NEW YORK (TheStreet) -- Marriott Int'l (MAR - Get Report) stock is up by 1.70% to $73.02 in early-morning trading on Friday, after Starwood Hotels & Resorts (HOT) announced that it intends to terminate its merger agreement with the company.
On Friday, Starwood announced that a takeover proposal by a consortium led by Chinese insurer Anbang was a "superior proposal" compared to the company's merger agreement with Marriott. Last year, Starwood agreed to merge with Marriott in a deal valued at $12.2 billion.
Marriott has until March 28 to submit a counter-proposal.
If the merger agreement is terminated, Starwood will have to pay Marriott a $400 million termination fee, Marriott said in a statement.
"Marriott continues to believe that a combination of Marriott and Starwood is the best course for both companies and offers the best value to Starwood shareholders," the company added. "Marriott is in the process of reviewing the Anbang consortium's proposal and is carefully considering its alternatives."
Starwood stock is up 5.11% to $80.29 in early-morning trading on Friday.
Separately, recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings rates this stock as a "buy" with a ratings score of B-. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, revenue growth, good cash flow from operations and increase in net income. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself.
You can view the full analysis from the report here: MAR