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Marriott Options Market Prices in 3.9% Move for August 3 Earnings

ENTHMSVIIDZHZH-TWJAKOHI
Jul 27, 20261 min read
Marriott Options Market Prices in 3.9% Move for August 3 Earnings

Summary

Options data compiled by Bloomberg suggests Marriott International shares could move 3.9% after its earnings report on August 3. A review of past performance shows the stock has exceeded the market's volatility expectations in four of the last eight announcements.

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Background

Options traders are anticipating a notable price swing for Marriott International Inc. (MAR) following its upcoming earnings report, pricing in a potential move of 3.9%. The hotel operator is scheduled to release its financial results on August 3, before the market opens.

Options Market Expectations

According to options data compiled by Bloomberg, the market is currently pricing in a 3.9% move for Marriott shares, either up or down, in the trading session following the announcement. This figure, known as the implied move, is derived from the pricing of options contracts and reflects traders' collective expectation of the stock's potential price fluctuation.

Historical Performance vs. Forecasts

A review of Marriott's post-earnings reactions reveals a mixed record of accuracy for the options market's predictions. Over the last eight earnings announcements, the stock's actual price change has exceeded the implied move on four occasions, according to the data.

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This historical performance highlights the potential for significant variance from current expectations. Notable past movements include:

  • February 10: The stock surged 12.5%, significantly outperforming the 4.8% implied move.
  • August 5, 2025: Shares fell 5.8%, a larger drop than the 3.6% move priced in by options.
  • May 6: The stock moved just 0.2%, far less than the 4.3% volatility that had been expected.

What This Means for Investors

While the 3.9% implied move provides a baseline for expected volatility, historical data suggests a significant possibility of a surprise. The discrepancy between past implied and actual moves indicates that the company's results or forward guidance could catalyze a more substantial reaction from investors than the options market currently anticipates. This highlights the event risk associated with the upcoming report.

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