Marriott Vacations Worldwide (NYSE:VAC) Releases Quarterly Earnings Results, Beats Estimates By $0.07 EPS

Marriott Vacations Worldwide (NYSE:VAC) issued its quarterly earnings results on Wednesday. The company reported $2.64 EPS for the quarter, topping the consensus estimate of $2.57 by $0.07, FiscalAI reports. The business had revenue of $1.37 billion for the quarter, compared to analysts’ expectations of $1.42 billion. Marriott Vacations Worldwide had a negative net margin of 6.47% and a positive return on equity of 12.27%. The company’s quarterly revenue was up 8.2% compared to the same quarter last year. During the same quarter last year, the company posted $1.69 earnings per share.

Here are the key takeaways from Marriott Vacations Worldwide’s conference call:

• Third-quarter contract sales rose 29% to $565 million and adjusted EBITDA increased 27% to $216 million. Marriott Vacations raised the midpoint of its full-year guidance to $2.13 billion in contract sales and $820 million in adjusted EBITDA.
• Commercial initiatives drove VPG up 30% to $4,822, while marketing and sales costs fell to 48% of contract sales, a 600-basis-point improvement year over year. Management said owner engagement, upgraded loyalty tiers, and its sales-tour matching system are contributing, with further growth initiatives still scaling.
• Net corporate leverage declined to 3.6 times from 4.2 times at the start of the year, and the company expects $420 million of adjusted free cash flow for 2026. Management said it continues to prioritize debt reduction while retaining flexibility for shareholder returns.
• Hurricane Lowell is expected to reduce 2026 profits by $16 million, including an estimated $11 million in the fourth quarter, primarily because the Sheraton Kaua?i Resort is expected to remain closed through year-end. The damage also delays the resort’s planned sale by a couple of quarters, though the company expects to sell it in 2027 and pursue an insurance claim.

Marriott Vacations Worldwide Price Performance

Shares of NYSE VAC traded down $6.70 during trading on Thursday, hitting $107.71. The company had a trading volume of 251,872 shares, compared to its average volume of 514,703. The company has a debt-to-equity ratio of 2.65, a quick ratio of 2.99 and a current ratio of 3.56. The company has a market cap of $3.71 billion, a P/E ratio of -11.08, a PEG ratio of 2.57 and a beta of 1.31. The business’s 50-day moving average is $106.53 and its 200 day moving average is $87.05. Marriott Vacations Worldwide has a 52 week low of $44.58 and a 52 week high of $131.34.

Marriott Vacations Worldwide Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Wednesday, September 16th were issued a $0.80 dividend. The ex-dividend date of this dividend was Wednesday, September 16th. This represents a $3.20 annualized dividend and a dividend yield of 3.0%. Marriott Vacations Worldwide’s dividend payout ratio is currently -32.85%.

Analysts Set New Price Targets

VAC has been the subject of a number of research analyst reports. Wall Street Zen upgraded Marriott Vacations Worldwide from a “hold” rating to a “buy” rating in a report on Saturday, August 15th. Weiss Ratings upgraded Marriott Vacations Worldwide from a “hold (c-)” rating to a “hold (c)” rating in a research report on Monday. Susquehanna boosted their price target on shares of Marriott Vacations Worldwide from $110.00 to $115.00 and gave the stock a “neutral” rating in a research report on Thursday, October 15th. Barclays boosted their price target on shares of Marriott Vacations Worldwide from $94.00 to $140.00 and gave the stock an “overweight” rating in a research report on Friday, August 7th. Finally, JPMorgan Chase & Co. assumed coverage on shares of Marriott Vacations Worldwide in a report on Thursday, October 8th. They issued an “overweight” rating and a $125.00 price objective for the company. Eight analysts have rated the stock with a Buy rating, four have given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $107.75.

Insider Buying and Selling at Marriott Vacations Worldwide

In other news, Director Christian Asmar sold 750,000 shares of the company’s stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $111.49, for a total transaction of $83,617,500.00. Following the completion of the sale, the director directly owned 3,380,818 shares of the company’s stock, valued at $376,927,398.82. This represents a 18.16% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Kathleen A. Pighini sold 2,500 shares of the stock in a transaction on Monday, August 17th. The shares were sold at an average price of $120.00, for a total value of $300,000.00. Following the completion of the transaction, the insider owned 10,821 shares of the company’s stock, valued at $1,298,520. This trade represents a 18.77% decrease in their position. The disclosure for this sale is available in the SEC filing. Corporate insiders own 13.30% of the company’s stock.

Key Stories Impacting Marriott Vacations Worldwide

Here are the key news stories impacting Marriott Vacations Worldwide this week:

• Positive Sentiment: Third-quarter EPS of $2.64 beat consensus estimates, and earnings rose from $1.69 a year earlier. Contract sales increased 29% to $565 million, while volume per guest grew 30% to $4,822—signs of improving sales momentum. Marriott Vacations Worldwide Tops Q3 Earnings Estimates Marriott Vacations: 3 Key Takeaways for Long-Term Investors
• Neutral Sentiment: Revenue grew 8.2% year over year to $1.37 billion, but was below analysts’ $1.42 billion estimate, tempering the earnings beat. Marriott Vacations Worldwide Reports Third Quarter 2026 Financial Results
• Negative Sentiment: Wells Fargo cut its price target from $100 to $97 and reiterated an “underweight” rating, signaling the firm sees downside from the recent share level. Wells Fargo analyst recommendations

Marriott Vacations Worldwide Company Profile

Marriott Vacations Worldwide Corporation (NYSE:VAC) is a global vacation ownership and leisure travel company. It develops, markets, sells, and manages vacation ownership interests, which provide customers with access to accommodations and resort experiences through points-based and deeded ownership programs. The company also operates related vacation exchange, rental, resort management, and travel businesses.

Its portfolio includes vacation ownership and related offerings under brands such as Marriott Vacation Club, Sheraton Vacation Club, Westin Vacation Club, Grand Residences by Marriott, and Aqua-Aston.