Bethesda, MD - Drew Pinto, Executive Vice President and Chief Revenue and Technology Officer at Marriott International Inc. (NASDAQ:MAR), has sold 1,000 shares of the company's Class A Common Stock. The shares were sold on November 8 at a weighted average price of $280.719 per share, with the highest price being $280.75 and the lowest $280.70. This transaction amounted to a total value of $280,719. Following this sale, Pinto holds 4,996 shares of Marriott's common stock. Additionally, he retains 5,819 shares in the form of Class A Common Restricted Stock Units.
In other recent news, Marriott International has experienced a series of financial adjustments and projections. TD (TSX:TD) Cowen maintained a Buy rating on Marriott, adjusting the price target from $295.00 to $283.00 due to the company's third-quarter performance and future expectations. Marriott's third-quarter Revenue per Available Room (RevPAR) increased by 3%, and a 2-3% increase is anticipated for the fourth quarter. The company also announced a cost reduction plan, aiming to cut $80-90 million in General and Administrative expenses.
BMO (TSX:BMO) Capital Markets raised Marriott's price target from $255.00 to $265.00, maintaining a Market Perform rating. The firm highlighted Marriott's cost-savings initiatives aimed at 2025, which are expected to balance lower fee growth projections. Mizuho (NYSE:MFG) Securities increased Marriott's price target to $246.00 from $233.00, maintaining a Neutral rating. The firm anticipates improvements in Marriott's algorithmic fee growth and the contribution of MGM rooms to net unit growth in 2024.
Baird raised Marriott's price target from $258.00 to $264.00, maintaining a Neutral rating. The firm anticipates improvements in Marriott's organic net unit growth starting in 2025, with the company's expense reductions expected to enhance earnings estimates. Lastly, Goldman Sachs (NYSE:GS) increased Marriott's price target from $267.00 to $280.00, maintaining a Buy rating. The firm highlighted Marriott's cost savings initiative, expected to generate $80-$90 million in savings in the next year. These are the recent developments in the company's financial landscape.
InvestingPro Insights
As Drew Pinto reduces his stake in Marriott International Inc. (NASDAQ:MAR), investors might be curious about the company's current financial standing and market position. According to InvestingPro data, Marriott boasts a substantial market capitalization of $79.7 billion, reflecting its dominant position in the hospitality industry.
The company's financial health appears robust, with a gross profit margin of 81.95% for the last twelve months as of Q3 2024, underscoring Marriott's efficiency in managing costs. This aligns with an InvestingPro Tip highlighting the company's "impressive gross profit margins."
Marriott's stock has shown strong performance, with a 33.56% price total return over the past three months. This upward momentum is further supported by another InvestingPro Tip indicating a "significant return over the last week." The stock is currently trading near its 52-week high, with a price that is 99.95% of its highest point over the past year.
Investors should note that while Marriott demonstrates strength in many areas, it also trades at a relatively high P/E ratio of 28.51 (adjusted for the last twelve months as of Q3 2024). This valuation metric suggests that the stock may be priced at a premium compared to its earnings potential.
For those seeking a more comprehensive analysis, InvestingPro offers 18 additional tips on Marriott International, providing a deeper dive into the company's financial health and market position. These insights can be particularly valuable for investors looking to make informed decisions in light of recent insider selling activity.
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