Price to Earnings (P/E)
since 2005
Calculation
Marriott International Inc., P/E, long-term trends, calculation
| P/E | = | Share price1, 2, 3 | ÷ | Earnings per share1 (EPS) | EPS1 | = | Net income (loss)1 (in millions) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 27, 2020 | 30.47 | = | 119.64 | ÷ | 3.93 | 3.93 | = | 1,273 | ÷ | 324,214,545 | |
| Mar 1, 2019 | 22.17 | = | 124.45 | ÷ | 5.61 | 5.61 | = | 1,907 | ÷ | 339,668,839 | |
| Feb 15, 2018 | 36.81 | = | 141.29 | ÷ | 3.84 | 3.84 | = | 1,372 | ÷ | 357,437,289 | |
| Feb 21, 2017 | 43.27 | = | 87.99 | ÷ | 2.03 | 2.03 | = | 780 | ÷ | 383,561,428 | |
| Feb 18, 2016 | 19.16 | = | 64.94 | ÷ | 3.39 | 3.39 | = | 859 | ÷ | 253,481,935 | |
| Feb 19, 2015 | 30.52 | = | 83.10 | ÷ | 2.72 | 2.72 | = | 753 | ÷ | 276,542,350 | |
| Feb 20, 2014 | 24.39 | = | 51.79 | ÷ | 2.12 | 2.12 | = | 626 | ÷ | 294,823,291 | |
| Feb 20, 2013 | 21.73 | = | 39.72 | ÷ | 1.83 | 1.83 | = | 571 | ÷ | 312,344,872 | |
| Feb 16, 2012 | 58.71 | = | 34.82 | ÷ | 0.59 | 0.59 | = | 198 | ÷ | 333,866,753 | |
| Feb 18, 2011 | 32.87 | = | 40.92 | ÷ | 1.24 | 1.24 | = | 458 | ÷ | 367,937,640 | |
| Feb 12, 2010 | — | = | 26.84 | ÷ | -0.97 | -0.97 | = | -346 | ÷ | 358,522,350 | |
| Feb 12, 2009 | 15.20 | = | 15.73 | ÷ | 1.03 | 1.03 | = | 362 | ÷ | 349,860,166 | |
| Feb 15, 2008 | 18.07 | = | 35.53 | ÷ | 1.97 | 1.97 | = | 696 | ÷ | 354,043,159 | |
| Feb 21, 2007 | 31.73 | = | 49.73 | ÷ | 1.57 | 1.57 | = | 608 | ÷ | 387,952,048 | |
| Feb 22, 2006 | 20.97 | = | 34.16 | ÷ | 1.63 | 1.63 | = | 669 | ÷ | 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.
The Price to Earnings (P/E) ratio exhibits substantial volatility between 2006 and 2020, characterized by periodic spikes and contractions. This fluctuation reflects a dynamic relationship between market valuation and actual earnings performance over the 14-year period.
- Impact of Earnings Volatility
- A significant disruption in the valuation metric occurred in 2010, where the P/E ratio was not applicable due to negative earnings per share of -0.97 US$. This represents the most severe earnings contraction in the dataset, following a period of declining share prices that reached a low of 15.73 US$ in 2009.
- Valuation Extremes
- The highest valuation multiple was recorded in 2012, with a P/E ratio of 58.71. During this year, the share price of 34.82 US$ significantly outpaced the earnings per share of 0.59 US$, indicating a period of high investor optimism or a lagging recovery in earnings relative to the market price.
- Long-term Correlation and Growth
- Between 2014 and 2020, a general upward trend in both share price and earnings per share is observed. Share prices peaked in 2018 at 141.29 US$, while earnings per share reached a maximum of 5.61 US$ in 2019. This concurrent growth resulted in a moderated P/E ratio during the latter part of the decade, generally fluctuating between 19.16 and 43.27.
- Recent Valuation Trends
- Following a peak P/E of 43.27 in 2017, the ratio experienced a downward correction to 22.17 in 2019, before rising again to 30.47 in 2020. This suggests a period of valuation normalization as earnings growth began to align more closely with the market price.
