UPDATE: BMO Capital Markets Initiates Marriott International at Market Perform on Pipeline, Valuation

BMO Capital Markets initiated coverage on Marriot International MAR with a Market Perform rating and a $41.00 price target. BMO Capital Markets commented, "Marriott's portfolio is concentrated in North America, which we think is an increasingly attractive feature against relative economic and sociopolitical uncertainty in international markets. The company's asset-light business model and investment grade balance sheet have also positioned it to pass improving earnings to shareholders through dividends and stock repurchases. On the flip side, Marriott has a proportionately smaller development pipeline than its peers given its comparatively larger base, and we believe the stock is reasonably priced on a relative basis." Marriott International closed at $38.88 on Monday.