Marriott Raises Quarterly Dividend 9.0% to $0.73

Marriott International increased its quarterly dividend 9.0% to $0.73 a share from $0.67. The shares traded ex-dividend on May 22, 2026, and the new rate equates to an annual dividend of $2.92 a share.

Why the dividend changed

Marriott said the increase reflects earnings growth and strong cash generation. The higher distribution forms part of a broader policy of returning cash through dividends and share repurchases, while continuing to invest in the hotel network and technology. Marriott’s dividend declaration did not identify a split, merger, spin-off or other special situation behind the change.

The decision followed a stronger first quarter. Worldwide revenue per available room, or RevPAR, increased 4.2%, adjusted EBITDA increased 15%, and adjusted diluted earnings per share rose to $2.72 from $2.32. Franchise and base-management fees benefited from higher co-branded credit-card fees, room growth and increased RevPAR. Marriott also raised its full-year capital-return outlook, reinforcing management’s description of the business as cash-generative. The first-quarter results also showed higher debt balances and interest expense, relevant counterweights when assessing future capital allocation.

Subsequent results supported the operating rationale for the increase. In the second quarter, worldwide RevPAR increased 3.4%, adjusted diluted earnings per share reached $3.19, and Marriott raised its full-year worldwide RevPAR growth expectation to 3% to 3.5%. International RevPAR declined as the Middle East conflict offset growth elsewhere, while U.S. and Canadian performance strengthened. Marriott’s second-quarter report also cited new long-term U.S. co-branded credit-card agreements as a source of incremental value.

Dividend track record

The latest increase extends Marriott’s dividend-growth streak to 3 consecutive years. Recent payments show a measured progression: the quarterly rate was $0.63 for the November 21, 2024 and February 27, 2025 ex-dividend dates, $0.67 for the next four payments, and $0.73 for the May 22, 2026 and August 20, 2026 ex-dividend dates.

Annual totals tell the same story. Payments totaled $1.96 a share in 2023, then increased 23.0% to $2.41 in 2024 and increased 9.5% to $2.64 in 2025. The latest annual cut year in the payment record is 2022, when three payments totaled $1.00.

That history includes a material pandemic-era interruption. Marriott suspended its quarterly dividend beginning in the second quarter of 2020 to preserve liquidity as travel demand collapsed. The company reinstated the dividend in 2022, citing stronger results, cash-flow management and an improved credit profile. The current streak therefore measures growth since the restart, not an uninterrupted multidecade record.

Is the dividend covered?

The dividend consumes 28% of earnings, leaving most earnings available for reinvestment, debt service and share repurchases. That level indicates earnings coverage is presently substantial, although the payout ratio alone does not capture cash requirements, leverage or travel-cycle risk.

SmarterDividends rates the dividend B, with a safety score of 66. That falls within the safe range of 66-79, meaning the current payment appears supported but does not carry the strongest safety designation. The pandemic suspension remains evidence that Marriott can prioritize liquidity over the dividend during a severe disruption to lodging demand.

Yield and valuation

The forward yield is 0.83%, below the Consumer Cyclical sector median of 2.66%. At a share price of $353.01, Marriott’s dividend offers less current income than the sector benchmark despite the higher quarterly rate. The stock’s 30.1% gain over one year provides additional context for the relatively low yield.

SmarterDividends estimates fair value at $180.28 and classifies the shares as overvalued, corresponding to 47% downside to that estimate. This is a valuation comparison rather than a forecast of the dividend or share price. For income planning, 100 shares produce $292.00 of annual dividend income at the new rate.

What to watch

The most recent listed payment carried an August 20, 2026 ex-dividend date and retained the $0.73 rate. The next declaration will show whether the board maintains that quarterly amount; no further increase is required to preserve the current $2.92 annualized rate.

Operationally, the main checkpoints are Marriott’s 3% to 3.5% full-year worldwide RevPAR growth outlook, fee growth, room additions and the performance of the new U.S. co-branded credit-card agreements. Investors can also monitor the Middle East conflict’s effect on international RevPAR, higher interest expense and management’s balance between investment spending, debt obligations, repurchases and dividends.