Here's What Key Metrics Tell Us About Sunstone Hotel (SHO) Q4 Earnings

For the quarter ended December 2023, Sunstone Hotel Investors (SHO) reported revenue of $219.23 million, down 10.2% over the same period last year. EPS came in at $0.19, compared to $0.07 in the year-ago quarter.

The reported revenue represents a surprise of +3.40% over the Zacks Consensus Estimate of $212.02 million. With the consensus EPS estimate being $0.16, the EPS surprise was +18.75%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Sunstone Hotel performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Comparable ADR: $318.80 versus the two-analyst average estimate of $303.92.
  • Comparable Occupancy: 64.8% compared to the 66% average estimate based on two analysts.
  • Number of Hotels: 14 versus the two-analyst average estimate of 15.
  • Number of Rooms: 6,675 compared to the 6,675 average estimate based on two analysts.
  • Comparable RevPAR: $206.58 compared to the $200.81 average estimate based on two analysts.
  • Revenues- Room: $127.04 million compared to the $130.99 million average estimate based on five analysts. The reported number represents a change of -13.7% year over year.
  • Revenues- Other operating: $19.77 million versus $21.23 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a -36.3% change.
  • Revenues- Food and beverage: $61.28 million versus the four-analyst average estimate of $56.72 million. The reported number represents a year-over-year change of -6.9%.
  • Net Earnings Per Share (Diluted): $0.60 versus the four-analyst average estimate of $0.16.
View all Key Company Metrics for Sunstone Hotel here>>>

Shares of Sunstone Hotel have returned +4.4% over the past month versus the Zacks S&P 500 composite's +5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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