Capital International Boosts Stake in Marriott by 25.8% Amid Market Shifts

Capital International Sarl has increased its holdings in Marriott International, Inc. by 25.8% during the third quarter of 2023, according to the company’s latest 13F filing with the Securities and Exchange Commission (SEC). The investment firm now owns a total of 41,237 shares, valued at approximately $10,740,000 following the acquisition of an additional 8,448 shares during this period.

Other large investors have also adjusted their stakes in Marriott. Capital International Ltd. CA raised its position by 15.2%, acquiring 3,273 shares to bring its total to 24,741 shares valued at $6,444,000. Similarly, Capital International Inc. CA increased its holdings by 14.6%, now owning 132,815 shares valued at $34,590,000 after purchasing 16,876 shares.

Capital Group Investment Management PTE. LTD. expanded its investment in Marriott by 24.1%, now holding 4,561 shares valued at $1,188,000, while Bank of Montreal Can increased its holdings by 14.9%, bringing its total to 497,686 shares worth $129,617,000. Legal & General Group Plc also lifted its stake by 9.3%, owning 1,465,420 shares valued at $381,654,000. Currently, institutional investors and hedge funds control 70.70% of Marriott’s stock.

In insider trading news, Rajeev Menon, an insider at Marriott, sold 3,492 shares on February 19, 2024, at an average price of $354.00, totaling just over $1.2 million. Post-sale, Menon holds 6,000 shares valued at approximately $2,124,000, marking a 36.79% decrease in his position. Similarly, Executive Vice President Drew Pinto sold 4,000 shares on February 17, 2024, at an average price of $359.81, resulting in a total of $1,439,240. Pinto’s remaining 8,221 shares are valued at nearly $2,958,000, reflecting a 32.73% reduction in his holdings.

Over the past three months, insiders have collectively sold 97,157 shares of Marriott stock, valued at $34,768,825. Insiders currently own 10.68% of the company’s shares.

Marriott’s Recent Stock Performance and Financial Outlook

On February 10, 2024, Marriott International reported its latest quarterly earnings, revealing earnings per share (EPS) of $2.58, slightly below analysts’ consensus estimates of $2.61. Despite this, the company reported a year-over-year revenue increase of 4.1%, generating $6.69 billion during the quarter, which surpassed analyst expectations of $6.67 billion.

Marriott’s market performance shows a 52-week low of $205.40 and a high of $370.00. The stock opened at $328.86 on Tuesday, with a market capitalization of $87.14 billion. The company’s price-to-earnings ratio stands at 34.65, while its beta is noted at 1.09. Research analysts predict Marriott will post an EPS of 10.1 for the current fiscal year.

Looking ahead, Marriott has set its fiscal year 2026 guidance in the range of $11.320 to $11.570 EPS, with a first quarter guidance of $2.500 to $2.550 EPS.

Dividend Declaration and Corporate Profile

Marriott International has declared a quarterly dividend of $0.67 per share, set to be paid on March 31, 2024. Shareholders of record as of February 26, 2024, will receive this dividend, indicating an annualized yield of 0.8%. The company’s dividend payout ratio currently stands at 28.24%.

Founded by J. Willard Marriott, Marriott International is a leading global lodging company that develops, manages, and franchises a diverse portfolio of hotels and related facilities. Its operations span various market segments, catering to both business and leisure travelers, thereby solidifying its position in the competitive hospitality industry.