We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
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.
5 Stocks to Profit From the Thanksgiving Weekend Bonanza
Read MoreHide Full Article
More people will be travelling this Thanksgiving than in the last 13 years, courtesy of rise in income levels. As travel volumes are expected to shoot up, demand for air tickets and hotel rooms will also rise. Thus, it seems sensible to invest in travel and leisure companies right now.
People are also willing to shop at stores and online as the economy is in good shape and consumers are quite confident about their well-being. Thus, investing in some solid retail stocks won’t be a bad proposition either.
Thanksgiving Travel Highest in 13 Years
According to the American Automobile Association (AAA), about 54.3 million travelers are likely to travel 50 miles or more. This would be the highest since 2005. Thanksgiving Day weekend travel is anticipated to increase 4.8% from last year.
About 89.4% or 48.5 million travelers are expected to travel by car, indicating an increase of nearly 5% over last Thanksgiving. Modes of transport including cruises, trains and buses are expected to make up 2.8% of all travel this Thanksgiving, serving around 1.48 million.
However, the largest growth in holiday travel is by air. About 4.27 million travelers are expected to opt for flights, which is 5.4% higher than the year-ago level. Flights are expected to account for 7.8% of all travel this Thanksgiving.
(Source: American Automobile Association)
Airlines for America (A4A), the trade group representing the interests of U.S. airlines, in fact, projected that 30.6 million passengers are expected to fly in the upcoming weekend, which is up from about 29 million passengers that flew during the same period last year. The trade organization expects Nov 25 to see 3.06 million commuters will travel on U.S. carriers. The next busiest day is expected to be the Wednesday before Thanksgiving — Nov 21.
Bill Sutherland, AAA Travel senior vice president, rightly summed up that “consumers have a lot to be thankful for this holiday season: higher wages, more disposable income and rising levels of household wealth. And this is translating into more travelers kicking off the holiday season with a Thanksgiving getaway, building on a positive year for the travel industry.”
Retailers Prepare for One of the Most Extravagant Weekends
Per the annual survey recently released by the National Retail Federation and Prosper Insights & Analytics (NRF), an estimated 164 million plan to go shopping this Thanksgiving Day through Cyber Monday.
The NRF survey showed that nearly 21% (34 million) are planning to shop during the Thanksgiving Day, 41% (67 million) are expected to shop on Small Business Saturday and 20% (32 million) on Sunday. The shopping weekend will end on Cyber Monday, with almost 46% (75 million) expected to make the most of online bargains. But, Black Friday will be the busiest with 71% (116 million) expected to splurge.
Majority of consumers said that they are looking forward to advantage from deals and promotions retailers will offer this year, while the rest said that the upcoming holiday season is traditionally the time to shop and they are pretty much willing to indulge.
NRF President and CEO Matthew Shay summed up by saying that “whether it’s heading to the stores after finishing their turkey or going online on Cyber Monday, consumers will be shopping all weekend.” So, it goes without saying that retailers stand to benefit.
5 Solid Picks
For the time being, investing in sound stocks from the aforesaid areas seems prudent. We have, thus, picked five stocks that flaunt a Zacks Rank #1 (Strong Buy) or 2 (Buy).
Spirit Airlines, Inc. (SAVE - Free Report) provides low-fare airline services. The company currently has a Zacks Rank #1. The Zacks Consensus Estimate for earnings rose 9.7% in the past 60 days. The company’s expected earnings growth rate for the current year is 11.7% compared with the Transportation - Airline industry’s projected decline of 5.1%. The company has outperformed the industry so far this year (+16.9% vs -17.2%).
The Marcus Corporation (MCS - Free Report) owns and operates movie theatres, and hotels and resorts. The company currently has a Zacks Rank #1. The Zacks Consensus Estimate for earnings rose 6.8% in the past 60 days. The company’s expected earnings growth rate for the current year is 22.1% compared with the Leisure and Recreation Services industry’s estimated rally of 8.2%. The company has outperformed the industry in the year-to-date period (+54.4% vs -7.8%).
Hudson Ltd. operates as a travel retail company in the United States and Canada. The company currently has a Zacks Rank #1. The Zacks Consensus Estimate for earnings rose 13.9% in the past 60 days. The company’s expected earnings growth rate for the current year is 104.6% compared with the Leisure and Recreation Services industry’s expected rally of 8.2%. The company has outperformed the industry so far this year (+12% vs -7.7%). You can see the complete list of today’s Zacks #1 Rank stocks here.
Target Corporation (TGT - Free Report) operates as a general merchandise retailer in the United States. The company currently has a Zacks Rank #2. The Zacks Consensus Estimate for earnings rose 0.6% in the past 60 days. The company’s expected earnings growth rate for the current quarter is almost 22% compared with the Retail - Discount Stores industry’s projected rally of 18.8%. The company has outperformed the industry in the year-to-date period (+22.1% vs +20.0%).
Kohl's Corporation (KSS - Free Report) operates as an omni-channel retailer in the United States. Its stores and Website offer apparel, footwear, accessories, beauty, and home products. The company currently has a Zacks Rank #2. The Zacks Consensus Estimate for earnings rose 0.6% in the past 60 days. The company’s expected earnings growth rate for the current year is 30.8% compared with the Retail - Regional Department Stores industry’s estimated rally of 20.4%. The company has outperformed the industry so far this year (+33.7% vs +25.1%).
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Image: Bigstock
5 Stocks to Profit From the Thanksgiving Weekend Bonanza
More people will be travelling this Thanksgiving than in the last 13 years, courtesy of rise in income levels. As travel volumes are expected to shoot up, demand for air tickets and hotel rooms will also rise. Thus, it seems sensible to invest in travel and leisure companies right now.
People are also willing to shop at stores and online as the economy is in good shape and consumers are quite confident about their well-being. Thus, investing in some solid retail stocks won’t be a bad proposition either.
Thanksgiving Travel Highest in 13 Years
According to the American Automobile Association (AAA), about 54.3 million travelers are likely to travel 50 miles or more. This would be the highest since 2005. Thanksgiving Day weekend travel is anticipated to increase 4.8% from last year.
About 89.4% or 48.5 million travelers are expected to travel by car, indicating an increase of nearly 5% over last Thanksgiving. Modes of transport including cruises, trains and buses are expected to make up 2.8% of all travel this Thanksgiving, serving around 1.48 million.
However, the largest growth in holiday travel is by air. About 4.27 million travelers are expected to opt for flights, which is 5.4% higher than the year-ago level. Flights are expected to account for 7.8% of all travel this Thanksgiving.
(Source: American Automobile Association)
Airlines for America (A4A), the trade group representing the interests of U.S. airlines, in fact, projected that 30.6 million passengers are expected to fly in the upcoming weekend, which is up from about 29 million passengers that flew during the same period last year. The trade organization expects Nov 25 to see 3.06 million commuters will travel on U.S. carriers. The next busiest day is expected to be the Wednesday before Thanksgiving — Nov 21.
Bill Sutherland, AAA Travel senior vice president, rightly summed up that “consumers have a lot to be thankful for this holiday season: higher wages, more disposable income and rising levels of household wealth. And this is translating into more travelers kicking off the holiday season with a Thanksgiving getaway, building on a positive year for the travel industry.”
Retailers Prepare for One of the Most Extravagant Weekends
Per the annual survey recently released by the National Retail Federation and Prosper Insights & Analytics (NRF), an estimated 164 million plan to go shopping this Thanksgiving Day through Cyber Monday.
The NRF survey showed that nearly 21% (34 million) are planning to shop during the Thanksgiving Day, 41% (67 million) are expected to shop on Small Business Saturday and 20% (32 million) on Sunday. The shopping weekend will end on Cyber Monday, with almost 46% (75 million) expected to make the most of online bargains. But, Black Friday will be the busiest with 71% (116 million) expected to splurge.
Majority of consumers said that they are looking forward to advantage from deals and promotions retailers will offer this year, while the rest said that the upcoming holiday season is traditionally the time to shop and they are pretty much willing to indulge.
NRF President and CEO Matthew Shay summed up by saying that “whether it’s heading to the stores after finishing their turkey or going online on Cyber Monday, consumers will be shopping all weekend.” So, it goes without saying that retailers stand to benefit.
5 Solid Picks
For the time being, investing in sound stocks from the aforesaid areas seems prudent. We have, thus, picked five stocks that flaunt a Zacks Rank #1 (Strong Buy) or 2 (Buy).
Spirit Airlines, Inc. (SAVE - Free Report) provides low-fare airline services. The company currently has a Zacks Rank #1. The Zacks Consensus Estimate for earnings rose 9.7% in the past 60 days. The company’s expected earnings growth rate for the current year is 11.7% compared with the Transportation - Airline industry’s projected decline of 5.1%. The company has outperformed the industry so far this year (+16.9% vs -17.2%).
The Marcus Corporation (MCS - Free Report) owns and operates movie theatres, and hotels and resorts. The company currently has a Zacks Rank #1. The Zacks Consensus Estimate for earnings rose 6.8% in the past 60 days. The company’s expected earnings growth rate for the current year is 22.1% compared with the Leisure and Recreation Services industry’s estimated rally of 8.2%. The company has outperformed the industry in the year-to-date period (+54.4% vs -7.8%).
Hudson Ltd. operates as a travel retail company in the United States and Canada. The company currently has a Zacks Rank #1. The Zacks Consensus Estimate for earnings rose 13.9% in the past 60 days. The company’s expected earnings growth rate for the current year is 104.6% compared with the Leisure and Recreation Services industry’s expected rally of 8.2%. The company has outperformed the industry so far this year (+12% vs -7.7%). You can see the complete list of today’s Zacks #1 Rank stocks here.
Target Corporation (TGT - Free Report) operates as a general merchandise retailer in the United States. The company currently has a Zacks Rank #2. The Zacks Consensus Estimate for earnings rose 0.6% in the past 60 days. The company’s expected earnings growth rate for the current quarter is almost 22% compared with the Retail - Discount Stores industry’s projected rally of 18.8%. The company has outperformed the industry in the year-to-date period (+22.1% vs +20.0%).
Kohl's Corporation (KSS - Free Report) operates as an omni-channel retailer in the United States. Its stores and Website offer apparel, footwear, accessories, beauty, and home products. The company currently has a Zacks Rank #2. The Zacks Consensus Estimate for earnings rose 0.6% in the past 60 days. The company’s expected earnings growth rate for the current year is 30.8% compared with the Retail - Regional Department Stores industry’s estimated rally of 20.4%. The company has outperformed the industry so far this year (+33.7% vs +25.1%).
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>