Sunstone Hotel Q1 revenue rises 11%, beats estimates

Sunstone Hotel Investors

05/05/2026 12:46

Overview

US lodging REIT's Q1 revenue rose 11% yr/yr, beating analyst expectations

Adjusted FFO attributable to common stockholders per share increased 28.6% yr/yr

Company repurchased $36.4 mln of common and preferred stock in Q1

Outlook

Sunstone raises 2026 net income guidance to $34 mln-$48 mln from $21 mln-$46 mln

Company lifts 2026 RevPAR growth outlook to 5.0%-7.5% from 4.0%-7.0%

Sunstone expects 2026 Adjusted FFO per diluted share of $0.88-$0.96, up from $0.81-$0.94

Result Drivers

RESORT PERFORMANCE - Co said resort portfolio, including Andaz Miami Beach, delivered solid Q1 results, helping drive overall growth

PORTFOLIO GROWTH - Management said results reflect embedded growth potential from prior investments and continued normalization in larger markets

WEATHER IMPACT - Co said weather-related headwinds affected several hotels but were offset by strength elsewhere in the portfolio

Company press release: ID:nPn2nNqGJa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$259.71 mln
$244.63 mln (8 Analysts)
Q1 Net Income
$18.60 mln
Q1 Adjusted FFO
$50.10 mln
Q1 RevPAR
$255.04


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 7 "hold" and 1 "sell" or "strong sell"

Wall Street's median 12-month price target for Sunstone Hotel Investors Inc is $10.00, about 3% above its May 4 closing price of $9.71

The stock recently traded at 40 times the next 12-month earnings vs. a P/E of 60 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)