DiamondRock Hospitality (DRH) Moves 13.8% Higher: Will This Strength Last?

DiamondRock Hospitality DRH shares soared 13.8% in the last trading session to close at $7.28. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 19.1% loss over the past four weeks.The increased investor optimism in the stock can be attributed to President Donald Trump’s recent announcement to put a 90-day pause on the reciprocal tariff for most countries.This hotel and resort real estate investment trust is expected to post quarterly funds from operations (FFO) of $0.17 per share in its upcoming report, which represents no change from the year-ago quarter. Revenues are expected to be $259.27 million, up 1.1% from the year-ago quarter.While FFO and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in FFO estimate revisions and near-term stock price movements.For DiamondRock Hospitality, the consensus estimate for FFO per share for the quarter has been revised 4.2% lower over the last 30 days to the current level. And a negative trend in FFO estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on DRH going forward to see if this recent jump can turn into more strength down the road.The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>DiamondRock Hospitality is a member of the Zacks REIT and Equity Trust - Other industry. One other stock in the same industry, Hudson Pacific Properties HPP, finished the last trading session 8.7% higher at $2.37. HPP has returned -19.6% over the past month.For Hudson Pacific, the consensus estimate for FFO per share for the upcoming report has changed +8.3% over the past month to $0.09. This represents a change of -47.1% from what the company reported a year ago. Hudson Pacific currently has a Zacks Rank of #3 (Hold).7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report DiamondRock Hospitality Company (DRH): Free Stock Analysis Report Hudson Pacific Properties, Inc. (HPP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks