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

The hotel industry is gradually coming out of the woods aided 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.

Traffic has been a major cause of concern for the gaming industry since the pandemic. However, the industry is gradually recovering. The companies have been increasing emphasis on levels of services and staffing with selective amenities, and enhanced safety and social distancing protocols in the gaming floor to welcome gamers. The gaming industry might have benefited from robust demand for sports betting.

The theme park industry may have gained from the strong consumer spending backdrop and absence of constraints in park capacity and ride seating (particularly in the United States). Also, focus 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 Nov 4.

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.

Live Nation Entertainment, Inc. (LYV Quick QuoteLYV - Free Report) is scheduled to report third-quarter 2021 results after the closing bell. In the last reported quarter, the company delivered a positive earnings surprise of 33.3%.

Live Nation Entertainment’s third-quarter performance is likely to have benefited from pent-up demand for live events and robust ticket sales in the United States and the U.K. This along with increased demand for digital ticketing and contactless transactions might have contributed to the upside.  Previously, the company announced that its U.S. concerts are now fully open.

Enhanced vaccinations in Canada and Europe may have favored the company. Increased focus on digitalization along with artist-driven initiatives and strong international demand might have driven the to-be-reported quarter’s performance.

The coronavirus pandemic has been acting as a boon for Ticketmaster. Demand for digital ticketing has been increasing as venues as well as artists are looking for contactless transactions amid the pandemic.

The Zacks Consensus Estimate for third-quarter concert revenues stands at $1,605 million, compared with $155 million in the prior-year quarter. The consensus mark for revenues from Ticketing, and Sponsorship and Advertising are pegged at $354 million and $95 million, up from the prior-year quarter figures of ($19.8) million and $47.9 million, respectively. (Read more: Robust Ticket Sales to Aid Live Nation's Q3 Earnings)

The company has a Zacks Rank #3 and an Earnings ESP of 0.00%. You can see the complete list of today’s Zacks #1 Rank stocks here.

Penn National Gaming, Inc. (PENN Quick QuotePENN - Free Report) is scheduled third-quarter 2021 numbers before the opening bell. In the last reported quarter, the company delivered an earnings surprise of 25.8%.

Penn National’s to-be-reported quarter’s results are likely to reflect sturdy contribution from online and retail Barstool Sportsbooks and iCasino offerings (coupled with the integration of mychoice player loyalty program). Enhanced vaccinations continue to benefit the gaming industry. The Zacks Consensus Estimate for third-quarter gaming revenues is pegged at $1,224 million, suggesting an improvement of 23.1% from the prior-year quarter.

The company may have witnessed solid segmental performance in the third quarter owing to additional easing of restrictions. The Zacks Consensus Estimate for the third-quarter revenues in Northeast, West, and Midwest segment is currently pegged at $663 million, $133 million and $275 million, indicating a surge of 21.7%, 68.4% and 20.1%, respectively, from the year-ago quarter. Meanwhile, the consensus mark for Other and South segments stands at $99 million and $318 million, which indicates growth of 317.7% and 24.2%, respectively, from the prior-year quarter’s levels. (Read more: What's in Store for Penn National's Q3 Earnings?)

The company has a Zacks Rank #3 and an Earnings ESP of 0.00%.

Choice Hotels International, Inc. (CHH Quick QuoteCHH - Free Report) is slated to release third-quarter 2021 results before the opening bell. In the last reported quarter, the company delivered an earnings surprise of 34.1%. The company’s earnings and revenues are expected to increase 100% and 69.6% year over year, respectively.

The company’s to-be-reported quarter performance is likely to have benefited from continual expansion strategies through acquisitions and franchise agreements. During first and second-quarter 2021, it executed 89 and 200 domestic franchise agreements, out of which more than 80% and 43%, respectively, were for conversion hotels. Rapid vaccinations and easing restrictions might have favored the third-quarter performance.

The company has an Earnings ESP of +6.44% and a Zacks Rank #2.