We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Marriott Boosts EDITION Line-Up With Second Property in Shanghai
Read MoreHide Full Article
Marriott International, Inc. (MAR - Free Report) recently announced an agreement with New Development Group to open its second EDITION-branded hotel in Shanghai. The move underscores Marriott’s strategic focus on leveraging high-growth urban markets to strengthen its foothold in Greater China. The company looks forward to opening the property in 2026.
Located on Suzhou Creek in the Putuo district, adjacent to Changfeng Park, the luxury lifestyle hotel will likely comprise 278 luxurious guest rooms, including three bespoke restaurants and two sophisticated bars. It will also offer amenities like a swimming pool, spa, state-of-the-art gym and meeting studios.
Bart Buiring, managing director of Luxury, Greater China at Marriott International, highlighted Shanghai's status as one of the world's most vibrant and exciting destinations. He emphasized that the collaboration with New Development Group to introduce the second EDITION Hotel in the city marks a significant addition to Marriott's luxury portfolio in Greater China.
With its modern elegance and exceptional service, the Shanghai EDITION, Changfeng Park, aims to cater to travelers seeking unique, high-end experiences. The property is positioned to become a key addition to Marriott's growing luxury portfolio, which already includes over 70 hotels across Greater China.
More Focus on MAR’s Expansion
Marriott is consistently trying to expand its presence worldwide and capitalize on the demand for hotels in international markets. The company plans to expand its global portfolio of luxury and lifestyle brands. At the end of the third-quarter 2024, Marriott's development pipeline totaled nearly 3,800 hotels, with approximately 585,000 rooms. Nearly 220,000 rooms were under construction. During the quarter, the company added roughly 16,000 rooms to its worldwide lodging portfolio.
In 2024, Marriott anticipates net room growth to be approximately 6.5%. The hotel company is trying to strengthen its presence outside the United States, especially in Asia, Latin America, the Middle East and Africa.
Price Performance of Marriott Stock
Image Source: Zacks Investment Research
Coming to price performance, shares of Marriott have gained 35.2% in the past year compared with the industry’s 34.7% rise. The company benefited from robust leisure demand and business and cross-border travel improvements. During the third quarter of 2024, the company reported steady performance in the United States and Canada as well as a rise in group bookings. Business transient demand increased and leisure transient revenue per available room remained above pre-pandemic levels. Marriott’s portfolio expansion also gained traction, adding over 95,000 rooms this year through conversions and international deals.
However, weak domestic leisure demand and restricted pricing power (owing to macroeconomic pressures) in Greater China remain a concern. During the third quarter, severe weather and a shift of high-end travelers to other regions further exacerbated the situation. The company remains cautious of soft demand and pricing trends in China for the remainder of 2024. Earnings estimates for 2024 have declined in the past 30 days, reflecting analysts' concerns about the stock’s growth potential.
MAR’s Zacks Rank and Stocks to Consider
Marriott currently carries a Zacks Rank #3 (Hold).
CCL has a trailing four-quarter earnings surprise of 318.1%, on average. The stock has surged 76.5% in the past year. The Zacks Consensus Estimate for CCL’s fiscal 2024 sales indicates growth of 16.6% from year-ago levels.
Norwegian Cruise Line Holdings Ltd. (NCLH - Free Report) currently carries a Zacks Rank #2 (Buy). NCLH has a trailing four-quarter earnings surprise of 4.2%, on average. The stock has surged 81.3% in the past year.
The Zacks Consensus Estimate for NCLH’s 2024 sales and EPS indicates growth of 10.2% and 127.1%, respectively, from year-ago levels.
Royal Caribbean Cruises Ltd. (RCL - Free Report) currently carries a Zacks Rank #2. RCL has a trailing four-quarter earnings surprise of 16.2%, on average. The stock has surged 125% in the past year.
The Zacks Consensus Estimate for RCL’s 2024 sales and EPS indicates growth of 18.6% and 71.6%, respectively, from year-ago levels.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report predicting the 7 stocks that will soar highest in the coming month.
