These Analysts Cut Their Forecasts On Marriott After Q2 Results

Author: Avi Kapoor | August 01, 2024 02:01pm

Marriott International, Inc (NASDAQ:MAR) reported weaker-than-expected revenue for its second quarter on Wednesday.

The company reported second-quarter adjusted earnings per share of $2.50, beating the street view of $2.47. Quarterly sales of $6.439 billion missed the analyst consensus of $6.483 billion.

International RevPAR rose over 7%, driven by a notable 13% increase in Asia Pacific (excluding China) compared to the previous year.

Anthony Capuano, President and Chief Executive Officer, said, "Marriott reported strong second quarter results, with net rooms up 6 percent year over year and worldwide RevPAR growth of nearly 5 percent, as consumers continued to prioritize travel".

Marriott expects third quarter 2024 gross fee revenues to range between $1.275 billion and $1.29 billion, with adjusted EPS projected to be $2.27 to $2.33, falling short of the $2.38 estimate.

Marriott projects full-year 2024 adjusted EPS between $9.23 and $9.40, significantly below the $9.50 estimate (prior view: $9.31 to $9.65), with gross fee revenues of $5.13 billion to $5.18 billion (prior view $5.18 billion to $5.28 billion).

Marriott shares fell 4.7% to trade at $216.45 on Thursday.

These analysts made changes to their price targets on Marriott following earnings announcement.

• Baird analyst Michael Bellisario maintained Marriott Intl with a Neutral rating and slashed the price target from $252 to $245.
• Wells Fargo analyst Daniel Politzer maintained the stock with an Equal-Weight rating and lowered the price target from $248 to $238.
• Barclays analyst Brandt Montour maintained Marriott Intl with an Equal-Weight rating, while cutting the price target from $251 to $240.
• Deutsche Bank analyst Carlo Santarelli maintained Marriott Intl with a Hold and lowered the price target from $222 to $216..

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Posted In: MAR