3 Travel Stocks to Buy as a Strong Dollar Buoys Vacationers

Group 1: Travel Industry Overview - The phenomenon of revenge travel has faded, but there remains a bullish case for travel stocks due to the strong U.S. dollar, which enhances American tourists' purchasing power [1] - The Covid-19 pandemic has led to a behavioral shift where consumers prioritize experiential expenditures, supporting the case for travel stocks [1] Group 2: Wyndham Hotels & Resorts (WH) - Wyndham Hotels & Resorts operates as a hotel franchisor with brands like Super 8 and Days Inn, and reported sales of $1.4 billion in 2023, down nearly 7% from $1.5 billion in 2022 [2] - In the trailing 12 months, Wyndham posted a net income of $238 million, translating to earnings per share (EPS) of $2.84 [2] - For the current fiscal year, sales are projected to reach $1.49 billion, an increase of nearly 7%, with EPS expected to rise to $4.36, indicating a growth of just under 28% [3] Group 3: United Airlines (UAL) - United Airlines provides air transportation services and is recovering from the impacts of Covid-19, with 2023 revenue projected at $53.72 billion [4][5] - In 2020, United's sales were $15.36 billion, down 64.5% from $43.26 billion in 2019, but analysts expect revenue to increase by 8.46% to $58.26 billion in the current fiscal year [5] - The airline's net income for the trailing 12 months was $2.69 billion, with EPS at $8.09, and EPS is expected to rise to $10.30, a gain of 30.55% [5] Group 4: Trip.com (TCOM) - Trip.com operates as a travel service provider primarily in China, with a unanimous strong buy rating from analysts and an average price target of $68.06 [6][7] - The company reported revenue of $44.51 billion in 2023, recovering from $18.32 billion in 2020, which was down nearly 49% from $35.67 billion in 2019 [7] - For the current year, sales are expected to grow by 20.2% to $53.5 billion, with EPS projected to rise 47% to $21.72 [7]