Why Marriott Vacations (VAC) Stock Is Falling Today

Company Performance - Marriott Vacations reported a revenue decline of 3.2% year-over-year to $1.26 billion, missing analyst estimates of $1.32 billion [2] - Adjusted EBITDA was $170 million, nearly 8% below consensus expectations, raising concerns about profitability [2] - The company’s adjusted earnings per share of $1.69 exceeded expectations by 5.6%, but the market focused on revenue weakness and a decline in conducted tours [2] Market Reaction - Shares of Marriott Vacations fell 20.8% in the morning session following the mixed third-quarter results [1] - The stock has shown volatility, with 14 moves greater than 5% over the past year, indicating significant market impact from this news [4] - The previous notable stock movement occurred 27 days prior, when shares dropped 3.2% due to concerns over trade relations with China [4] Industry Context - The leisure industry, which includes travel, entertainment, and hospitality, is sensitive to economic sentiment and discretionary spending [5] - Recent comments from President Trump regarding China have increased market volatility, particularly affecting leisure stocks [5] - China's new export controls on rare earth materials, essential for high-tech goods, have raised concerns about economic headwinds and potential impacts on consumer spending [5]