Travel and tourism was one of the worst impacted sectors last year due to travel limitations caused by the COVID-19 pandemic. However, easing restrictions with progress on the vaccination front, and pent-up demand for travel, should bolster the industry’s rebound. Given that travel spending is expected to surge this year, we believe the price dips in the shares of Boyd Gaming (NYSE:BYD), Vera Bradley (NASDAQ:VRA), and Full House Resorts (NASDAQ:FLL) make them solid picks now. Read on.The global travel and tourism industry was among the worst hit industries amid the COVID-19 pandemic due to the travel restrictions that most countries imposed to contain the virus’ spread. But the industry has been seeing a decent recovery lately thanks to a fast-paced economic recovery and easing travel restrictions facilitated by significant progress on the COVID-19 vaccination front worldwide.
According to the U.S. Travel Association, domestic travel spending is expected to surge 22.5% year-over-year to $787 billion in 2021. The pent-up demand for leisure travel is expected to be the major contributor to this growth.
So, we think it could be wise to bet on fundamentally sound travel and tourism stocks Boyd Gaming Corporation (BYD), Vera Bradley Inc. (VRA), and Full House Resorts Inc . (FLL). They are each trading below their recent highs.