Marriott Vacations Worldwide Corporation (NYSE:VAC) Sees Large Growth 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 target of a large growth in short interest in August. As of August 15th, there was short interest totaling 3,020,000 shares, agrowthof34.8% from the July 31st total of 2,240,000 shares. Currently,9.6% of the company's stock are sold short. Based on an average trading volume of 566,000 shares, the days-to-cover ratio is currently 5.3 days. Based on an average trading volume of 566,000 shares, the days-to-cover ratio is currently 5.3 days. Currently,9.6% of the company's stock are sold short.

Analyst Ratings Changes

Several equities research analysts have recently weighed in on VAC shares. The Goldman Sachs Group boosted their target price on shares of Marriott Vacations Worldwide from $55.00 to $65.00 and gave the stock a "sell" rating in a research report on Wednesday, August 6th. Morgan Stanley reissued an "underweight" rating on shares of Marriott Vacations Worldwide in a research note on Tuesday, July 15th. Barclays cut their price target on shares of Marriott Vacations Worldwide from $97.00 to $88.00 and set an "overweight" rating on the stock in a report on Monday, May 12th. Truist Financial dropped their price objective 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. Finally, Stifel Nicolaus set a $101.00 price objective on shares of Marriott Vacations Worldwide and gave the stock a "buy" rating in a report on Tuesday, August 5th. Four investment analysts have rated the stock with a Buy rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average price target of $90.50.

Marriott Vacations Worldwide Stock Down 1.1%

VAC traded down $0.88 during trading hours on Monday, hitting $78.15. 357,717 shares of the company's stock were exchanged, compared to its average volume of 318,706. The stock has a market cap of $2.70 billion, a price-to-earnings ratio of 11.75, a PEG ratio of 1.15 and a beta of 1.48. Marriott Vacations Worldwide has a 1-year low of $49.22 and a 1-year high of $100.32. The stock's 50-day moving average is $78.04 and its two-hundred day moving average is $69.60. The company has a quick ratio of 2.90, a current ratio of 3.55 and a debt-to-equity ratio of 2.17.

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

Marriott Vacations Worldwide Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Wednesday, September 17th will be given a $0.79 dividend. This represents a $3.16 dividend on an annualized basis and a dividend yield of 4.0%. The ex-dividend date of this dividend is Wednesday, September 17th. Marriott Vacations Worldwide's payout ratio is presently 47.52%.

Insider Buying and Selling at Marriott Vacations Worldwide

In other Marriott Vacations Worldwide news, Director Christian Asmar bought 412,449 shares of Marriott Vacations Worldwide stock in a transaction that occurred on Tuesday, June 17th. The shares were acquired at an average price of $67.61 per share, for a total transaction of $27,885,676.89. Following the acquisition, the director owned 3,708,433 shares of the company's stock, valued at $250,727,155.13. The trade was a 12.51% increase in their position. The acquisition was disclosed in a filing with the SEC, which can be accessed through this link. Insiders own 1.60% of the company's stock.

Institutional Investors Weigh In On Marriott Vacations Worldwide

Several institutional investors and hedge funds have recently bought and sold shares of VAC. Dimensional Fund Advisors LP lifted its holdings in shares of Marriott Vacations Worldwide by 2.6% in the first quarter. Dimensional Fund Advisors LP now owns 1,931,782 shares of the company's stock worth $124,101,000 after acquiring an additional 48,585 shares during the last quarter. Fuller & Thaler Asset Management Inc. increased its position 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 purchasing an additional 444,126 shares during the period. Senvest Management LLC increased its stake in shares of Marriott Vacations Worldwide by 19.4% in 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 in the last quarter. Hotchkis & Wiley Capital Management LLC increased its stake in shares of Marriott Vacations Worldwide by 8.1% in the 1st quarter. Hotchkis & Wiley Capital Management LLC now owns 1,139,334 shares of the company's stock valued at $73,191,000 after acquiring an additional 85,230 shares in the last quarter. Finally, T. Rowe Price Investment Management Inc. increased its stake in shares of Marriott Vacations Worldwide by 2.8% in the 1st quarter. T. Rowe Price Investment Management Inc. now owns 800,315 shares of the company's stock valued at $51,413,000 after acquiring an additional 21,631 shares in the last quarter. Institutional investors own 89.52% of the company's stock.

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.

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