Hudson Bay Capital Boosts Stake in DiamondRock Hospitality

The hedge fund acquired over 1 million shares of the real estate investment trust in Q3 2025.

Mar. 20, 2026 at 9:37am

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Hudson Bay Capital Management LP acquired a new position in shares of DiamondRock Hospitality Company (NYSE:DRH) in the 3rd quarter of 2025, according to a recent SEC filing. The fund purchased 1,143,025 shares of the real estate investment trust's stock, valued at approximately $9.1 million. This represents a 0.56% ownership stake in DiamondRock Hospitality.

Why it matters

The increased investment by Hudson Bay Capital in DiamondRock Hospitality signals the hedge fund's confidence in the real estate investment trust's growth potential. DiamondRock Hospitality owns and manages a portfolio of upscale hotels in key U.S. markets, which could benefit from the continued recovery in business and leisure travel.

The details

Hudson Bay Capital's new position in DiamondRock Hospitality was established in the third quarter of 2025. The fund acquired 1,143,025 shares of the REIT, representing a 0.56% ownership stake. This was a significant increase from the fund's prior position, if any, in the company.

  • Hudson Bay Capital acquired the DiamondRock Hospitality shares in the third quarter of 2025.

The players

Hudson Bay Capital Management LP

A hedge fund that acquired a new position in shares of DiamondRock Hospitality Company in the third quarter of 2025.

DiamondRock Hospitality Company

A real estate investment trust that owns and manages a portfolio of upscale hotels in key U.S. markets.

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The takeaway

Hudson Bay Capital's increased stake in DiamondRock Hospitality suggests the hedge fund sees growth potential in the hotel REIT as the travel industry continues to recover from the pandemic. The investment highlights the appeal of DiamondRock's portfolio of upscale properties in major U.S. markets.