Service Properties Trust [NASDAQ: SVC] surged by $0.97 during the normal trading session on Friday and reaching a high of $12.75 during the day while it closed the day at $12.56. The company report on May 28, 2021 that Organon Set to Join S&P 500; HollyFrontier to Join S&P MidCap 400; Service Properties Trust to Join S&P SmallCap 600.
Organon & Co. (NYSE: OGN) will be added to the S&P 500 prior to the open of trading on Thursday, June 3, replacing HollyFrontier, which will be removed from the S&P 500 effective prior to the open of trading on Friday, June 4.
HollyFrontier will replace Service Properties Trust (NASD:SVC) in the S&P MidCap 400, and Service Properties Trust will replace Lannett Co Inc. (NYSE:LCI) in the S&P SmallCap 600 also effective prior to the open on June 4. S&P 500 and 100 constituent Merck & Co (NYSE: MRK) is spinning off Organon (NYSE: OGN) in a transaction expected to be completed post close on Wednesday, June 2. Post spin-off, Merck will remain in the S&P 500 and 100 indices. HollyFrontier has a market capitalization more representative of the mid-cap market space. Lannett is no longer representative of the small-cap market space.
Service Properties Trust stock has also gained 17.82% of its value over the past 7 days. However, SVC stock has inclined by 0.40% in the 3 months of the year. Over the past six months meanwhile, it has gained 1.49% and gained 9.31% year-on date.
The market cap for SVC stock reached $1.91 billion, with 164.50 million shares outstanding and 162.64 million shares in the current float. Compared to the average trading volume of 1.02M shares, SVC reached a trading volume of 5682464 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here’s what leading stock market gurus have to say about Service Properties Trust [SVC]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for SVC shares is $13.33 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on SVC stock is a recommendation set at 3.00. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
B. Riley Securities have made an estimate for Service Properties Trust shares, keeping their opinion on the stock as Neutral, with their previous recommendation back on March 02, 2021. The new note on the price target was released on February 01, 2021, representing the official price target for Service Properties Trust stock. On December 02, 2020, analysts increased their price target for SVC shares from 12 to 14.
The Average True Range (ATR) for Service Properties Trust is set at 0.50, with the Price to Sales ratio for SVC stock in the period of the last 12 months amounting to 1.83. The Price to Book ratio for the last quarter was 1.08, with the Price to Cash per share for the same quarter was set at 5.75.
SVC stock trade performance evaluation
Service Properties Trust [SVC] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 17.82. With this latest performance, SVC shares dropped by -0.71% in over the last four-week period, additionally plugging by 1.49% over the last 6 months – not to mention a rise of 86.07% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for SVC stock in for the last two-week period is set at 63.23, with the RSI for the last a single of trading hit 72.08, and the three-weeks RSI is set at 58.24 for Service Properties Trust [SVC]. The present Moving Average for the last 50 days of trading for this stock 11.91, while it was recorded at 11.38 for the last single week of trading, and 10.74 for the last 200 days.
Service Properties Trust [SVC]: An insightful look at the core fundamentals
Operating Margin for any stock indicates how profitable investing would be, and Service Properties Trust [SVC] shares currently have an operating margin of +1.41 and a Gross Margin at +5.41. Service Properties Trust’s Net Margin is presently recorded at -24.61.
Return on Total Capital for SVC is now 0.21, given the latest momentum, and Return on Invested Capital for the company is -3.67. Return on Equity for this stock declined to -13.51, with Return on Assets sitting at -3.51. When it comes to the capital structure of this company, Service Properties Trust [SVC] has a Total Debt to Total Equity ratio set at 299.39. Additionally, SVC Total Debt to Total Capital is recorded at 74.96, with Total Debt to Total Assets ending up at 72.47. Long-Term Debt to Equity for the company is recorded at 299.39, with the Long-Term Debt to Total Capital now at 74.96.
Receivables Turnover for the company is 17.78 with a Total Asset Turnover recorded at a value of 0.14.
Earnings per share (EPS) analysis for Service Properties Trust [SVC] stock
With the latest financial reports released by the company, Service Properties Trust posted -0.23/share EPS, while the average EPS was predicted by analysts to be reported at -0.63/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 63.50%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for SVC. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Service Properties Trust go to 5.00%.
Service Properties Trust [SVC]: Insider Ownership positions
There are presently around $1,632 million, or 80.40% of SVC stock, in the hands of institutional investors. The top three institutional holders of SVC stocks are: BLACKROCK INC. with ownership of 28,216,674, which is approximately 7.433% of the company’s market cap and around 1.32% of the total institutional ownership; VANGUARD GROUP INC, holding 23,848,474 shares of the stock with an approximate value of $299.54 million in SVC stocks shares; and STATE STREET CORP, currently with $106.51 million in SVC stock with ownership of nearly -3.14% of the company’s market capitalization.
Positions in Service Properties Trust stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 115 institutional holders increased their position in Service Properties Trust [NASDAQ:SVC] by around 10,787,337 shares. Additionally, 146 investors decreased positions by around 8,879,244 shares, while 58 investors held positions by with 110,263,353 shares. The mentioned changes placed institutional holdings at 129,929,934 shares, according to the latest SEC report filing. SVC stock had 32 new institutional investments in for a total of 4,192,491 shares, while 38 institutional investors sold positions of 3,584,284 shares during the same period.