We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Welcome to Episode #226 of the Value Investor Podcast
Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks.
In 2020, the travel and hospitality stocks were some of those hardest hit in the March coronavirus sell-off.
They remained somewhat depressed until November 2020, when Pfizer announced it had a vaccine that was over 90% effective and that it would be rolling it out by the end of 2020.
Now in 2021, there is the Pfizer and Moderna vaccines and the FDA is apparently close to authorizing the Johnson & Johnson vaccine as well.
There could be over 400 million doses of the vaccine available in the United States by July if all things go according to plan.
And many expect that to unleash pent-up travel demand.
Already, hotels and airlines, are seeing a change in consumer behavior.
Consumers are apparently looking at trips 3 to 6 months out. And they’re even booking airline tickets for 2 months out whereas in 2020, they were booking just days to 2 weeks out.
Should You Be Buying the Travel Stocks?
Hospitality companies will be big beneficiaries of the reopen.
But Wall Street has already been betting on it.
The hotel and OTA stocks have all soared.
1. Playa Hotels & Resorts (PLYA - Free Report) operates 21 all-inclusive hotels in Mexico, Jamaica and the Dominican Republic. Shares have soared 84% in the last 6 months.
2. Hersha Hospitality Trust operates 40 high quality hotels in urban gateways and resort destinations such as Miami Beach, Key West and Santa Barbara. Shares are up 92% in the last 6 months.
3. Expedia (EXPE - Free Report) which operates red-hot VRBO, is hitting 5-year highs. Shares are up 75.3% in the last 6 months.
4. TripAdvisor (TRIP - Free Report) is expected to see positive earnings in 2021 with the Zacks Consensus looking for $0.40 versus a loss of $1.24 in 2020. Shares are up 127% in the last 6 months.
5. Royal Caribbean Group (RCL - Free Report) is one of the favorite re-open stocks. Shares are up 57% over the last 6 months but are still down 8.9% over the last year.
Is it too late to buy the travel stocks or is the rally just getting started?
Find out the answer on this week’s podcast.
Legal Marijuana: An Investor’s Dream
Imagine getting in early on a young industry primed to skyrocket from $17.7 billion in 2019 to an expected $73.6 billion by 2027.
Although marijuana stocks did better as the pandemic took hold than the market as a whole, they’ve been pushed down. This is exactly the right time to get in on selected strong companies at a fraction of their value before COVID struck. Zacks’ Special Report, Marijuana Moneymakers, reveals 10 exciting tickers for urgent consideration.
Image: Shutterstock
Should You Buy the Travel Stocks?
Welcome to Episode #226 of the Value Investor Podcast
Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks.
In 2020, the travel and hospitality stocks were some of those hardest hit in the March coronavirus sell-off.
They remained somewhat depressed until November 2020, when Pfizer announced it had a vaccine that was over 90% effective and that it would be rolling it out by the end of 2020.
Now in 2021, there is the Pfizer and Moderna vaccines and the FDA is apparently close to authorizing the Johnson & Johnson vaccine as well.
There could be over 400 million doses of the vaccine available in the United States by July if all things go according to plan.
And many expect that to unleash pent-up travel demand.
Already, hotels and airlines, are seeing a change in consumer behavior.
Consumers are apparently looking at trips 3 to 6 months out. And they’re even booking airline tickets for 2 months out whereas in 2020, they were booking just days to 2 weeks out.
Should You Be Buying the Travel Stocks?
Hospitality companies will be big beneficiaries of the reopen.
But Wall Street has already been betting on it.
The hotel and OTA stocks have all soared.
1. Playa Hotels & Resorts (PLYA - Free Report) operates 21 all-inclusive hotels in Mexico, Jamaica and the Dominican Republic. Shares have soared 84% in the last 6 months.
2. Hersha Hospitality Trust operates 40 high quality hotels in urban gateways and resort destinations such as Miami Beach, Key West and Santa Barbara. Shares are up 92% in the last 6 months.
3. Expedia (EXPE - Free Report) which operates red-hot VRBO, is hitting 5-year highs. Shares are up 75.3% in the last 6 months.
4. TripAdvisor (TRIP - Free Report) is expected to see positive earnings in 2021 with the Zacks Consensus looking for $0.40 versus a loss of $1.24 in 2020. Shares are up 127% in the last 6 months.
5. Royal Caribbean Group (RCL - Free Report) is one of the favorite re-open stocks. Shares are up 57% over the last 6 months but are still down 8.9% over the last year.
Is it too late to buy the travel stocks or is the rally just getting started?
Find out the answer on this week’s podcast.
Legal Marijuana: An Investor’s Dream
Imagine getting in early on a young industry primed to skyrocket from $17.7 billion in 2019 to an expected $73.6 billion by 2027.
Although marijuana stocks did better as the pandemic took hold than the market as a whole, they’ve been pushed down. This is exactly the right time to get in on selected strong companies at a fraction of their value before COVID struck. Zacks’ Special Report, Marijuana Moneymakers, reveals 10 exciting tickers for urgent consideration.
Download Marijuana Moneymakers FREE >>