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Marriott International Stock At New All-Time-High Due To Pent-Up Demand For Tourism

Published 09/01/2024, 13:29
Updated 09/01/2024, 14:40
© Reuters.  Marriott International Stock At New All-Time-High Due To Pent-Up Demand For Tourism
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Benzinga - by Surbhi Jain, .

Marriott International Inc (NASDAQ:MAR) stock made new all-time highs on Jan. 8 as it closed above $228, up 2.6% for the day.

The high-end of the 52-week range for the stock now stands at $228.29. The hospitality sector firm known for its hotels, resorts, and lodging facilities has been buoyed through 2023 by post-covid tailwinds.

Pent-up demand for tourism steered the stock up over 50% over the past year, surpassing its peer Hilton Worldwide Holdings Inc (NYSE:HLT) and the S&P 500.

For the past year, Marriott International’s stock has been fueled by:

  • Pent-up post-covid demand helping the top line.
  • Operational excellence protecting the bottom line of the business.

Also Read: Hotel Brand Marriott Tightens Annual EPS Forecast; Records 12% Topline Growth In Q3

PE multiples for MAR and HLT. Data, courtesy of Yahoo! Finance

On the valuation front, Marriott International stock currently offers better value relative to its close competitor, Hilton Worldwide Holdings. On a forward P/E basis, the difference gets marginal.

However, analyst consensus on the stock does not indicate an upside from here. Jefferies analyst David Katz, who recently rated the stock on Jan. 2 maintained a Hold rating with a price target of $227.

Analyst ratings for MAR and HLT. Data, courtesy of Yahoo! Finance

Consensus Wall Street analyst ratings indicate an average price target of $213.84, 6.31% below the new all-time-high level the stock just made.

Could it be time to take profits off the table?

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Now Read: Marriott International’s Exceptional Market Performance – Surpassing The S&P 500 With Resilient Growth And Record Highs In 2023

Image: Shutterstock

© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Read the original article on Benzinga

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