investment trust’s performance.
BofA analyst Shaun Kelley noted that Apple Hospitality’s select-service model offers fewer cost offsets compared to full-service competitors, leaving its margins "more exposed to incremental softness" in the market.
The firm acknowledged several positive factors for Apple Hospitality, including "a relatively favorable supply backdrop, a younger/well maintained portfolio from a capex standpoint and a stable/attractive dividend yield." Indeed, InvestingPro data shows the REIT currently offers a 6.13% dividend yield, which is above its 5-year average of 5%.
Despite these strengths, BofA sees "a more balanced risk/reward" outlook for the REIT, citing "limited near-term idiosyncratic catalysts and a more muted earnings trajectory" as key factors in its rating change. The stock has underperformed this year with a -20.31% year-to-date return, though InvestingPro analysis indicates the company is trading at a relatively low price-to-book ratio of 0.69. Investors seeking deeper insights can access comprehensive Pro Research Reports covering this and 1,400+ other US equities.
In other recent news, Summit Hotel Properties reported its second-quarter 2025 earnings, which fell short of expectations. The company announced an earnings per share (EPS) of -$0.02, missing the forecasted $0.05 by a significant margin, marking a surprise of -140%. Revenue also came in below expectations, at $192.92 million compared to the anticipated $194.1 million, resulting in a surprise of -0.61%. Despite these results, the company’s stock showed a slight increase in after-hours trading. These developments highlight the ongoing challenges Summit Hotel Properties faces in meeting financial forecasts. Analysts and investors will be closely monitoring the company’s next steps in response to these earnings results.
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