Marriott International Inc., or how the owner of a hotel chain is doing on the stock exchange

Thanks to the media, we all know what the room looks like, or rather the two-level apartment where the President of the United States stayed in Warsaw, Joe Biden. The hotel in which the apartment is located belongs to an American chain Marriott International, which is also widely known, if only by the name itself visible on the top of the building. Nevertheless, how is the American hospitality giant doing on the stock market and has it made up for the pandemic losses?

Marriott on the Stock Exchange

Last week, for one share, Marriott International Inc. had to pay just over USD 180, which is the highest since May 5, 2022. This is higher than before the pandemic hit markets, including the hospitality industry. Then the company's share price dropped from around $150 to around $60. So the return seems impressive, and the historical peak of the share price fell in April 2022. Then, one share cost less than $ 190. The current share price seems to be also reflected in the company's financial results.

Marriott International Inc. returned with the value of sales in his business to pre-pandemic levels and even surpassed it. In the last reported quarter, the company reported revenue of USD 5,92 billion against the consensus of USD 5,38 billion. In turn, just before the pandemic, revenue was around $5,4 billion for the quarter. What's more, the company is expected to increase revenues in the coming years, and so in 2023 they may amount to PLN 22,8 billion, in 2024 - 23,76 billion, and in 2025 they may increase to USD 25,6 billion. Conversely, EPS GAAP earnings per share was the highest in MAR history in the last reported quarter at $2,12. In turn, for the whole of 2023, the consensus assumes that EPS will amount to USD 7,73, in 2024 USD 8,58, and in 2025 it may increase to USD 11,64.

The company is listed with P/E ratio at 23,8x and forward P/E is 22,5x. Net profit of the network and franchisor for the last 12 reported months amounted to USD 2,35 billion, which is also a record result. In summary, Marriott International, Inc. founded in 1927, which operates properties under 30 brands in 138 countries and territories, delivered solid financial results, increasing its revenues and earnings per share and recovering from pandemic losses.