In a recent transaction, Rena Hozore Reiss, Executive Vice President and General Counsel at Marriott International Inc. (NASDAQ:MAR), sold 3,487 shares of the company's Class A common stock. The shares were sold at an average price of $276.13 each, amounting to a total of $962,865. Following this transaction, Reiss holds 21,615 shares of Marriott's common stock directly. Additionally, she retains 7,198 shares in the form of restricted stock units.
In other recent news, Marriott International has seen several adjustments in financial forecasts from various analyst firms. TD Cowen maintained a Buy rating on Marriott while reducing its price target from $295.00 to $283.00, reflecting Marriott's third-quarter performance and future expectations. The company's third-quarter Revenue per Available Room (RevPAR) increased by 3%, and a 2-3% increase is expected for the fourth quarter. Despite some adjustments, the firm's 2025 outlook remains optimistic, with an expected increase in the number of units and a significant cost reduction plan aiming to cut $80-90 million in General and Administrative expenses.
BMO Capital Markets increased Marriott's price target from $255.00 to $265.00, maintaining its Market Perform rating. The firm highlighted Marriott's cost-saving initiatives aimed at 2025, which are expected to balance lower fee growth projections. Mizuho (NYSE:MFG) Securities also adjusted its outlook, increasing the price target to $246.00, maintaining a Neutral rating. This revision reflects an optimistic view of the company's future performance, particularly in relation to its algorithmic fee growth.
Baird increased 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. Goldman Sachs (NYSE:GS) raised the hotel chain's price target from $267.00 to $280.00, highlighting Marriott's long-term prospects, including a new 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 Marriott International's Executive Vice President and General Counsel, Rena Hozore Reiss's recent stock sale comes at a time when the company's financial metrics and market performance are showing strength. According to InvestingPro data, Marriott's stock is trading near its 52-week high, with a robust 45.66% total return over the past year. This performance aligns with the company's impressive financial results, including a gross profit margin of 81.95% for the last twelve months as of Q3 2024.
InvestingPro Tips highlight that Marriott operates with a moderate level of debt and has been aggressively buying back shares, potentially indicating management's confidence in the company's financial position and future prospects. These factors may contribute to the stock's strong performance and could be relevant context for executive stock transactions.
However, investors should note that the stock's current valuation metrics suggest it may be trading at a premium. The company's P/E ratio stands at 29.18, which InvestingPro Tips indicate is high relative to near-term earnings growth. Additionally, Marriott is trading at high EBITDA and revenue valuation multiples, which could be points of consideration for potential investors.
For those seeking a more comprehensive analysis, InvestingPro offers 17 additional tips for Marriott International, providing a deeper dive into the company's financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.