(VAC) Marriot Vacations Worldwide - NYSE
Sector: Consumer Cyclical | Industry: Resorts & Casinos | Exchange: NYSE (USA) | Market Cap: 3.073m USD | Total Return: 40.9% in 12m
Avg Turnover: 41.8M
EPS Trend: -62.7%
Qual. Beats: -1
Rev. Trend: 77.0%
Qual. Beats: 0
Warnings
Interest Coverage Ratio -1.3 is critical
Altman Z'' 1.08 < 1.0 - financial distress zone
Tailwinds
Rs Leader, Idiosyncratic Leader, Tailwind
Marriott Vacations Worldwide (VAC) is a pure-play vacation ownership company that develops, markets, and manages a portfolio of branded resorts and exchange programs. Operating through two segments-Vacation Ownership and Exchange & Third-Party Management-the company leverages high-equity hospitality brands including Marriott, Westin, Sheraton, and Ritz-Carlton. Its business model integrates real estate development with recurring revenue streams from property management fees, membership dues, and consumer financing of intervals.
The vacation ownership industry differs from traditional hospitality by utilizing a points-based or fractional ownership system, which typically generates higher customer loyalty and more predictable occupancy rates. VAC further diversifies its income through Interval International, a global exchange network that allows owners to trade their intervals for stays at affiliated resorts worldwide. Investors can find deeper analysis of these recurring revenue components on ValueRay.
Headquartered in Orlando, Florida, the company maintains an extensive network of sales centers and off-site locations to drive inventory turnover. In addition to its core timeshare business, VAC provides third-party management services and operates a residential branding arm for luxury whole-ownership products. This integrated approach allows the company to capture value across the entire vacation lifecycle, from initial sale and financing to long-term resort operations.
- Contract sales volume growth drives recurring management fees and interest income
- Net interest margin compression impacts profitability of consumer financing portfolio
- Consumer discretionary spending shifts influence occupancy rates and rental revenue
- High interest rates increase cost of capital for resort development projects
- Integration of Hyatt Vacation Club portfolio expands market share and margins
| Net Income: -342.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA -2.39 > 1.0 |
| NWC/Revenue: 25.94% < 20% (prev 54.95%; Δ -29.01% < -1%) |
| CFO/TA 0.00 > 3% & CFO 16.0m > Net Income -342.0m |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 8.47 > 1.5 & < 3 |
| Outstanding Shares: last quarter (34.9m) vs 12m ago -16.90% < -2% |
| Gross Margin: 26.82% > 18% (prev 51.99%; Δ -25.17% > 0.5%) |
| Asset Turnover: 47.53% > 50% (prev 50.31%; Δ -2.79% > 0%) |
| Interest Coverage Ratio: -1.31 > 6 (EBIT TTM -226.0m / Interest Expense TTM 173.0m) |
| A: 0.12 (Total Current Assets 1.36b - Total Current Liabilities 161.0m) / Total Assets 9.64b |
| B: 0.04 (Retained Earnings 429.0m / Total Assets 9.64b) |
| C: -0.02 (EBIT TTM -226.0m / Avg Total Assets 9.76b) |
| D: 0.26 (Book Value of Equity 1.99b / Total Liabilities 7.64b) |
| Altman-Z'' = 1.08 = BB |
| DSRI: 0.16 (Receivables 416.0m/2.83b, Revenue 4.64b/4.97b) |
| GMI: 1.94 (GM 51.99% / 26.82%) |
| AQI: 1.61 (AQ_t 0.76 / AQ_t-1 0.47) |
| SGI: 0.93 (Revenue 4.64b / 4.97b) |
| TATA: -0.04 (NI -342.0m - CFO 16.0m) / TA 9.64b) |
| Beneish M = -2.56 (Cap -4..+1) = A |
As of June 10, 2026, the stock is trading at USD 89.63 with a total of 465,016 shares traded.
Over the past week, the price has changed by -0.03%,
over one month by +20.41%,
over three months by +31.75% and
over the past year by +40.92%.
Marriot Vacations Worldwide has received a consensus analysts rating of 3.36. Therefore, it is recommended to hold VAC.