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/E, 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 | 30.47 | — | 14.16 | 67.72 | — | 25.99 | 27.63 |
| Mar 1, 2019 | 22.17 | — | 21.46 | 91.33 | — | 23.66 | 18.71 |
| Feb 15, 2018 | 36.81 | — | 38.61 | 42.15 | — | 24.95 | 28.08 |
| Feb 21, 2017 | 43.27 | — | 37.59 | 499.87 | — | 22.55 | 28.81 |
| Feb 18, 2016 | 19.16 | — | 24.03 | 29.06 | — | 23.56 | 32.88 |
| Feb 19, 2015 | 30.52 | — | 26.12 | 47.09 | — | 19.19 | 28.27 |
| Feb 20, 2014 | 24.39 | — | 35.35 | 51.40 | — | 17.10 | 7,312.64 |
| Feb 20, 2013 | 21.73 | — | 24.45 | 35.78 | — | 17.64 | 26.20 |
| Feb 16, 2012 | 58.71 | — | 27.88 | 54.76 | — | 18.57 | 25.14 |
| Feb 18, 2011 | 32.87 | — | 42.86 | 46.04 | — | 15.70 | 24.20 |
| Feb 12, 2010 | — | — | 21.46 | 26.12 | — | 15.10 | 40.57 |
| Feb 12, 2009 | 15.20 | — | 17.74 | 21.96 | — | 14.02 | 19.66 |
| Feb 15, 2008 | 18.07 | — | 28.14 | 48.84 | — | 26.95 | 25.02 |
| Feb 21, 2007 | 31.73 | — | 27.59 | 50.83 | — | 15.55 | 48.96 |
| Feb 22, 2006 | 20.97 | — | 4.89 | 46.61 | — | 17.02 | 48.21 |
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/E, long-term trends, comparison to sector (consumer services)
| Marriott International Inc. | Consumer Services | |
|---|---|---|
| Feb 27, 2020 | 30.47 | 23.50 |
| Mar 1, 2019 | 22.17 | 22.35 |
| Feb 15, 2018 | 36.81 | 29.11 |
| Feb 21, 2017 | 43.27 | 28.83 |
| Feb 18, 2016 | 19.16 | 26.42 |
| Feb 19, 2015 | 30.52 | 24.14 |
| Feb 20, 2014 | 24.39 | 30.71 |
| Feb 20, 2013 | 21.73 | 20.75 |
| Feb 16, 2012 | 58.71 | 21.79 |
| Feb 18, 2011 | 32.87 | 19.91 |
| Feb 12, 2010 | — | 17.70 |
| Feb 12, 2009 | 15.20 | 14.65 |
| Feb 15, 2008 | 18.07 | 27.08 |
| Feb 21, 2007 | 31.73 | 20.57 |
| Feb 22, 2006 | 20.97 | 21.30 |
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/E, long-term trends, comparison to industry (consumer discretionary)
| Marriott International Inc. | Consumer Discretionary | |
|---|---|---|
| Feb 27, 2020 | 30.47 | 39.37 |
| Mar 1, 2019 | 22.17 | 33.13 |
| Feb 15, 2018 | 36.81 | 47.03 |
| Feb 21, 2017 | 43.27 | 29.19 |
| Feb 18, 2016 | 19.16 | 24.70 |
| Feb 19, 2015 | 30.52 | 29.48 |
| Feb 20, 2014 | 24.39 | 26.50 |
| Feb 20, 2013 | 21.73 | 20.90 |
| Feb 16, 2012 | 58.71 | 11.38 |
| Feb 18, 2011 | 32.87 | 17.54 |
| Feb 12, 2010 | — | 18.66 |
| Feb 12, 2009 | 15.20 | 303.41 |
| Feb 15, 2008 | 18.07 | 24.33 |
| Feb 21, 2007 | 31.73 | 117.34 |
| Feb 22, 2006 | 20.97 | 17.54 |
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).