In recent years, the summer travel season has picked up steam as the world returns to normal. Nearly a third of American families took a vacation last summer, the highest number since 2015, according to the New York Fed. When the summer travel season arrived, families looked for things to do, spending increased, and some even took vacations. Companies will report higher profits.
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That’s why we’re considering which stocks are worth investing in, as stock prices could skyrocket this summer travel season. Here’s what experts say about buying stocks before the summer travel boom.
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Things to consider when choosing stocks
Investment experts say there are some key factors to look out for in stocks that will skyrocket during the summer travel season.
Pay attention to seasonal trends
Seamus Nally, CEO of Turbotenant, said: “Many real estate stocks are great investment options for the summer travel season.”
Experts said it’s a good idea to consider investing in industries that tend to boom during summer travel. Hotels and airlines may naturally come to mind, but other businesses will also benefit. For example, as more people travel, they may need a vehicle to get around or find fun activities to do with their kids.
“The food service and hospitality industries definitely have a high season during the summer holidays,” said Mike Durkowski, founder and CEO of Scrubs. “The travel boom actually starts in the spring and varies by destination.”
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Thinking about industries that are returning
If you’re looking for stocks with potential for growth, you might want to look for companies that have returned to pre-pandemic levels of performance. This may be why you might want to think about the cruise lines and travel platforms that declined in 2020 when people stopped traveling. Many stocks could soar this season as families enjoy more summer vacations and these companies end up reporting higher profits.
What stocks should you invest in this summer?
What are the 10 stocks that will skyrocket during the summer travel season? We’ll look at the company’s business, why it’s expected to grow over the summer, and its stock price as of April 25th.
1. Airbnb, Inc. (ABNB)
As the summer travel season approaches, more people will be using Airbnb to book accommodations. With many global events taking place this year, Airbnb is expected to benefit greatly from all kinds of travel.
“Summer travel means the amount of business and revenue that sites like this are taking in is at its peak, especially since these types of short-term rentals have become incredibly normalized in travel,” Nally said. he said.
The current stock price is $163.01 and some analysts believe the company can profit from the Olympics, so with an expected price of $200, this could be a decent investment this summer. There is a gender.
2. Walt Disney Company (DIS)
“Disney, with its long and rich history, operates a wide range of companies, including movies and amusement parks,” Durkowski said. “Recent efforts on streaming platforms, along with the return of theme parks post-pandemic, should accelerate growth in 2024. So this particular stock is a solid pick worth betting on this summer. It will be.”
Disney’s stock is currently worth $112.77, with expectations that the price could rise to at least $116.
3. Booking Holdings Co., Ltd. (BKNG)
Investment experts agreed that the platform is worth investing in as it is one of the world’s largest travel marketplaces. Durkowski said the stock could rise regardless of the holidays, but the summer travel season will definitely help.
“The diversity of our bookings in the travel and luxury markets should help as well as our entry into the growing Asia-Pacific region,” said Scott Lieberman, founder of Touchdown Money. “When a company enters an untapped market with capital, it’s usually a good sign.”
The current stock price is $3,502.48, but it is predicted that the stock could reach $4,000 within a year.
4. Carnival Corporation & plc (CCL)
Durkowski noted that Carnival revenues have just returned to pre-COVID-19 levels and are coming out strong heading into the summer season.
“Carnival is a high-risk, high-return stock because much of its debt is due within the next two years,” Lieberman said. “However, as cruising becomes more accepted in the post-corona era, we expect it to become profitable again. Once people’s fears subside, cruise lines will start to be profitable again.”
The stock is priced at $15.18, and analysts believe it could rise above $20 within a year.
5. Redfin Corporation (RDFN)
“Summer is also peak home buying season, with many people traveling to look for a new home during this time, so Redfin is also an investment opportunity to consider,” Nally said.
The stock is priced at $5.18, and many analysts believe the stock could rise in value over the summer to more than $6, with hopes that interest rate cuts will bring more homebuyers back. I feel that there is.
6. Uber Technologies (UBER)
As people travel more in the summer, they become more dependent on ride-sharing companies for transportation. Investment experts agreed that people will need to use Uber to get to their destinations and may also use food delivery.
The current stock price is $69.31, and analysts believe the stock could cross the $80 mark within a year, after the gig economy startup has experienced swings in momentum. Uber ended 2023 reporting $37.3 billion in revenue, and many believe this summer will be busy for the company.
7. Southwest Airlines (LUV)
“While other airlines have introduced basic economy fares, Southwest has consistently resisted baggage fees and fare reductions,” Lieberman said. “Customers are enjoying it, and airlines are likely to benefit as travel stabilizes.”
As summer travel picks up, this stock could soar as families are likely to have to book flights to get to their destinations. If the current stock price is $27.27 and the expected price is $30.50, you can make some profit.
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This article originally appeared on GOBankingRates.com: I’m an investment expert: Buy these 7 stocks that will soar during the summer travel season