- StrongBuy: 5
- Buy: 1
- Hold: 1
- Sell: 1
- StrongSell: 3
| Analysts Target Price | 87.3 | -2.6% |
P/E Forward = 6.9735
P/S = 0.9218
P/B = 1.4977
P/EG = 1.48
Revenue TTM = 4.64b USD
EBIT TTM = -226.0m USD
EBITDA TTM = -81.0m USD
Long Term Debt = 5.37b USD (from longTermDebt, last quarter)
Short Term Debt = 161.0m USD (from shortTermDebt, last quarter)
Debt = 5.84b USD (from shortLongTermDebtTotal, last quarter) + Leases 198.0m
Net Debt = 5.58b USD (calculated: Debt 5.84b - CCE 268.0m)
Enterprise Value = 8.65b USD (3.07b + Debt 5.84b - CCE 268.0m)
Interest Coverage Ratio = -1.31 (Ebit TTM -226.0m / Interest Expense TTM 173.0m)
EV/FCF = 77.24x (Enterprise Value 8.65b / FCF TTM 112.0m)
FCF Yield = 1.29% (FCF TTM 112.0m / Enterprise Value 8.65b)
FCF Margin = 2.41% (FCF TTM 112.0m / Revenue TTM 4.64b)
Net Margin = -7.37% (Net Income TTM -342.0m / Revenue TTM 4.64b)
Gross Margin = 26.82% ((Revenue TTM 4.64b - Cost of Revenue TTM 3.39b) / Revenue TTM)
Gross Margin QoQ = 13.52% (prev 14.66%)
Tobins Q-Ratio = 0.90 (Enterprise Value 8.65b / Total Assets 9.64b)
Interest Expense / Debt = 2.96% (Interest Expense 173.0m / Debt 5.84b)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -178.5m (EBIT -226.0m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 3.16 (Total Current Assets 1.36b / Total Current Liabilities 431.0m)
Debt / Equity = 2.93 (Debt 5.84b / totalStockholderEquity, last quarter 1.99b)
Debt / EBITDA = -68.85 (negative EBITDA) (Net Debt 5.58b / EBITDA -81.0m)
Debt / FCF = 49.79 (Net Debt 5.58b / FCF TTM 112.0m)
Total Stockholder Equity = 2.23b (last 4 quarters mean from totalStockholderEquity)
RoA = -3.50% (Net Income -342.0m / Total Assets 9.64b)
RoE = -15.31% (Net Income TTM -342.0m / Total Stockholder Equity 2.23b)
RoCE = -2.97% (EBIT -226.0m / Capital Employed (Equity 2.23b + L.T.Debt 5.37b))
RoIC = -1.90% (negative operating profit) (NOPAT -178.5m / Invested Capital 9.40b)
WACC = 5.40% (E(3.07b)/V(8.92b) * Re(11.22%) + D(5.84b)/V(8.92b) * Rd(2.96%) * (1-Tc(0.21)))
Discount Rate = 11.22% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -94.28 | Cagr: -8.38%
[DCF] Terminal Value 73.10% ; FCFF base≈207.6m ; Y1≈182.1m ; Y5≈147.1m
[DCF] Fair Price = N/A (negative equity: EV 2.36b - Net Debt 5.58b = -3.22b; debt exceeds intrinsic value)
EPS Correlation: -62.75 | EPS CAGR: -10.38% | SUE: -2.41 | # QB: -1
Revenue Correlation: 77.04 | Revenue CAGR: 13.69% | SUE: 0.31 | # QB: 0
EPS current Quarter (2026-06-30): EPS=1.98 | Chg30d=-4.41% | Revisions=-54% | Analysts=10
EPS next Quarter (2026-09-30): EPS=1.96 | Chg30d=+10.30% | Revisions=+54% | Analysts=10
EPS current Year (2026-12-31): EPS=7.51 | Chg30d=-0.79% | Revisions=-8% | GrowthEPS=+4.9% | GrowthRev=+3.8%
EPS next Year (2027-12-31): EPS=8.45 | Chg30d=+0.85% | Revisions=+20% | GrowthEPS=+12.5% | GrowthRev=+2.9%
[Analyst] Revisions Ratio: -54%