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If You Invested $1000 in Marriott International a Decade Ago, This is How Much It'd Be Worth Now

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How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.

Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.

What if you'd invested in Marriott International (MAR - Free Report) ten years ago? It may not have been easy to hold on to MAR for all that time, but if you did, how much would your investment be worth today?

Marriott International's Business In-Depth

With that in mind, let's take a look at Marriott International's main business drivers.

Marriott International Inc. is a leading worldwide hospitality company focused on lodging management and franchising, after the spin-off of its timeshare business into a publicly-traded company in Nov 2011.

During fourth-quarter 2022, the company added 145 new properties (22,589 rooms) to its worldwide lodging portfolio. At the end of fourth-quarter 2022, Marriott's development pipeline totaled 3,028 hotels, with approximately 496,000 rooms. Nearly 199,000 rooms were under construction.

As of Feb 14, 2023, the company operated, franchised and acted as a licensor of hotels and timeshare properties to more than 8,100 properties across 138 countries and territories under 30 brand names.

The company has grouped its brand portfolio into three groups:

Luxury: The company’s classic luxury hotel brands include JW Marriott, The Ritz-Carlton, and St. Regis. Meanwhile, Marriott’s distinctive luxury hotel brands comprise W Hotels, The Luxury Collection, EDITION, and Bulgari.

Premium: The company’s classic premium hotel brands include Marriott Hotels, Sheraton, Delta Hotels, Marriott Executive Apartments, and Marriott Vacation Club. Moreover, its distinctive premium hotel brands comprise Westin, Renaissance, Le Méridien, Autograph Collection, Gaylord Hotels, Tribute Portfolio and Design Hotels.

Select: The company’s classic select hotel brand include Courtyard, Residence Inn, Fairfield by Marriott, SpringHill Suites, Four Points, TownePlace Suites, and Protea Hotels. Meanwhile, Marriott’s distinctive select hotel brands comprise Aloft, AC Hotels by Marriott, Element, and Moxy.

Bottom Line

While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Marriott International ten years ago, you're probably feeling pretty good about your investment today.

A $1000 investment made in April 2013 would be worth $4,207.82, or a 320.78% gain, as of April 25, 2023, according to our calculations. Investors should note that this return excludes dividends but includes price increases.

In comparison, the S&P 500 gained 162.04% and the price of gold went up 30.49% over the same time frame.

Looking ahead, analysts are expecting more upside for MAR.

Shares of Marriott have outperformed the industry in the past three months. The company is benefiting from its focus on expansion initiatives, digital innovation and the loyalty program. Marriott is gaining from reopening international borders and leniency in travel restrictions. The company is consistently trying to expand its worldwide presence and capitalize on the demand for hotels in the international markets. Earnings estimates for 2023 have increased in the past 30 days, depicting analysts’ optimism regarding the stock’s growth potential. However, coronavirus-related woes persist. Although most properties have lifted or eased restrictions, RevPAR is still lagging behind pre-pandemic levels especially in Greater China. The company expects demand to remain uneven in the near term.

The stock has jumped 11.34% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 3 higher, for fiscal 2023; the consensus estimate has moved up as well.

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