Q4 Earnings Highs And Lows: Marriott (NASDAQ:MAR) Vs The Rest Of The Travel and Vacation Providers Stocks
As the Q4 earnings season wraps, let’s dig into this quarter’s best and worst performers in the travel and vacation providers industry, including Marriott (NASDAQ:MAR) and its peers.
Airlines, hotels, resorts, and cruise line companies often sell experiences rather than tangible products, and in the last decade-plus, consumers have slowly shifted from buying "things" (wasteful) to buying "experiences" (memorable). In addition, the internet has introduced new ways of approaching leisure and lodging such as booking homes and longer-term accommodations. Traditional airlines, hotel, resorts, and cruise line companies must innovate to stay relevant in a market rife with innovation.
The 17 travel and vacation providers stocks we track reported a mixed Q4. As a group, revenues beat analysts’ consensus estimates by 1.6% while next quarter’s revenue guidance was 3.5% above.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 7.1% since the latest earnings results.
Marriott (NASDAQ:MAR)
Founded by J. Willard Marriott in 1927, Marriott International (NASDAQ:MAR) is a global hospitality company with a portfolio of over 7,000 properties and 30 brands, spanning 130+ countries and territories.
Marriott reported revenues of $6.43 billion, up 5.5% year on year. This print exceeded analysts’ expectations by 0.6%. Despite the top-line beat, it was still a mixed quarter for the company with a decent beat of analysts’ EPS estimates but EBITDA guidance for next quarter missing analysts’ expectations.
Anthony Capuano, President and Chief Executive Officer, said, "Marriott achieved excellent results in 2024, as we delivered best-in-class experiences that helped drive strong demand for our industry-leading portfolio of brands. Full year global RevPAR rose 4.3 percent and, with record gross room additions of over 123,000, net rooms grew 6.8 percent to over 1.7 million rooms worldwide at year-end.
Sporting a roster of beachfront properties, Playa Hotels & Resorts (NASDAQ:PLYA) is an owner, operator, and developer of all-inclusive resorts in prime vacation destinations.
Playa Hotels & Resorts reported revenues of $218.9 million, down 9.7% year on year, outperforming analysts’ expectations by 1.3%. The business had a very strong quarter with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ adjusted operating income estimates.
Playa Hotels & Resorts Total Revenue
However, the results were likely priced into the stock as it’s traded sideways since reporting. Shares currently sit at $13.40.
Founded in 1957, Hyatt Hotels (NYSE:H) is a global hospitality company with a portfolio of 20 premier brands and over 950 properties across 65 countries.
Hyatt Hotels reported revenues of $1.60 billion, down 3.5% year on year, falling short of analysts’ expectations by 3.1%. It was a softer quarter as it posted a significant miss of analysts’ adjusted operating income and EPS estimates.
Hyatt Hotels delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 15.4% since the results and currently trades at $137.25.
Boasting outrageous amenities like a planetarium on board its ships, Carnival (NYSE:CCL) is one of the world's largest leisure travel companies and a prominent player in the cruise industry.
Carnival reported revenues of $5.94 billion, up 10% year on year. This result met analysts’ expectations. It was a strong quarter as it also recorded an impressive beat of analysts’ EPS estimates and a decent beat of analysts’ adjusted operating income estimates.
The stock is down 10.7% since reporting and currently trades at $22.48.
Spun off from Hilton Worldwide in 2017, Hilton Grand Vacations (NYSE:HGV) is a global timeshare company that provides travel experiences for its customers through its timeshare resorts and club membership programs.
Hilton Grand Vacations reported revenues of $1.28 billion, up 26% year on year. This number beat analysts’ expectations by 0.9%. Taking a step back, it was a softer quarter as it logged a significant miss of analysts’ EPS estimates.
Hilton Grand Vacations pulled off the fastest revenue growth among its peers. The stock is up 1.2% since reporting and currently trades at $41.
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