Price to Book Value (P/BV)
since 2005
Calculation
Marriott International Inc., P/BV, long-term trends, calculation
| P/BV | = | Share price1, 2, 3 | ÷ | Book value per share1 (BVPS) | BVPS1 | = | Shareholders’ equity (deficit)1 (in millions) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 27, 2020 | 55.18 | = | 119.64 | ÷ | 2.17 | 2.17 | = | 703 | ÷ | 324,214,545 | |
| Mar 1, 2019 | 19.00 | = | 124.45 | ÷ | 6.55 | 6.55 | = | 2,225 | ÷ | 339,668,839 | |
| Feb 15, 2018 | 13.54 | = | 141.29 | ÷ | 10.44 | 10.44 | = | 3,731 | ÷ | 357,437,289 | |
| Feb 21, 2017 | 6.30 | = | 87.99 | ÷ | 13.97 | 13.97 | = | 5,357 | ÷ | 383,561,428 | |
| Feb 18, 2016 | — | = | 64.94 | ÷ | -14.16 | -14.16 | = | -3,590 | ÷ | 253,481,935 | |
| Feb 19, 2015 | — | = | 83.10 | ÷ | -7.96 | -7.96 | = | -2,200 | ÷ | 276,542,350 | |
| Feb 20, 2014 | — | = | 51.79 | ÷ | -4.80 | -4.80 | = | -1,415 | ÷ | 294,823,291 | |
| Feb 20, 2013 | — | = | 39.72 | ÷ | -4.11 | -4.11 | = | -1,285 | ÷ | 312,344,872 | |
| Feb 16, 2012 | — | = | 34.82 | ÷ | -2.34 | -2.34 | = | -781 | ÷ | 333,866,753 | |
| Feb 18, 2011 | 9.50 | = | 40.92 | ÷ | 4.31 | 4.31 | = | 1,585 | ÷ | 367,937,640 | |
| Feb 12, 2010 | 8.43 | = | 26.84 | ÷ | 3.19 | 3.19 | = | 1,142 | ÷ | 358,522,350 | |
| Feb 12, 2009 | 3.99 | = | 15.73 | ÷ | 3.94 | 3.94 | = | 1,380 | ÷ | 349,860,166 | |
| Feb 15, 2008 | 8.80 | = | 35.53 | ÷ | 4.04 | 4.04 | = | 1,429 | ÷ | 354,043,159 | |
| Feb 21, 2007 | 7.37 | = | 49.73 | ÷ | 6.75 | 6.75 | = | 2,618 | ÷ | 387,952,048 | |
| Feb 22, 2006 | 4.31 | = | 34.16 | ÷ | 7.92 | 7.92 | = | 3,252 | ÷ | 410,705,438 |
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-28), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2010-01-01), 10-K (reporting date: 2009-01-02), 10-K (reporting date: 2007-12-28), 10-K (reporting date: 2006-12-29), 10-K (reporting date: 2005-12-30).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Marriott International Inc. Annual Report.
An analysis of the valuation metrics from 2006 to 2020 reveals a significant divergence between market pricing and the accounting book value of equity. While the share price exhibited a long-term upward trajectory, the book value per share experienced extreme volatility, including a prolonged period of negative equity.
- Book Value Per Share (BVPS) Trends
- A consistent decline in BVPS is observed from 2006 (7.92 US$) through 2010 (3.19 US$). This downward trend accelerated into a deficit position starting in 2012, with BVPS reaching a low of -14.16 US$ in 2016. A sharp reversal occurred in 2017, where BVPS returned to a positive 13.97 US$, followed by a gradual decline to 2.17 US$ by February 2020.
- Price to Book Value (P/BV) Ratio Analysis
- Between 2006 and 2011, the P/BV ratio fluctuated between 3.99 and 9.50, indicating the market consistently valued the company at a premium relative to its book value. From 2012 through 2016, the ratio was not applicable as the BVPS remained negative. Upon the return to positive book value in 2017, the P/BV ratio began an exponential ascent, rising from 6.30 in 2017 to 55.18 in 2020.
- Market Price Correlation
- The share price rose from 34.16 US$ in 2006 to 119.64 US$ in 2020, despite the instability of the underlying book value. The widening gap between the share price and BVPS, particularly in the final four years of the period, suggests that market valuation became increasingly decoupled from tangible net assets, relying instead on other performance drivers or an asset-light business model.
The data indicates a transition toward a valuation profile where the market assigns a very high premium to the company's earnings or brand equity rather than its balance sheet assets. The surge in the P/BV ratio to 55.18 by 2020 reflects a state where the market price is more than 55 times the accounting book value.
AI Ask an analyst for more
Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.
How can I help you?
