Marriott Vacations Worldwide Corporation (VAC) AI Stock Analysis

Established in 1984 and headquartered in Orlando, Florida, Marriott Vacations Worldwide Corporation specializes in the development, marketing, sales, and management of vacation ownership and related products. It operates through two segments: Vacation Ownership and Exchange & Third-Party Management. Its portfolio includes brands such as Marriott Vacation Club, Grand Residences by Marriott, Sheraton Vacation Club, Westin Vacation Club, Hyatt Residence Club, and Marriott Vacation Club Pulse. It also markets residential products under The Ritz-Carlton Destination Club and holds rights to The Ritz-Carlton Residences. Additionally, the company provides exchange networks, membership programs, and third-party management services under brands like Interval International, Trading Places International, Vacation Resorts International, and Aqua-Aston.

Revenue expanded from $3.89B in FY2021 to $5.03B in FY2025, representing a 5-year CAGR of 11.8%. Gross margin fell from 37.4% in FY2021 to 15.1% in FY2025, while operating margin slipped from 11.9% to 11.0%. Net income moved from $49.0M in FY2021 to a loss of -$308.0M in FY2025, leading to a net margin of -6.1%. Over the trailing twelve months, revenue reached $3.42B with an operating margin of 18.5% and a profit margin of -9.8%. In the latest quarter ended June 30, 2026, quarterly revenue grew 9.7% year-over-year and quarterly earnings rose 19.5%.

As of June 30, 2026, Marriott Vacations Worldwide held $211.0M in cash and short-term investments against total debt of $5.45B, resulting in net debt of $5.24B. Shareholders' equity stood at $2.06B, yielding a debt-to-equity ratio of 2.65, alongside a current ratio of 3.42. In FY2025, operating cash flow dropped to $28.0M, while free cash flow was -$29.0M after capital expenditures of $57.0M. Capital returns in FY2025 included $61.0M in share buybacks and $110.0M in dividends paid, contributing to a 5-year share count reduction of 12.4%.

At $110.93 per share, VAC carries a market capitalization of $3.82B and an enterprise value of $8.71B. The stock trades at a forward P/E of 7.0x, below the 14.1x forward P/E median of its US-listed Consumer Cyclical peers. Its price-to-sales multiple of 1.1x compares with the peer group median of 0.7x, while its EV/EBITDA is 407.6x versus the peer median of 11.1x. Over the past year, the shares gained 72.9%, outperforming the S&P 500 (SPY) return of 16.8%, though its 5-year return of -18.4% trails the index gain of 83.0%.

Marriott Vacations Worldwide pays a quarterly dividend of $3.20 annualized, representing a dividend yield of 2.88% and a payout ratio of 49.3%. The company has paid dividends for 13 consecutive years, with an annualized 5-year dividend growth rate of 42.5%. The most recent ex-dividend date was September 16, 2026.

Wall Street coverage includes 6 Strong Buy, 2 Buy, 2 Hold, 0 Sell, and 2 Strong Sell recommendations. The mean price target of $123.27 implies upside of 11.1% over the last close of $110.93. For FY2026, consensus estimates project EPS of $8.74 on revenue of $5.44B. For FY2027, 12 analysts anticipate revenue of $5.68B and EPS of $9.66. The company beat EPS estimates in 3 of the last 4 quarters, with its next earnings report scheduled for November 3, 2026.

This page is an AI-written research summary of Marriott Vacations Worldwide Corporation (VAC). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: VAC income statement, VAC balance sheet, VAC key metrics, VAC analyst forecast, VAC chart. See the VAC stock overview for the latest quote and news.