Dj Marriott International Inc. Stock Falls 3.5%, Underperforms Peers

As the Q3 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the travel and vacation providers industry, including Marriott 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 Q3. As a group, revenues beat analysts’ consensus estimates by 1.2% while next quarter’s revenue guidance was in line.

In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results.

Marriott

Founded by J. Willard Marriott in 1927, Marriott International 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 $6.49 billion, up 3.7% year on year. This print exceeded analysts’ expectations by 0.9%. Despite the top-line beat, it was still a mixed quarter for the company with a decent beat of analysts’ adjusted operating income estimates but EBITDA guidance for next quarter slightly missing analysts’ expectations.

Interestingly, the stock is up 16.2% since reporting and currently trades at $306.62.

Is now the time to buy Marriott? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q3: Lindblad Expeditions

Founded by explorer Sven-Olof Lindblad in 1979, Lindblad Expeditions offers cruising experiences to remote destinations in partnership with National Geographic.

Lindblad Expeditions reported revenues of $240.2 million, up 16.6% year on year, outperforming analysts’ expectations by 4.6%. The business had a very strong quarter with a beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.

Lindblad Expeditions achieved the fastest revenue growth among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 1.4% since reporting. It currently trades at $12.03.

Is now the time to buy Lindblad Expeditions? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Hilton Grand Vacations

Spun off from Hilton Worldwide in 2017, Hilton Grand Vacations 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 $1.3 billion, flat year on year, falling short of analysts’ expectations by 5%. It was a disappointing quarter as it posted a significant miss of analysts’ revenue estimates and a significant miss of analysts’ adjusted operating income estimates.

Hilton Grand Vacations delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 3.5% since the results and currently trades at $42.64.

Read our full analysis of Hilton Grand Vacations’s results here.

Hyatt Hotels

Founded in 1957, Hyatt Hotels is a global hospitality company with a portfolio of 20 premier brands and over 950 properties across 65 countries.

Hyatt Hotels reported revenues of $1.79 billion, up 9.6% year on year. This print came in 1.7% below analysts' expectations. Overall, it was a softer quarter as it also produced a significant miss of analysts’ EPS estimates and full-year EBITDA guidance missing analysts’ expectations.

The stock is up 16.9% since reporting and currently trades at $161.28.

Read our full, actionable report on Hyatt Hotels here, it’s free for active Edge members.

Travel + Leisure

Formerly known as Wyndham Destinations, Travel + Leisure is a global vacation company that provides travelers with vacation ownership, exchange, and travel services.

Travel + Leisure reported revenues of $1.04 billion, up 5.1% year on year. This result topped analysts’ expectations by 1%. Aside from that, it was a satisfactory quarter as it also recorded a decent beat of analysts’ adjusted operating income estimates but a miss of analysts’ tours conducted estimates.

The stock is up 13.7% since reporting and currently trades at $69.

Read our full, actionable report on Travel + Leisure here, it’s free for active Edge members.