Marriott Stock Dips. Time to Buy?

• Marriott precocious flagged immoderate weakness successful U.S. travel.

• Despite a challenging macroeconomic backdrop, there's a batch to similar astir the edifice specialist.

• Shares aren't cheap. But they aren't costly either.

• 10 stocks we similar amended than Marriott International ›

Marriott International (NASDAQ: MAR) shares slipped aft absorption told investors astatine a Barclays league past week that fourth-quarter gross per disposable country (RevPAR) volition apt onshore astatine the debased extremity of its guidance range. And the stock's downtrend since past has mostly persisted, with shares down astir 8% implicit the past week. Management's update highlighted a softer backdrop successful the U.S. arsenic 2025 winds down, adjacent portion concern elsewhere looks much resilient.

The edifice operator, whose portfolio stretches from midscale brands to high-end luxury resorts, had already been dealing with slower RevPAR maturation successful caller quarters. Global RevPAR was hardly affirmative successful the 3rd 4th of 2025, and U.S. and Canada RevPAR really declined. International markets, however, continued to station humble growth.

Management's remarks astatine Barclays acceptable with a signifier that has been emerging each year. Marriott's third-quarter planetary RevPAR accrued conscionable 0.5% twelvemonth implicit year, with U.S. and Canada RevPAR down 0.4% and planetary RevPAR up 2.6%. That was a crisp slowdown from the 4.1% worldwide RevPAR maturation the institution delivered successful Q1 and adjacent the 1.5% maturation it reported successful Q2.

Management has been wide that the unit is concentrated successful the lower-priced chains successful the U.S., wherever reduced authorities question has weighed connected demand. On the flipside, luxury has been consistently strong. In the third-quarter net release, Marriott CEO Anthony Capuano noted that planetary luxury RevPAR roseate 4% successful the quarter.

Management's update astatine Barclays' capitalist league reinforced caller request themes, but with 1 flimsy antagonistic displacement successful tone: There has been a further deterioration successful its U.S. market, including sub-luxury chains.

Marriott main fiscal serviceman Leeny Oberg told investors past week that the institution present expects its fourth-quarter planetary RevPAR maturation is apt to travel successful astatine the debased extremity of its guidance for 1% to 2% growth, "and that's truly overwhelmingly due to the fact that of the U.S.," she explained. Getting much specific, Oberg said that U.S. RevPAR really declined 20 ground points twelvemonth implicit twelvemonth for the period of October, suggesting a unsmooth commencement to the period. She suggested that the authorities shutdown is partially to blame.