Marriott Vacations Worldwide Corporation (NYSE:VAC) Sees Large Increase in Short Interest

Key Points

• Marriott Vacations Worldwide experienced a significant increase in short interest, climbing 34.8% in August to a total of 3,020,000 shares, representing 9.6% of the company's stock.
• Despite a decline of 1.1% in stock price, Marriott reported earnings of $1.96 per share for the quarter, exceeding analysts' expectations and showing a 9.3% year-over-year revenue increase.
• The company plans to pay a quarterly dividend of $0.79, reflecting an annual yield of approximately 4.0% and a payout ratio of 47.52%.

Marriott Vacations Worldwide Corporation (NYSE:VAC - Get Free Report) was the recipient of a large increase in short interest in August. As of August 15th, there was short interest totaling 3,020,000 shares, an increase of 34.8% from the July 31st total of 2,240,000 shares. Based on an average daily trading volume, of 566,000 shares, the short-interest ratio is currently 5.3 days. Approximately 9.6% of the company's stock are sold short. Approximately 9.6% of the company's stock are sold short. Based on an average daily trading volume, of 566,000 shares, the short-interest ratio is currently 5.3 days.

Marriott Vacations Worldwide Stock Down 2.9%

Marriott Vacations Worldwide stock traded down $2.32 during mid-day trading on Friday, reaching $77.13. The stock had a trading volume of 366,352 shares, compared to its average volume of 303,514. The company has a market capitalization of $2.67 billion, a price-to-earnings ratio of 11.60, a PEG ratio of 1.16 and a beta of 1.48. The company has a 50-day moving average price of $77.96 and a two-hundred day moving average price of $69.49. Marriott Vacations Worldwide has a one year low of $49.22 and a one year high of $100.32. The company has a debt-to-equity ratio of 2.17, a current ratio of 3.55 and a quick ratio of 2.90.

Marriott Vacations Worldwide (NYSE:VAC - Get Free Report) last posted its earnings results on Monday, August 4th. The company reported $1.96 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.72 by $0.24. The business had revenue of $1.25 billion for the quarter, compared to analysts' expectations of $1.22 billion. Marriott Vacations Worldwide had a net margin of 5.10% and a return on equity of 11.74%. The business's revenue for the quarter was up 9.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.10 EPS. Marriott Vacations Worldwide has set its FY 2025 guidance at 6.400-7.100 EPS. On average, analysts expect that Marriott Vacations Worldwide will post 6.23 EPS for the current fiscal year.

Marriott Vacations Worldwide Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Wednesday, September 17th will be paid a dividend of $0.79 per share. The ex-dividend date is Wednesday, September 17th. This represents a $3.16 annualized dividend and a yield of 4.1%. Marriott Vacations Worldwide's dividend payout ratio is currently 47.52%.

Insider Activity at Marriott Vacations Worldwide

In other Marriott Vacations Worldwide news, Director Christian Asmar bought 337,551 shares of the company's stock in a transaction dated Wednesday, June 18th. The shares were purchased at an average price of $68.11 per share, for a total transaction of $22,990,598.61. Following the acquisition, the director owned 4,045,984 shares in the company, valued at approximately $275,571,970.24. This represents a 9.10% increase in their position. The purchase was disclosed in a filing with the SEC, which can be accessed through this link. Company insiders own 1.60% of the company's stock.

Hedge Funds Weigh In On Marriott Vacations Worldwide

Several hedge funds and other institutional investors have recently bought and sold shares of VAC. Fuller & Thaler Asset Management Inc. lifted its stake in Marriott Vacations Worldwide by 32.2% during the 1st quarter. Fuller & Thaler Asset Management Inc. now owns 1,822,687 shares of the company's stock valued at $117,089,000 after acquiring an additional 444,126 shares during the period. Point72 Asset Management L.P. bought a new position in Marriott Vacations Worldwide during the 4th quarter valued at about $37,974,000. Norges Bank bought a new position in Marriott Vacations Worldwide during the 2nd quarter valued at about $27,971,000. Senvest Management LLC lifted its stake in Marriott Vacations Worldwide by 19.4% during the 2nd quarter. Senvest Management LLC now owns 1,816,012 shares of the company's stock valued at $131,316,000 after acquiring an additional 294,937 shares during the period. Finally, Arrowstreet Capital Limited Partnership lifted its stake in Marriott Vacations Worldwide by 71.6% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 635,977 shares of the company's stock valued at $45,987,000 after acquiring an additional 265,278 shares during the period. Institutional investors own 89.52% of the company's stock.

Wall Street Analysts Forecast Growth

VAC has been the topic of a number of research reports. Stifel Nicolaus set a $101.00 target price on shares of Marriott Vacations Worldwide and gave the company a "buy" rating in a report on Tuesday, August 5th. The Goldman Sachs Group boosted their target price on shares of Marriott Vacations Worldwide from $55.00 to $65.00 and gave the company a "sell" rating in a report on Wednesday, August 6th. Morgan Stanley reiterated an "underweight" rating on shares of Marriott Vacations Worldwide in a research note on Tuesday, July 15th. Finally, Truist Financial dropped their price target on shares of Marriott Vacations Worldwide from $128.00 to $127.00 and set a "buy" rating on the stock in a research note on Thursday, August 21st. Four equities research analysts have rated the stock with a Buy rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus price target of $90.50.

About Marriott Vacations Worldwide

Marriott Vacations Worldwide Corporation, a vacation company, develops, markets, sells, and manages vacation ownership and related businesses, products, and services in the United States and internationally. It operates through two segments, Vacation Ownership and Exchange & Third-Party Management.