10-K · February 27, 2026
Sunstone reiterates an active, lifecycle acquisition/disposition strategy focused on upper‑upscale and luxury hotels and emphasizes maintaining “appropriate leverage” and financial flexibility to create shareholder…
Earnings analysis · 10-Q
SHO earnings analysis
Filed May 5, 2026 · Our reading of the company's report
The latest report
Sunstone Hotel Investors, Inc. reported Q1 2026 revenues of $259.7 million, exceeding the estimate of $246.4 million, while earnings per share (EPS) came in lower at $0.08, compared to the expected $0.22. The company…
Read full summary
Sunstone Hotel Investors, Inc. reported Q1 2026 revenues of $259.7 million, exceeding the estimate of $246.4 million, while earnings per share (EPS) came in lower at $0.08, compared to the expected $0.22. The company noted significant operational recovery despite challenges from severe storms affecting their Wailea Beach Resort and has raised its full-year guidance for net income.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.08
What stood out
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Revenue Exceeded Estimates
Reported revenue of $259.7 million surpassed the estimated $246.4 million, showing a year-over-year increase of 11.0%.
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Dramatic EPS Decrease
Diluted EPS was $0.08 against an estimated $0.22, a substantial miss compared to prior performance.
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Strong RevPAR Growth
RevPAR for Andaz Miami Beach reached $487.56, contributing to significant revenue increases.
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Sustained Net Income Growth
Net income attributable to common stockholders surged to $15.96 million from $1.32 million, a 1,105.1% increase year-over-year.
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Increased Cash from Operations
Net cash provided by operating activities was $45.4 million, up from $32.0 million in Q1 2025.
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Enhanced Liquidity Post-Storm
Despite storm challenges, available liquidity includes $91.1 million in unrestricted cash.
What to watch
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Weather-Related Disruptions
Severe storms impacted revenues with continued uncertainties, particularly affecting Wailea Beach Resort.
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Higher Operating Costs Risks
Inflationary pressures on wages and commodities may outpace revenue growth.
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Geopolitical Uncertainty Threatens Demand
Ongoing geopolitical issues may dampen international travel demand, impacting overall revenues.
Management's outlook
Guidance raised for full-year net income expected between $34 million and $48 million.
Earlier filings 4
10-Q · November 7, 2025
Sunstone reported total revenues of $229.3M for Q3 2025, up $2.9M (1.3%) versus Q3 2024 but down materially versus the prior quarter. Margins compressed (gross to 56.9% and operating margin to 5.2%) and common…
10-Q · May 6, 2025
Sunstone reported Q1 revenues of $234.1M (up from $217.2M a year ago) with room, food & beverage and other operating revenues all higher. Operating margin held near 7.0% (operating expenses $217.6M) but net income…
10-K · February 21, 2025
Sunstone (SHO) positions itself as an active acquirer/operator of upper-upscale and luxury hotels, emphasizing disciplined capital recycling, asset management oversight and appropriate leverage to preserve flexibility.…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.