J.P.Morgan cuts Marriott Vacations Worldwide PT on Maui recovery

Marriott Vacations Worldwide

03/06/2024 12:17

** J.P.Morgan cuts PT on hospitality company Marriott
Vacations Worldwide Corp  VAC.N  to $108 from $116
    ** Brokerage says VAC's Q2 forecast on contract sales is
below its estimates
    ** VAC, on Friday, said it expected Q2 contract sales to be
up 2% to 4% compared to prior year, despite an expected
four-point headwind due to Maui wildfires
    ** "While it is possible that consumer softness could be
attributable to the lower 2Q24 target, we suspect that it is
more likely a function of stagnating improvements in Maui" - JPM
    ** Brokerage does not see any observable catalyst with stock
and believes that shares could remain cheap as the recovery in
Maui poses a risk to its full-year guidance
    ** Five of nine brokerages rate the stock "buy" or higher,
three "hold" and one "sell"; their median PT is $116
    ** Up to Friday's close, stock had risen ~6% YTD

 (Reporting by Kannaki Deka)
 ((Kannaki.Deka@thomsonreuters.com))