Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.While many investors like to look for momentum i ...

The Consumer Discretionary group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is InterContinental Hotels (IHG) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Consumer Discretionary peers, we might be able to answer that question.InterContinental Hotels is one of 266 individual stocks in the Consumer Discretionary sector. Collectively, these companies sit at #12 in the Zacks S ...

Investors in Choice Hotels International, Inc. (CHH) need to pay close attention to the stock based on moves in the options market lately. That is because the Dec 19, 2025 $80.00 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the othe ...

Company Overview - Legacy Education Inc. (LGCY) is part of the Consumer Discretionary sector, which includes 265 companies and is currently ranked 12 in the Zacks Sector Rank [2] - The company has a Zacks Rank of 2 (Buy), indicating a favorable outlook based on earnings estimates and revisions [3] Performance Analysis - Over the past three months, the Zacks Consensus Estimate for LGCY's full-year earnings has increased by 5.6%, reflecting improved analyst sentiment [4] - Year-to-date, LGCY has returned approximately 19.7%, significantly outperforming the Consumer Discretionary sector's average return of 0.7% [4] Industry Context - Legacy Education Inc. operates within the Schools industry, which consists of 19 stocks and is currently ranked 66 in the Zacks Industry Rank [6] - The Schools industry has experienced an average decline of 6.7% year-to-date, indicating that LGCY is performing better than its industry peers [6] Comparative Analysis - Another notable stock in the Consumer Discretionary sector is H World Group (HTHT), which has returned 39.9% year-to-date and also holds a Zacks Rank of 2 (Buy) [5] - H World Group is part of the Hotels and Motels industry, which is ranked 188 and has seen a decline of 4.3% year-to-date [6] Investment Outlook - Investors interested in Consumer Discretionary stocks should continue to monitor Legacy Education Inc. and H World Group for their strong performance [7]

Core Viewpoint - The Zacks Hotels and Motels industry is facing challenges due to economic uncertainty, labor shortages, and declining occupancy and RevPAR, but companies are pursuing growth strategies to enhance their portfolios and customer loyalty [1][3][4]. Industry Overview - The Zacks Hotels and Motels industry includes companies that own, lease, manage, develop, and franchise hotels, as well as those involved in vacation ownership and mobile accommodations [2]. Current Trends - Economic uncertainty and slowing growth are impacting hotel performance, with inflation and high interest rates leading to reduced discretionary spending and weaker bookings [3]. - Labor shortages and rising wages are significant challenges, affecting staffing levels and service quality, which in turn impacts profitability [4]. - Recent data indicates a decline in key performance metrics, with U.S. hotel occupancy dropping to 60.9% and RevPAR falling 4.6% to $93.97 [5]. Growth Strategies - Digitalization is a key focus for hotel owners, who are leveraging technology to enhance guest experiences and optimize pricing, which may help capture additional market share [6]. Industry Performance - The Zacks Hotels and Motels industry currently ranks 182, placing it in the bottom 25% of Zacks industries, indicating dull near-term prospects [8][9]. - Over the past year, the industry has underperformed the S&P 500, declining 9.4% compared to the sector's decrease of 17.3% [10]. Valuation Metrics - The industry is trading at a trailing 12-month EV/EBITDA of 15.59X, lower than the S&P 500's 17.94X, with a historical range between 13.17X and 89.02X over the past five years [13]. Notable Companies - **Marriott International, Inc. (MAR)**: Benefiting from room growth and digital transformation, with a projected 7.6% increase in 2025 earnings [15][16]. - **Hilton Worldwide Holdings Inc. (HLT)**: Strong net unit growth and a focus on luxury and digital advancements, with a projected 12.6% growth in 2025 EPS [19][20]. - **Choice Hotels International, Inc. (CHH)**: Focused on unit expansion and strategic partnerships, with a projected 1.6% growth in 2025 earnings [23][24].

H World Group (HTHT) came out with quarterly earnings of $0.67 per share, beating the Zacks Consensus Estimate of $0.64 per share. This compares to earnings of $0.61 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +4.69%. A quarter ago, it was expected that this hotel operator would post earnings of $0.56 per share when it actually produced earnings of $0.59, delivering a surprise of +5.36%.Over the last four quarters, the com ...

