Kathleen Merrill Sells 20,000 Shares of DiamondRock Hospitality
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 27 2026
0mins
Source: Fool
- Insider Selling Details: Kathleen Merrill disclosed the sale of 20,000 shares on June 12, representing 19% of her pre-sale holdings, reducing her direct ownership from 104,335 to 84,335 shares, with a transaction value of $237,600, indicating a cautious outlook on the company's future.
- Holding Value Assessment: Post-transaction, Merrill retains 84,335 shares valued at approximately $1.01 million at market close, suggesting that despite the sale, she maintains a significant stake, reflecting confidence in the company's long-term prospects.
- Company Performance Highlights: DiamondRock Hospitality's stock surged about 61% over the past year, with Q1 comparable RevPAR up 2.0% and adjusted EBITDA rising 8% to $60.6 million, demonstrating strong operational momentum amid resilient market demand.
- Strategic Capital Recycling: The company agreed to sell its Courtyard by Marriott New York property for $33 million, aligning with its strategy to recycle capital into higher-return opportunities, which is expected to enhance free cash flow per share and bolster investor confidence.
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Analyst Views on DRH
Wall Street analysts forecast DRH stock price to fall
11 Analyst Rating
5 Buy
6 Hold
0 Sell
Moderate Buy
Current: 11.920
Low
9.00
Averages
10.28
High
12.00
Current: 11.920
Low
9.00
Averages
10.28
High
12.00
About DRH
DiamondRock Hospitality Company is a self-advised real estate investment trust (REIT). The Company owns a portfolio of geographically diversified hotels concentrated in leisure destinations and gateway markets. Its hotels are owned by subsidiaries of its operating partnership, DiamondRock Hospitality Limited Partnership. Its primary business is to acquire, own, renovate and asset manage hotel properties in the United States. The Company's hotel properties include Chico Hot Springs Resort, Lake Austin Spa Resort, Kimpton Shorebreak Fort Lauderdale Beach Resort, Tranquility Bay, Bourbon Orleans Hotel, Henderson Beach Resort, Henderson Park Inn, Cavallo Point, Kimpton Palomar Phoenix, L'auberge De Sedona, Orchards Inn, Westin San Diego, and Havana Cabana, among others. It owns over 36 hotels and resorts with approximately 9,600 rooms. The Company has positioned its portfolio to be operated both under global brand families as well as independent boutique hotels in the lifestyle segment.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Director at DRH Sells 20,000 Shares
- Sale Details: On June 12, 2026, Kathleen Merrill, a director at DiamondRock Hospitality Company, sold 20,000 shares at $11.88 each for a total of $238,000, representing 19% of her direct holdings, which now stand at 84,335 shares, although she still retains over 84,000 shares valued at approximately $1 million.
- Strong Operating Performance: Over the past year, DiamondRock's shares have surged about 61%, reflecting resilient demand, with management reporting a 2.0% increase in comparable RevPAR and an 8% rise in adjusted EBITDA to $60.6 million in Q1, while adjusted FFO per diluted share climbed nearly 16% to $0.22.
- Strategic Capital Recycling: The company has agreed to sell its Courtyard by Marriott New York Manhattan/Fifth Avenue property for $33 million, aiming to recycle capital into higher-return opportunities, thereby enhancing free cash flow per share and demonstrating disciplined capital allocation by management.
- Future Outlook for Investors: While Merrill's sale raises questions, the focus for long-term investors should be on whether DiamondRock can continue to improve hotel profitability, execute portfolio optimization, and deliver another strong earnings report on July 31, which will be crucial for assessing the company's sustained performance.
See More
Kathleen Merrill Sells 20,000 Shares of DiamondRock Hospitality
- Insider Selling Details: Kathleen Merrill disclosed the sale of 20,000 shares on June 12, representing 19% of her pre-sale holdings, reducing her direct ownership from 104,335 to 84,335 shares, with a transaction value of $237,600, indicating a cautious outlook on the company's future.
- Holding Value Assessment: Post-transaction, Merrill retains 84,335 shares valued at approximately $1.01 million at market close, suggesting that despite the sale, she maintains a significant stake, reflecting confidence in the company's long-term prospects.
- Company Performance Highlights: DiamondRock Hospitality's stock surged about 61% over the past year, with Q1 comparable RevPAR up 2.0% and adjusted EBITDA rising 8% to $60.6 million, demonstrating strong operational momentum amid resilient market demand.
- Strategic Capital Recycling: The company agreed to sell its Courtyard by Marriott New York property for $33 million, aligning with its strategy to recycle capital into higher-return opportunities, which is expected to enhance free cash flow per share and bolster investor confidence.
