MAQ trade ideas
Checking in to Marriott (MAR)Shares of MAR have finally pulled back to their 200dsma, providing an excellent entry point in to this best-in-breed hospitality chain.
The aforementioned 200dsma is at $131, a level that coincides with a previous breakout level that has been tested - and held - on three different occasions. That zone is $128-131.
Fundamentally, the company continues to execute, evidenced by strong revenue, cash flow, and profit growth, as well as improving metrics like RevPAR and overall margins. There is a modest 1.3% dividend, but it has grown consistently, and with the payout ratio at 43%, there's room to grow further.
I'm a buyer right here, right now.
$MAR Long Idea$MAR has been bull flagging for the past three months and has just broken out of its channel. It is riding above all key moving averages (8,21 EMA + 50,200 MA) and now pushing up against $139.50-$140 resistance level , after a strong hammer with volume off 134.40 support. A break above 140 will most likely send it to test $145 then all time highs. Implied volatility is at its lowest in months making the option chain even more attractive.
Marriott International Inc. (MAR) is on the rising waveThere are three reasons for MAR shares to go up:
1. On Wednesday MAR reported earnings which have beaten the expectations
2. MAR is about to close the deal on acquisition of Starwood Hotels & Resorts Worldwide which will make Marriott the world's largest hotelier
3. Technical analysis is on the bullish side
Mercurius A.M.
Mercurius.a.m@gmail.com