Winners And Losers Of Q4: Marriott Vacations (NYSE:VAC) Vs The Rest Of The Hotels, Resorts and Cruise Lines Stocks
As hotels, resorts and cruise lines stocks’ Q4 earnings season wraps, let's dig into this quarter's best and worst performers, including Marriott Vacations (NYSE:VAC) and its peers.
Hotels, resorts, and cruise line companies often sell experiences rather than tangible products, and in the last decade-plus, consumers have slowly shifted from buying "things" (wasteful) to buying "experiences" (memorable). In addition, the internet has introduced new ways of approaching leisure and lodging such as booking homes and longer-term accommodations. Traditional hotel, resorts, and cruise line companies must innovate to stay relevant in a market rife with innovation.
The 13 hotels, resorts and cruise lines stocks we track reported a mixed Q4; on average, revenues beat analyst consensus estimates by 1.6% while next quarter's revenue guidance was 4.8% below consensus. Investors abandoned cash-burning companies to buy stocks with higher margins of safety, but hotels, resorts and cruise lines stocks held their ground better than others, with the share prices up 3.3% on average since the previous earnings results.
Marriott Vacations (NYSE:VAC)
Spun off from Marriott International in 1984, Marriott Vacations (NYSE:VAC) is a vacation company providing leisure experiences for travelers around the world.
Marriott Vacations reported revenues of $1.19 billion, flat year on year, topping analyst expectations by 4.3%. It was a mixed quarter for the company, with a solid beat of analysts' revenue estimates. The company noted that the wildfires in Maui, Hawaii impacted its performance as it operates four resorts on the island. As a result, its contract sales declined 2% year on year during the quarter. Without the fires, Marriott Vacations estimates it would have grown contract sales by 4%.
“After a challenging year, we ended the year on a very positive note, growing contract sales by 4% in the fourth quarter on a year-over-year basis with VPG in-line with the prior year, after adjusting for the estimated impact of the Maui wildfires,” said John Geller, President and Chief Executive Officer.
The stock is up 15.3% since the results and currently trades at $101.
Read our full report on Marriott Vacations here, it's free.
Best Q4: Playa Hotels & Resorts (NASDAQ:PLYA)
Sporting a roster of beachfront properties, Playa Hotels & Resorts (NASDAQ:PLYA) is an owner, operator, and developer of all-inclusive resorts in prime vacation destinations.
Playa Hotels & Resorts reported revenues of $242.5 million, up 15% year on year, outperforming analyst expectations by 8.8%. It was an incredible quarter for the company, with an impressive beat of analysts' revenue and earnings estimates.
Playa Hotels & Resorts delivered the biggest analyst estimates beat among its peers. The stock is up 7.2% since the results and currently trades at $9.46.
Is now the time to buy Playa Hotels & Resorts? Access our full analysis of the earnings results here, it's free.
Soho House (NYSE:SHCO)
Boasting fancy locations in hubs such as NYC and Miami, Soho House (NYSE:SHCO) is a global hospitality brand offering exclusive private member clubs, hotels, and restaurants.
Soho House reported revenues of $290.8 million, up 7.5% year on year, falling short of analyst expectations by 3.7%. It was a weak quarter for the company, with full-year revenue guidance missing analysts' expectations and a miss of analysts' members estimates.
Soho House had the weakest performance against analyst estimates in the group. The stock is up 4% since the results and currently trades at $5.97.
Read our full analysis of Soho House's results here.
Wyndham (NYSE:WH)
Established in 1981, Wyndham (NYSE:WH) is a global hotel franchising company with over 9,000 hotels across nearly 95 countries on six continents.
Wyndham reported revenues of $321 million, down 3.9% year on year, falling short of analyst expectations by 0.9%. It was a weaker quarter for the company, with underwhelming earnings guidance for the full year.
The stock is down 3.3% since the results and currently trades at $75.62.
Read our full, actionable report on Wyndham here, it's free.
Norwegian Cruise Line (NYSE:NCLH)
With amenities like a full go-kart race track built into its ships, Norwegian Cruise Line (NYSE:NCLH) is a premier global cruise company.
Norwegian Cruise Line reported revenues of $1.99 billion, up 30.8% year on year, surpassing analyst expectations by 1.2%. It was a mixed quarter for the company, with optimistic earnings forecast for next quarter, which blew past analysts' expectations. In addition, its revenue narrowly outperformed Wall Street's estimates. On the other hand, its passenger cruise days unfortunately missed and its EPS fell short of Wall Street's estimates.
The stock is up 27.4% since the results and currently trades at $20.3.
Read our full, actionable report on Norwegian Cruise Line here, it's free.
Join Paid Stock Investor Research
Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here.
