The Analyst Landscape: 5 Takes On Marriott Vacations

In the latest quarter, 5 analysts provided ratings for Marriott Vacations VAC, showcasing a mix of bullish and bearish perspectives.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $104.6, a high estimate of $149.00, and a low estimate of $65.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 24.2%.

Exploring Analyst Ratings: An In-Depth Overview

In examining recent analyst actions, we gain insights into how financial experts perceive Marriott Vacations. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Marriott Vacations. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Marriott Vacations compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Marriott Vacations's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

For valuable insights into Marriott Vacations's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Marriott Vacations analyst ratings.

Get to Know Marriott Vacations Better

Marriott Vacations Worldwide Corp functions in the United States leisure industry. It owns and manages a cluster of resorts and accommodation facilities under trademarks like Marriott Vacation Club, Grand Residencies, and The Ritz-Carlton Destination Club predominantly in the United States. Some of its properties are also spread across Europe and Asia Pacific. Marriott's major revenue components include the sale of vacation ownership products such as luxurious vacation packages. In addition, it offers purchase money financing to the end users of its core services. The company operates in two reportable segments: Vacation Ownership and Exchange & Third-Party Management. The majority of revenue is derived from the Vacation Ownership segment.

Marriott Vacations's Financial Performance

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Challenges: Marriott Vacations's revenue growth over 3 months faced difficulties. As of 30 September, 2023, the company experienced a decline of approximately -5.27%. This indicates a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Consumer Discretionary sector.

Net Margin: Marriott Vacations's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 3.54%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Marriott Vacations's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 1.72%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Marriott Vacations's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.44%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: Marriott Vacations's debt-to-equity ratio is below the industry average at 2.1, reflecting a lower dependency on debt financing and a more conservative financial approach.

Understanding the Relevance of Analyst Ratings

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

This article was generated by Benzinga's automated content engine and reviewed by an editor.