Image: Shutterstock
Marriott Boosts EDITION Line-Up With Second Property in Shanghai
Marriott International, Inc. (MAR - Free Report) recently announced an agreement with New Development Group to open its second EDITION-branded hotel in Shanghai. The move underscores Marriott’s strategic focus on leveraging high-growth urban markets to strengthen its foothold in Greater China. The company looks forward to opening the property in 2026.
Located on Suzhou Creek in the Putuo district, adjacent to Changfeng Park, the luxury lifestyle hotel will likely comprise 278 luxurious guest rooms, including three bespoke restaurants and two sophisticated bars. It will also offer amenities like a swimming pool, spa, state-of-the-art gym and meeting studios.
Bart Buiring, managing director of Luxury, Greater China at Marriott International, highlighted Shanghai's status as one of the world's most vibrant and exciting destinations. He emphasized that the collaboration with New Development Group to introduce the second EDITION Hotel in the city marks a significant addition to Marriott's luxury portfolio in Greater China.
With its modern elegance and exceptional service, the Shanghai EDITION, Changfeng Park, aims to cater to travelers seeking unique, high-end experiences. The property is positioned to become a key addition to Marriott's growing luxury portfolio, which already includes over 70 hotels across Greater China.
More Focus on MAR’s Expansion
Marriott is consistently trying to expand its presence worldwide and capitalize on the demand for hotels in international markets. The company plans to expand its global portfolio of luxury and lifestyle brands. At the end of the third-quarter 2024, Marriott's development pipeline totaled nearly 3,800 hotels, with approximately 585,000 rooms. Nearly 220,000 rooms were under construction. During the quarter, the company added roughly 16,000 rooms to its worldwide lodging portfolio.
In 2024, Marriott anticipates net room growth to be approximately 6.5%. The hotel company is trying to strengthen its presence outside the United States, especially in Asia, Latin America, the Middle East and Africa.
Price Performance of Marriott Stock
Image Source: Zacks Investment Research
Coming to price performance, shares of Marriott have gained 35.2% in the past year compared with the industry’s 34.7% rise. The company benefited from robust leisure demand and business and cross-border travel improvements. During the third quarter of 2024, the company reported steady performance in the United States and Canada as well as a rise in group bookings. Business transient demand increased and leisure transient revenue per available room remained above pre-pandemic levels. Marriott’s portfolio expansion also gained traction, adding over 95,000 rooms this year through conversions and international deals.
However, weak domestic leisure demand and restricted pricing power (owing to macroeconomic pressures) in Greater China remain a concern. During the third quarter, severe weather and a shift of high-end travelers to other regions further exacerbated the situation. The company remains cautious of soft demand and pricing trends in China for the remainder of 2024. Earnings estimates for 2024 have declined in the past 30 days, reflecting analysts' concerns about the stock’s growth potential.
MAR’s Zacks Rank and Stocks to Consider
Marriott currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in Zacks Consumer Discretionary sector include:
Carnival Corporation & plc (CCL - Free Report) currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks Rank #1 stocks here.
CCL has a trailing four-quarter earnings surprise of 318.1%, on average. The stock has surged 76.5% in the past year. The Zacks Consensus Estimate for CCL’s fiscal 2024 sales indicates growth of 16.6% from year-ago levels.
Norwegian Cruise Line Holdings Ltd. (NCLH - Free Report) currently carries a Zacks Rank #2 (Buy). NCLH has a trailing four-quarter earnings surprise of 4.2%, on average. The stock has surged 81.3% in the past year.
The Zacks Consensus Estimate for NCLH’s 2024 sales and EPS indicates growth of 10.2% and 127.1%, respectively, from year-ago levels.
Royal Caribbean Cruises Ltd. (RCL - Free Report) currently carries a Zacks Rank #2. RCL has a trailing four-quarter earnings surprise of 16.2%, on average. The stock has surged 125% in the past year.
The Zacks Consensus Estimate for RCL’s 2024 sales and EPS indicates growth of 18.6% and 71.6%, respectively, from year-ago levels.