Market Overview

Turning Your Vacation Into A Stock Portfolio

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Turning Your Vacation Into A Stock Portfolio

Spring break is right around the corner. After hours of hotel rate comparisons and weeks of waiting for the lowest flight fares, many are ready to finalize their travel itineraries.

But while plans are cemented, take a second to consider the market value of vacation. Could your itinerary translate into a promising investment portfolio?

Take a look at how recent travelers — and travel investors — scored on lodging and transportation.

Hotels

Accommodating various scales of luxury, Marriott International Inc (NASDAQ: MAR)’s Ritz-Carlton, Hilton Worldwide Holdings Inc (NYSE: HLT)’s Hilton Garden Inn and Wyndham Worldwide Corporation (NYSE: WYN)’s Wingate and Microtel Inn and Suites all topped competitors in their respective hotel categories, according to J.D. Power and Associates.

While each performed well in practice, only two garnered positive reviews from investors. Since November, Marriott shares spiked up 30 percent to an all-time high of $91.07, and Wyndham popped 28.9 percent to $84.85. Meanwhile, Hilton plummeted 73.4 percent to a value of $58.50.

Related Link: Happiness Just Got Dearer: Disney Park Visits Turn More Expensive For Families

Investors seized equally positive returns on hotels of lower quality — even if they chose to lodge elsewhere. Over the same period, La Quinta Holdings Inc (NYSE: LQ) rose 42.5 percent to $14.26, Holiday Inn owner InterContinental Hotels Group PLC (ADR) (NYSE: IHG) rose 22.2 percent to $48.20, and Hyatt Hotels Corporation (NYSE: H) rose 5.4 percent to $53.55.

Airlines

According to the 2016 Skytrax World Airline Awards, Delta Air Lines, Inc. (NYSE: DAL) offered the leading ride in U.S. travel last year. And according to market performance over the last six months, Delta also sent investor earnings skyward with shares climbing 39.3 percent to a rate of $51.23.

While most of its peers rivaled in stock activity, some fell behind in customer approval ratings. American Airlines Group Inc (NASDAQ: AAL) ranked lowest in quality among domestic challengers despite its stock’s 28.6-percent peak to a rate of $46.91. Spirit Airlines Incorporated (NASDAQ: SAVE) did not even make the Skytrax awards list, even as its shares soared 29.3 percent to $51.38.

Cruises

U.S. News and World Report recently rated two Royal Caribbean Cruises Ltd (NYSE: RCL) — Celebrity Cruises and Royal Caribbean International — as the best deals in the sea-vacation industry. Norwegian Cruise Line Holdings Ltd (NASDAQ: NCLH) ranked third and Carnival Corp (NYSE: CCL)’s Carnival Cruise Lines and Princess Cruises ranked fourth and fifth.

Experience ratings were well reflected in respective stock performance.

In the last sixth months, Royal Caribbean shares surged 37.1 percent to a rate of $95.21, Norwegian shares bobbed 9.5 percent to $47.69 and Carnival shares floated 8.8 percent to $55.40.

Planners

The positive correlation between consumer and investor value did not hold among travel planners. The best ranked sites in 2016 also had the worst stock performances.

According to ratings on Consumer Affairs, Tripadvisor Inc (NASDAQ: TRIP) provided nearly twice the value of Expedia Inc (NASDAQ: EXPE), which slightly edged out Priceline Group Inc (NASDAQ: PCLN).

But Priceline proved to be the most profitable stock. Its shares have been on the rise in the last five years and presently rest around $1,637. Meanwhile, Expedia has seen significant volatility with shares leveling around $119, and Tripadvisor has struggled since 2014, with shares cut by more than 50 percent to a present rate around $47.

Posted-In: Carnival Cruise Lines Celebrity CruisesNews Topics Travel Movers Trading Ideas General Best of Benzinga

 

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