See More
DiamondRock Hospitality Rated Among Top Dividend Stocks
- Dividend Stock Recommendation: DiamondRock Hospitality Company (NASDAQ:DRH) is listed among the 13 best dividend stocks under $25, indicating its appeal to investors, particularly in the current market climate.
- Analyst Upgrade: Ladenburg raised DRH's price target from $13 to $14 while reiterating a Buy rating, anticipating that the re-rating of the hotel REIT sector will continue as the Iran conflict ends and World Cup demand supports the industry.
- Barclays Analyst Perspective: Barclays analyst Richard Hightower increased DRH's price target from $10 to $12, maintaining an Equal Weight rating, but expressed caution regarding the lodging sector's rapid relative outperformance, suggesting that valuations may have risen too quickly.
- Company Overview: DiamondRock is a self-advised real estate investment trust that owns a geographically diversified portfolio of hotels, focusing on leisure destinations and gateway markets, highlighting its strategic positioning within the travel and hospitality sector.
See More
DiamondRock Hospitality to Report Q2 2026 Financial Results
- Earnings Release Schedule: DiamondRock Hospitality Company will report its Q2 2026 financial results after market close on July 30, 2026, expected to provide critical financial data and business outlook, aiding investors in assessing the company's market performance and future potential.
- Conference Call Timing: The company will hold a conference call on July 31, 2026, at 10:00 a.m. Eastern Time to discuss its Q2 financial results and business outlook, aimed at enhancing communication with investors and providing transparency.
- Participation Details: Interested individuals are required to register in advance to obtain dial-in and webcast details, with registration links and instructions available on the company's investor website, ensuring participants can smoothly access the call.
- Company Overview: DiamondRock Hospitality Company is a self-advised REIT that currently owns 34 premium quality hotels and resorts with approximately 9,400 rooms, strategically positioning its portfolio in leisure destinations and top gateway markets, showcasing strong market competitiveness.
See More
DiamondRock Hospitality to Report Q2 2026 Financial Results
- Earnings Report Schedule: DiamondRock Hospitality Company will release its Q2 2026 financial results after market close on July 30, 2026, which is expected to significantly impact investors and the market.
- Conference Call Timing: The company will hold a conference call on July 31, 2026, at 10:00 a.m. ET to discuss financial results and business outlook, providing a link for participants to obtain dial-in and webcast details.
- Replay Availability: A replay of the conference call will be available two hours after the live event on the company's website, ensuring that investors who cannot attend live can access critical information.
- Company Overview: DiamondRock Hospitality Company is a self-advised REIT that currently owns 34 premium hotels and resorts with approximately 9,400 rooms, strategically positioned in leisure destinations and top gateway markets.
See More
DiamondRock Sells Manhattan Hotel Asset for $33M
- Asset Sale: DiamondRock Hospitality announced on Monday the sale of its leasehold interest in the 189-room Courtyard by Marriott New York Manhattan/Fifth Avenue for $33 million, indicating the company's ongoing capital recycling amid rising cost pressures.
- Financial Metrics: The transaction implies a 6.3x multiple on projected 2025 hotel adjusted EBITDA and a capitalization rate of 13.3%, reflecting the asset's profitability and market appeal.
- Investment Challenges: Although the hotel's net operating income more than doubled from 2019 to 2025, upcoming investment requirements and structural expense headwinds have diminished its attractiveness relative to internal return thresholds.
- Outlook: DiamondRock has raised its 2026 RevPAR outlook to 1.5%-3.5% and guided adjusted EBITDA between $296 million and $308 million, demonstrating the company's confidence in future growth.
See More
Director at DRH Sells 20,000 Shares
- Sale Details: On June 12, 2026, Kathleen Merrill, a director at DiamondRock Hospitality Company, sold 20,000 shares at $11.88 each for a total of $238,000, representing 19% of her direct holdings, which now stand at 84,335 shares, although she still retains over 84,000 shares valued at approximately $1 million.
- Strong Operating Performance: Over the past year, DiamondRock's shares have surged about 61%, reflecting resilient demand, with management reporting a 2.0% increase in comparable RevPAR and an 8% rise in adjusted EBITDA to $60.6 million in Q1, while adjusted FFO per diluted share climbed nearly 16% to $0.22.
- Strategic Capital Recycling: The company has agreed to sell its Courtyard by Marriott New York Manhattan/Fifth Avenue property for $33 million, aiming to recycle capital into higher-return opportunities, thereby enhancing free cash flow per share and demonstrating disciplined capital allocation by management.
- Future Outlook for Investors: While Merrill's sale raises questions, the focus for long-term investors should be on whether DiamondRock can continue to improve hotel profitability, execute portfolio optimization, and deliver another strong earnings report on July 31, which will be crucial for assessing the company's sustained performance.
