According to a research report published this morning, Goldman Sachs has upgraded Marriott Vacations Worldwide VAC from Neutral to Buy, and raised PT from $29.50 to $38.
In the report, Goldman Sachs said, "We have become more confident in VAC's story and view it as a solid cash flow producer with an inexpensive valuation. Assuming no capital allocation or acquisitions we believe the company could accumulate $700mn of cash by 2016 or even more including land sales. We think the shares are primed for outperformance as it is currently trading at 5.9X 2013 EV/EBITDA, (excluding value for land/excess inventory), has a free cash flow yield of 12%, and a fundamental story of EBITDA and margin growth."
Marriott Vacations Worldwide is currently trading at $30.90.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in