Marriott International, Inc. (MAR) Stock Valuation — PE Analysis
Travel Lodging · NASDAQ
Current Price
$402.54
PE Ratio (TTM)
41.8x
Intrinsic Value
$568.49
+29.2% margin of safety
COMPETITIVE MOAT
↑Vast Global Brand Portfolio
Marriott boasts a diverse collection of well-recognized brands catering to various traveler segments. This broad appeal allows them to capture market share across different price points and preferences.
↑Loyalty Program Power
The Marriott Bonvoy loyalty program fosters significant customer retention and repeat business. Its extensive reach and benefits create a sticky ecosystem that discourages switching to competitors.
↑Scale and Operational Efficiency
Marriott's immense global footprint enables economies of scale in procurement, marketing, and technology. This operational leverage contributes to cost advantages and consistent service delivery.
INVESTMENT RISKS
↓Intense Industry Competition
The travel lodging industry is highly fragmented and competitive, with numerous global and regional players vying for market share. New entrants and disruptive models pose ongoing threats.
↓Economic Sensitivity and Travel Demand
Marriott's performance is closely tied to global economic conditions and consumer discretionary spending on travel. Downturns or geopolitical instability can significantly impact RevPAR and occupancy rates.
↓Technological Disruption and Innovation
The rise of online travel agencies and evolving guest expectations necessitate continuous investment in technology. Failure to adapt to new platforms and guest experiences could lead to market share erosion.
Base case
MAR base case PE valuation
A base case PE valuation for MAR estimates a fair value of about $568.49 per share, against a current price of $402.54. The model assumes 15.4% annual earnings growth, a 42x target PE multiple, and a 10% discount rate.
Intrinsic Value
$568.49
Margin of safety
+29.2%
Expected annual return
+7.1%
Base case assumptions: 15.4% annual earnings growth, 42x target PE, 10% discount rate, 5 year projection. Data as of 2026-06-12.
This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the MAR PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Marriott International, Inc. respond.
Open PE Calculator for MARCompany Overview
Marriott International, Inc. is a leading global hospitality firm responsible for managing, franchising, and licensing a wide range of accommodation options, including hotels, residential units, and timeshare resorts, on an international scale. The company segments its extensive operations into North America (covering the U.S. and Canada) and its various international divisions. Under its corporate umbrella, Marriott oversees a diverse collection of esteemed brands, such as JW Marriott, The Ritz-Carlton, W Hotels, Sheraton, Westin, and Courtyard, among many others. As of February 15, 2022, its impressive network encompassed nearly 8,000 properties—specifically 7,989 establishments—operating across 139 countries and territories under 30 distinct hotel brand names. Established in 1927, Marriott International, Inc. maintains its corporate headquarters in Bethesda, Maryland.
Financial Metrics — MAR PE Stock Valuation Data
PE Ratio (TTM)
41.8x
PEG Ratio
5.04
Earnings Yield
2.39%
ROE (TTM)
-74.1%
Revenue/Share (TTM)
$98.98
Dividend Yield
0.68%
Debt/Equity
n/m
Frequently Asked Questions
What is the PE ratio of MAR?
The trailing twelve-month PE ratio of MAR reflects how much investors pay per dollar of Marriott International, Inc.'s earnings. This metric is most useful when compared to Travel Lodging peers and the company's own historical range.
Is MAR overvalued based on PE ratio?
MAR's PE of 41.8x combined with a PEG ratio of 5.04 provides a growth-adjusted perspective. A PEG above 2.0 suggests MAR may be richly valued even accounting for growth. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical Travel Lodging, a DCF analysis may be more appropriate.
How do I value MAR stock using PE ratio?
To value Marriott International, Inc. using PE: (1) Compare the current PE (41.8x) against the Travel Lodging median to assess relative pricing, (2) check the PEG ratio (5.04) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
What is the PEG ratio of MAR?
MAR's PEG ratio is 5.04, calculated by dividing the PE ratio (41.8x) by the expected earnings growth rate. A PEG above 2.0 often signals the stock is priced aggressively relative to its growth trajectory. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for MAR stock valuation?
PE ratio gives a quick relative read — how MAR is priced versus Travel Lodging peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
Learn More
- See MAR DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Consumer Cyclical valuationsP/E and DCF value MAR with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-06-12. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.