See More
Kathleen Merrill Sells 20,000 Shares of DiamondRock Hospitality
- Insider Selling Details: Kathleen Merrill disclosed the sale of 20,000 shares on June 12, representing 19% of her pre-sale holdings, reducing her direct ownership from 104,335 to 84,335 shares, with a transaction value of $237,600, indicating a cautious outlook on the company's future.
- Holding Value Assessment: Post-transaction, Merrill retains 84,335 shares valued at approximately $1.01 million at market close, suggesting that despite the sale, she maintains a significant stake, reflecting confidence in the company's long-term prospects.
- Company Performance Highlights: DiamondRock Hospitality's stock surged about 61% over the past year, with Q1 comparable RevPAR up 2.0% and adjusted EBITDA rising 8% to $60.6 million, demonstrating strong operational momentum amid resilient market demand.
- Strategic Capital Recycling: The company agreed to sell its Courtyard by Marriott New York property for $33 million, aligning with its strategy to recycle capital into higher-return opportunities, which is expected to enhance free cash flow per share and bolster investor confidence.
See More
DiamondRock Hospitality Rated Among Top Dividend Stocks
- Dividend Stock Recommendation: DiamondRock Hospitality Company (NASDAQ:DRH) is listed among the 13 best dividend stocks under $25, indicating its appeal to investors, particularly in the current market climate.
- Analyst Upgrade: Ladenburg raised DRH's price target from $13 to $14 while reiterating a Buy rating, anticipating that the re-rating of the hotel REIT sector will continue as the Iran conflict ends and World Cup demand supports the industry.
- Barclays Analyst Perspective: Barclays analyst Richard Hightower increased DRH's price target from $10 to $12, maintaining an Equal Weight rating, but expressed caution regarding the lodging sector's rapid relative outperformance, suggesting that valuations may have risen too quickly.
- Company Overview: DiamondRock is a self-advised real estate investment trust that owns a geographically diversified portfolio of hotels, focusing on leisure destinations and gateway markets, highlighting its strategic positioning within the travel and hospitality sector.
See More
DiamondRock Hospitality to Report Q2 2026 Financial Results
- Earnings Release Schedule: DiamondRock Hospitality Company will report its Q2 2026 financial results after market close on July 30, 2026, expected to provide critical financial data and business outlook, aiding investors in assessing the company's market performance and future potential.
- Conference Call Timing: The company will hold a conference call on July 31, 2026, at 10:00 a.m. Eastern Time to discuss its Q2 financial results and business outlook, aimed at enhancing communication with investors and providing transparency.
- Participation Details: Interested individuals are required to register in advance to obtain dial-in and webcast details, with registration links and instructions available on the company's investor website, ensuring participants can smoothly access the call.
- Company Overview: DiamondRock Hospitality Company is a self-advised REIT that currently owns 34 premium quality hotels and resorts with approximately 9,400 rooms, strategically positioning its portfolio in leisure destinations and top gateway markets, showcasing strong market competitiveness.
See More
DiamondRock Hospitality to Report Q2 2026 Financial Results
- Earnings Report Schedule: DiamondRock Hospitality Company will release its Q2 2026 financial results after market close on July 30, 2026, which is expected to significantly impact investors and the market.
- Conference Call Timing: The company will hold a conference call on July 31, 2026, at 10:00 a.m. ET to discuss financial results and business outlook, providing a link for participants to obtain dial-in and webcast details.
- Replay Availability: A replay of the conference call will be available two hours after the live event on the company's website, ensuring that investors who cannot attend live can access critical information.
- Company Overview: DiamondRock Hospitality Company is a self-advised REIT that currently owns 34 premium hotels and resorts with approximately 9,400 rooms, strategically positioned in leisure destinations and top gateway markets.
See More
DiamondRock Sells Manhattan Hotel Asset for $33M
- Asset Sale: DiamondRock Hospitality announced on Monday the sale of its leasehold interest in the 189-room Courtyard by Marriott New York Manhattan/Fifth Avenue for $33 million, indicating the company's ongoing capital recycling amid rising cost pressures.
- Financial Metrics: The transaction implies a 6.3x multiple on projected 2025 hotel adjusted EBITDA and a capitalization rate of 13.3%, reflecting the asset's profitability and market appeal.
- Investment Challenges: Although the hotel's net operating income more than doubled from 2019 to 2025, upcoming investment requirements and structural expense headwinds have diminished its attractiveness relative to internal return thresholds.
- Outlook: DiamondRock has raised its 2026 RevPAR outlook to 1.5%-3.5% and guided adjusted EBITDA between $296 million and $308 million, demonstrating the company's confidence in future growth.
See More
