Marriott International, Inc. (MAR) Stock Valuation — PE Analysis
Travel Lodging · NASDAQ
Current Price
$381.12
PE Ratio (TTM)
40.0x
Intrinsic Value
$333.4
-14.3% margin of safety
COMPETITIVE MOAT
↑Vast Loyalty Program Ecosystem
Marriott Bonvoy boasts millions of members, creating significant switching costs and a powerful network effect. This program drives repeat business and brand loyalty.
↑Brand Portfolio Strength
Marriott's diverse portfolio of brands, from luxury to select-service, caters to a wide range of travelers. This broad appeal reduces reliance on any single market segment.
↑Scale and Operational Expertise
Decades of experience and global scale provide operational efficiencies and strong relationships with franchisees and suppliers. This allows for consistent service delivery.
INVESTMENT RISKS
↓Economic Sensitivity and Recessions
Travel and hospitality are highly cyclical. Economic downturns can significantly reduce discretionary spending on travel, impacting occupancy rates and revenue.
↓Intensifying Competition
The hotel industry is highly competitive, with numerous global brands and independent operators vying for market share. New entrants and aggressive pricing can erode profitability.
↓Geopolitical Instability and Travel Disruptions
Global events, such as pandemics, political unrest, or natural disasters, can severely disrupt international travel patterns and demand for lodging.
Base case
MAR base case PE valuation
A base case PE valuation for MAR estimates a fair value of about $333.4 per share, against a current price of $381.12. The model assumes 4.1% annual earnings growth, a 40x target PE multiple, and a 10% discount rate.
Intrinsic Value
$333.4
Margin of safety
-14.3%
Expected annual return
-2.6%
Base case assumptions: 4.1% annual earnings growth, 40x target PE, 10% discount rate, 5 year projection. Data as of 2026-07-29.
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)
40.0x
PEG Ratio
4.82
Earnings Yield
2.53%
ROE (TTM)
-74.1%
Revenue/Share (TTM)
$98.98
Dividend Yield
0.72%
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 40.0x combined with a PEG ratio of 4.82 provides a growth-adjusted perspective. A PEG above 2.0 means the P/E is high relative to the earnings growth rate. 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 (40.0x) against the Travel Lodging median to assess relative pricing, (2) check the PEG ratio (4.82) 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 4.82, calculated by dividing the PE ratio (40.0x) by the expected earnings growth rate. A PEG above 2.0 means the P/E is high relative to the expected earnings growth rate. 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 2026-07-29. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.