Marriott International logged a -0.35% change during today's afternoon session, and is now trading at a price of $167.15 per share. The S&P 500 index moved -1.5% and the Nasdaq posted a -1.47% change.
Marriott International shares moved 4.05% over the last 52 weeks, with a high of $194.24 and a low of $130.14. During this time, the stock outperformed the S&P 500 index by 10.85%. As of January 2022, the company's 50-day average price is $167.0. Marriott International, Inc. is an American multinational company that operates, franchises, and licenses lodging including hotel, residential, and timeshare properties. The large-cap Consumer Discretionary company is based in Bethesda, MD. Marriott International has returned a 0.92% dividend yield over the last 12 months.
The Company Has Brought Its Debt Under Control:
| 2019-12-31 | 2020-12-31 | 2021-12-31 | 2022-12-31 | |
|---|---|---|---|---|
| Revenue (MM) | $20,972 | $10,571 | $13,857 | $20,773 |
| Revenue Growth | n/a | -49.59% | 31.09% | 49.91% |
| Operating Margins | 8.58% | 0.79% | 12.63% | 16.67% |
| Operating Margins Growth | n/a | -90.79% | 1498.73% | 31.99% |
| Net Margins | 6.07% | -2.53% | 7.93% | 11.35% |
| Net Margins Growth | n/a | -141.68% | 413.44% | 43.13% |
| Earnings Per Share | $3.93 | -$0.82 | $3.37 | $7.59 |
| EPS Growth | n/a | -120.87% | 510.98% | 125.22% |
| Diluted Shares (MM) | 324 | 324 | 326 | 311 |
| Free Cash Flow (MM) | $1,032 | $1,504 | $994 | $2,031 |
| FCF Growth | n/a | 45.74% | -33.91% | 104.33% |
| Capital Expenditures (MM) | $653 | $135 | $183 | $332 |
| Net Debt / EBITDA | 8.57 | 0.96 | -0.24 | 0.07 |
Marriott International Is Too Expensive at Current Levels:
Compared to the Consumer Discretionary sector's average of 22.33, Marriott International has a trailing twelve month P/E ratio of 23.12 and, according to its EPS guidance of 8.66, an expected P/E ratio of 19.3. Marriott International's PEG ratio is 0.23 based on its 99.8% annual average growth rate of historical and projected earnings per share. However, we believe that it is more prudent to calculate the PEG ratio using the broader market's 5-year expected EPS growth rate of 13.05%, because the growth rate implied by Marriott International's past and expected EPS is probably not sustainable. This more prudent approach shows a PEG ratio of 1.77, which suggests that the company's shares are actually overvalued.
Marriott International's P/B ratio is 47.45 compared to its sector average of 3.12. The company is likely overvalued in terms of its net asset value. The company's shares are currently trading 1213.04% above their fair value as expressed by Benjamin Graham's formula:
√(22.5 * 5-year average EPS * book value per share) = √(22.5 * 3.94 * 1.829) = $12.73
Most of the Market Indicators on Marriott International Are Negative:
17 analysts are following Marriott International and have set target prices ranging from $168.0 to $205.0 per share. On average, they have given the company a rating of hold. At the current price of $167.15, MAR is trading -7.89% away from its average analyst target price of $181.47 per share, implying an analyst consensus of some upside potential for the stock.
The company has no information on the number of shares sold short since 2% of the company's shares are tied to short positions. Institutions own 62% of Marriott International's shares, while the insider ownership rate stands at 20%.
