Sunstone Hotel Secures $1.35 Billion Credit Agreement

Sunstone Hotel ( (SHO) ) has provided an update.

On September 24, 2025, Sunstone Hotel Investors, Inc. entered into a Third Amended and Restated Credit Agreement with a total borrowing capacity of $1.35 billion. This agreement, which includes a $500 million revolving credit facility and three term loans totaling $850 million, aims to address near-term maturities, extend loan durations, and strengthen the company’s balance sheet. The credit facilities, led by major financial institutions, are designed to enhance Sunstone’s financial flexibility and lower borrowing costs through interest rate swaps, with over 75% of its debt now subject to fixed rates. The company plans to use the proceeds to consolidate its prior loans and repay its revolving credit facility, delaying the draw of $90 million until January 2026 to repay Series A Senior Notes, ensuring no debt maturities until 2028.

The most recent analyst rating on (SHO) stock is a Hold with a $10.00 price target. To see the full list of analyst forecasts on Sunstone Hotel stock, see the SHO Stock Forecast page.

Spark’s Take on SHO Stock

According to Spark, TipRanks’ AI Analyst, SHO is a Neutral.

Sunstone Hotel’s overall stock score is primarily influenced by its stable financial position and efficient cash flow management. However, the high P/E ratio suggests overvaluation, and mixed earnings call results indicate potential challenges ahead. The technical indicators show a neutral trend, with no strong momentum in either direction.

To see Spark’s full report on SHO stock, click here.

More about Sunstone Hotel

Sunstone Hotel Investors, Inc. is a lodging real estate investment trust (REIT) focused on acquiring, owning, and disposing of well-located hotel and resort real estate to create long-term stakeholder value.

Average Trading Volume: 2,242,632

Technical Sentiment Signal: Hold

Current Market Cap: $1.83B

See more insights into SHO stock on TipRanks’ Stock Analysis page.