Keefe, Bruyette & Woods has reaffirmed its market perform rating for shares of Sunrise Realty Trust (NASDAQ: SUNS) in a research report released on Thursday, October 8, 2023. The firm set a target price of $9.50 for the stock, a decrease from the previous target of $10.75. This rating comes amid varied assessments from investment analysts, with Weiss Ratings also issuing a “sell (d)” rating for the company.
The analysis from Keefe, Bruyette & Woods reflects a cautious outlook on the stock, which has garnered a mixed response from other analysts. Currently, one analyst rates it as a Strong Buy, two have given it a Buy rating, one has assigned a Hold rating, and another has issued a Sell rating. According to data from MarketBeat, Sunrise Realty Trust holds a consensus rating of “Moderate Buy” with an average price target of $12.75.
Recent Financial Performance and Dividend Announcement
Sunrise Realty Trust recently reported its earnings results on April 22, 2023, revealing earnings per share (EPS) of $0.30 for the quarter. The company has demonstrated a return on equity of 7.76% and boasts a net margin of 62.48%. Analysts project that Sunrise Realty Trust will post an EPS of $0.58 for the current fiscal year.
In a significant development for shareholders, the company announced a quarterly dividend of $0.30 per share, scheduled for payment on January 15, 2024. This dividend will benefit stockholders recorded on December 31, 2023, representing an annualized dividend of $1.20 and a dividend yield of 12.8%. The ex-dividend date is also set for December 31, 2023. It is noteworthy that Sunrise Realty Trust’s dividend payout ratio stands at 110.09%.
Insider Activity and Institutional Investments
In related news, Leonard M. Tannenbaum, Chairman of Sunrise Realty Trust, acquired 100,000 shares of the company on December 31, 2023, at an average price of $9.40 per share. This transaction, valued at $940,000, increased his total holdings to 585,681 shares, worth approximately $5,505,401.40. This acquisition was disclosed in a legal filing with the Securities and Exchange Commission (SEC).
Insider purchases have amounted to 225,000 shares worth $2,137,194 over the past three months, indicating a strong commitment from company leadership. Currently, insiders hold 24.80% of the company’s stock.
Several institutional investors have also made significant movements in their holdings of Sunrise Realty Trust. Nisa Investment Advisors LLC increased its stake by 61.6% in the second quarter, now owning 3,014 shares valued at $33,000. Bank of America Corp DE grew its position by 60.4% during the fourth quarter, acquiring an additional 1,952 shares to reach a total of 5,183 shares worth $73,000.
Also noteworthy is the 90.1% increase in stake by MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd., now holding 6,077 shares valued at $67,000. Rhumbline Advisers and GatePass Capital LLC have similarly increased their stakes, reflecting growing interest from institutional investors.
Sunrise Realty Trust operates as a real estate investment trust (REIT) focused on acquiring, owning, and leasing convenience store and fuel retail properties under long-term net leases. The company primarily engages in sale-leaseback transactions and joint-venture investments with high-credit tenants in the convenience retail sector, aiming to provide stable cash flows through structured lease agreements and tenant-driven improvements.