Core Insights - Venu Holding Corporation reported a quarterly loss of $0.15 per share, better than the Zacks Consensus Estimate of a loss of $0.21, but worse than a loss of $0.13 per share a year ago, indicating an earnings surprise of +28.57% [1] - The company generated revenues of $5.39 million for the quarter ended September 2025, missing the Zacks Consensus Estimate by 42.1% and down from $5.45 million year-over-year [2] - The stock has increased by approximately 24.4% since the beginning of the year, outperforming the S&P 500's gain of 14.6% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.24 on revenues of $6.7 million, and for the current fiscal year, it is -$1.23 on revenues of $24 million [7] - The estimate revisions trend for Venu Holding Corporation was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market [6] Industry Context - The Hotels and Motels industry, to which Venu Holding Corporation belongs, is currently ranked in the bottom 26% of over 250 Zacks industries, indicating potential challenges for stock performance [8] - Another company in the same industry, H World Group, is expected to report quarterly earnings of $0.64 per share, reflecting a year-over-year change of +4.9%, with revenues projected at $944.94 million, up 2.9% from the previous year [9][10]

Core Insights - Marriott International, Inc. (MAR) is experiencing strong growth momentum and expanding its portfolio of branded residential projects across Europe, the Middle East, and Africa (EMEA) [2][3] Expansion and Development - Marriott is rapidly expanding in the EMEA region, currently operating in 18 countries and territories, with 33 branded residential projects open and over 50 more planned [3][10] - The company's portfolio has increased by 23% in Europe and 59% in the Middle East and Africa since late 2023, indicating strong demand for luxury branded homes [3] - In 2025, Marriott secured nearly 20 branded residential agreements in the EMEA region, with significant projects like The Residences at the Dubai Beach EDITION [5][10] Financial Performance - As of the end of Q3 2025, Marriott's global portfolio of rooms increased by 4.7% year over year, reaching over 1.75 million rooms across more than 9,700 properties [7] - The development pipeline reached a record high of over 596,000 rooms, with more than 250,000 currently under construction [7] - Global RevPAR increased by 0.5% year over year, with EMEA leading at a growth of 2.5% driven by higher average daily rates and improved occupancy levels [8][10] Market Position - Shares of MAR gained 4.7% year-to-date, outperforming the Zacks Hotels and Motels industry's 7.8% decline, supported by strong leisure demand and solid global booking trends [11] - The integration of digital capabilities with exceptional hospitality service allows Marriott to command premium room rates in a competitive lodging industry [6]

Group 1 - H World Group (HTHT) has shown strong year-to-date performance, returning 24.3%, significantly outperforming the average gain of 1.8% in the Consumer Discretionary sector [4] - The Zacks Rank for H World Group is 1 (Strong Buy), indicating a positive outlook based on earnings estimates and revisions [3] - Over the past three months, the Zacks Consensus Estimate for HTHT's full-year earnings has increased by 9%, reflecting improved analyst sentiment [4] Group 2 - H World Group is part of the Hotels and Motels industry, which has an average loss of 8.6% this year, highlighting HTHT's superior performance within its industry [6] - The Hotels and Motels industry is ranked 185 in the Zacks Industry Rank, indicating a relatively low position compared to other sectors [6] - In contrast, Topgolf Callaway Brands (MODG), another outperforming stock in the Consumer Discretionary sector, has returned 34.9% this year and belongs to the Leisure and Recreation Products industry, which is ranked 76 [5][6]

Core Insights - Soho House & Co reported a quarterly loss of $0.1 per share, missing the Zacks Consensus Estimate of $0.02, compared to break-even earnings per share a year ago [1] - The company posted revenues of $370.75 million for the quarter ended September 2025, exceeding the Zacks Consensus Estimate by 4.50% and showing an increase from $333.37 million year-over-year [3] - The stock has gained approximately 19.3% since the beginning of the year, outperforming the S&P 500's gain of 14.3% [4] Earnings Performance - The quarterly report represents an earnings surprise of -600.00%, with the company previously expected to post a loss of $0.08 per share but instead reporting a loss of $0.1 [2] - Over the last four quarters, Soho House has surpassed consensus EPS estimates two times [2] Future Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.02 on revenues of $352.8 million, and for the current fiscal year, it is $0.17 on revenues of $1.32 billion [8] - The estimate revisions trend for Soho House was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [7] Industry Context - The Hotels and Motels industry, to which Soho House belongs, is currently ranked in the bottom 14% of over 250 Zacks industries, suggesting potential challenges ahead [9] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact investor sentiment [6]