Comparison to Competitors
Marriott International Inc., P/BV, long-term trends, comparison to competitors
| Marriott International Inc. | Airbnb Inc. | Booking Holdings Inc. | Chipotle Mexican Grill Inc. | DoorDash, Inc. | McDonald’s Corp. | Starbucks Corp. | |
|---|---|---|---|---|---|---|---|
| Feb 27, 2020 | 55.18 | — | 11.62 | 14.09 | — | — | — |
| Mar 1, 2019 | 19.00 | — | 9.77 | 11.19 | — | — | 72.30 |
| Feb 15, 2018 | 13.54 | — | 8.03 | 5.45 | — | — | 14.86 |
| Feb 21, 2017 | 6.30 | — | 8.17 | 8.18 | — | — | 13.79 |
| Feb 18, 2016 | — | — | 6.97 | 6.49 | — | 15.06 | 15.59 |
| Feb 19, 2015 | — | — | 7.38 | 10.42 | — | 7.10 | 11.09 |
| Feb 20, 2014 | — | — | 9.68 | 10.94 | — | 5.97 | 13.55 |
| Feb 20, 2013 | — | — | 8.91 | 7.98 | — | 6.30 | 7.10 |
| Feb 16, 2012 | — | — | 11.44 | 11.27 | — | 7.10 | 7.14 |
| Feb 18, 2011 | 9.50 | — | 12.47 | 10.16 | — | 5.31 | 6.23 |
| Feb 12, 2010 | 8.43 | — | 7.95 | 4.71 | — | 4.90 | 5.21 |
| Feb 12, 2009 | 3.99 | — | 4.70 | 2.76 | — | 4.52 | 2.49 |
| Feb 15, 2008 | 8.80 | — | 7.56 | 6.13 | — | 4.22 | 7.37 |
| Feb 21, 2007 | 7.37 | — | 5.74 | 4.44 | — | 3.57 | 12.40 |
| Feb 22, 2006 | 4.31 | — | 2.53 | 5.68 | — | 2.92 | 11.40 |
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-28), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2010-01-01), 10-K (reporting date: 2009-01-02), 10-K (reporting date: 2007-12-28), 10-K (reporting date: 2006-12-29), 10-K (reporting date: 2005-12-30).
Comparison to Sector (Consumer Services)
Marriott International Inc., P/BV, long-term trends, comparison to sector (consumer services)
| Marriott International Inc. | Consumer Services | |
|---|---|---|
| Feb 27, 2020 | 55.18 | — |
| Mar 1, 2019 | 19.00 | 63.58 |
| Feb 15, 2018 | 13.54 | 20.82 |
| Feb 21, 2017 | 6.30 | 18.69 |
| Feb 18, 2016 | — | 11.44 |
| Feb 19, 2015 | — | 8.15 |
| Feb 20, 2014 | — | 8.29 |
| Feb 20, 2013 | — | 6.94 |
| Feb 16, 2012 | — | 7.80 |
| Feb 18, 2011 | 9.50 | 6.28 |
| Feb 12, 2010 | 8.43 | 5.15 |
| Feb 12, 2009 | 3.99 | 4.17 |
| Feb 15, 2008 | 8.80 | 4.77 |
| Feb 21, 2007 | 7.37 | 4.69 |
| Feb 22, 2006 | 4.31 | 3.95 |
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-28), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2010-01-01), 10-K (reporting date: 2009-01-02), 10-K (reporting date: 2007-12-28), 10-K (reporting date: 2006-12-29), 10-K (reporting date: 2005-12-30).
Comparison to Industry (Consumer Discretionary)
Marriott International Inc., P/BV, long-term trends, comparison to industry (consumer discretionary)
| Marriott International Inc. | Consumer Discretionary | |
|---|---|---|
| Feb 27, 2020 | 55.18 | 13.59 |
| Mar 1, 2019 | 19.00 | 11.35 |
| Feb 15, 2018 | 13.54 | 10.74 |
| Feb 21, 2017 | 6.30 | 8.39 |
| Feb 18, 2016 | — | 7.17 |
| Feb 19, 2015 | — | 5.83 |
| Feb 20, 2014 | — | 5.12 |
| Feb 20, 2013 | — | 4.39 |
| Feb 16, 2012 | — | 3.84 |
| Feb 18, 2011 | 9.50 | 4.04 |
| Feb 12, 2010 | 8.43 | 4.72 |
| Feb 12, 2009 | 3.99 | 4.98 |
| Feb 15, 2008 | 8.80 | 3.91 |
| Feb 21, 2007 | 7.37 | 4.50 |
| Feb 22, 2006 | 4.31 | 3.49 |
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-28), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2010-01-01), 10-K (reporting date: 2009-01-02), 10-K (reporting date: 2007-12-28), 10-K (reporting date: 2006-12-29), 10-K (reporting date: 2005-12-30).