The leisure industry is likely to have benefited from the reopening of the economy, accelerated pace of vaccinations worldwide, robust demand for recreational products and golf business.

The hotel industry is gradually coming out of the woods driven by the reopening of the economy and a ramped-up vaccination process. People are feeling more optimistic and confident about traveling again, primarily backed by the rapid pace of vaccinations. To capitalize on the sentiment, the hotel operators are increasingly focusing on a number of initiatives to cater to their customers as they return to hotels. Although occupancy is improving, it is still below the pre-pandemic level.

The boat industry continues to focus on consumer experience, digital marketing, operational excellence and human capital development to drive growth. Although pandemic induced lockdowns and restricted movement acted as a roadblock, the ship, boat building and repairing market exhibited significant resilience to overcome the same.

The theme park industry might have benefited from the strong consumer spending backdrop and the absence of constraints in park capacity and ride seating (particularly in the United States). Further, emphasis on offerings such as touchless payment systems for in-park purchases (including tickets), digital queues and self-pay systems for food orders are initiatives in the right direction. There is further room to run as companies continue to monitor additional business development opportunities and focus on adapting to customer-preference trends.

Sneak Peek into Upcoming Earnings Releases

Let’s focus on a few Consumer Discretionary companies that are scheduled to release third-quarter 2021 earnings on Oct 27.

According to the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Hilton Worldwide Holdings Inc. (HLT Quick QuoteHLT - Free Report) is scheduled to report results before the opening bell. In the last reported quarter, the company delivered an earnings surprise of 64.7%.

Hilton’s third-quarter 2021 performance is likely to have benefitted from a gradual increase in demand, hotel inaugurations, hotel conversions and new project developments. With restrictions being lifted and more people being vaccinated, Hilton’s business might have picked up on strong leisure demand and improving business transient trends. Apart from this, focus on enhanced partnerships and points' redemption offerings for its loyalty program — Hilton Honors, may have contributed to the company’s performance in the to-be-reported quarter.

Moreover, strong contributions across the company’s Base and other management fees, Incentive management fees, and Owned and leased hotels     are likely to get reflected in the third-quarter top line.

The Zacks consensus estimate for revenues from Base and other management fees is pegged at $56 million, suggesting growth of 133.3% from $24 million in the prior-year quarter. Incentive management fees are currently projected at $27.5 million, indicating an improvement of 292.9% from $7 million in the year-ago quarter. Revenues from Owned and leased hotels are anticipated at $168 million, indicating growth of 78.7% from $94 million reported in the year-ago quarter.

The company has a Zacks Rank #3 and an Earnings ESP of -2.39%. You can see the complete list of today’s Zacks #1 Rank stocks here.

Churchill Downs Incorporated (CHDN Quick QuoteCHDN - Free Report) is scheduled to release quarterly results after the closing bell. In the last reported quarter, the company delivered an earnings beat of 20.3%. The company has an Earnings ESP of -3.19% and a Zacks Rank #1. The company’s earnings and revenues are likely to witness growth of 23.5% and 18.9% year over year, respectively.

Wyndham Hotels & Resorts, Inc. (WH Quick QuoteWH - Free Report) is slated to release quarterly results after the market closes. In the last reported quarter, the company delivered an earnings surprise of 39.7%. The company has an Earnings ESP of -1.46% and a Zacks Rank #1. The company’s earnings and revenues are expected to increase 147.2% and 39.1% year over year, respectively.

Travel + Leisure Co. (TNL Quick QuoteTNL - Free Report) is scheduled to release quarterly results before the opening bell. In the last reported quarter, the company delivered an earnings beat of 20.6%. The company has an Earnings ESP of -0.17% and a Zacks Rank #3. The company’s earnings and revenues are anticipated to improve 24.1% and 33.5% year over year, respectively.

Six Flags Entertainment Corporation (SIX Quick QuoteSIX - Free Report) is slated to release quarterly results before the opening bell. In the last reported quarter, the company delivered an earnings beat of 723.1%. The company has an Earnings ESP of 0.00% and a Zacks Rank #3. The company’s earnings and revenues are likely to witness growth of 208% and 357.3% year over year, respectively.