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2 Tremendous Travel Stocks to Buy Now If you are interested in adding exposure to this rebounding industry, check out our overview of 2 tremendous travel stocks to buy now

By Sean Sechler

entrepreneur daily

This story originally appeared on MarketBeat

Depositphotos.com contributor/Depositphotos.com - MarketBeat

These Travel Stocks Could Be Ready to Take Off

Keeping things simple when it comes to investing is always a good idea, as it's fairly easy to overcomplicate things in financial markets. That's why looking at travel stocks as the industry is poised for a rebound makes a lot of sense at this time. These companies saw their share prices plunge during the pandemic as people stayed home and practiced social distancing. Restrictions in countries all over the world essentially made traveling impossible for a period of time, which naturally had many travel stock investors heading for the exit doors.
Flash forward to 2022 and travel-related companies could be set up for a huge year. Restrictions have been lifted in many countries, while pent-up demand among consumers should lead to strong earnings results for these businesses over the next few quarters and beyond. Thanks to vaccines, people are feeling comfortable with the idea of packing their bags and hitting the road again. It's also worth noting that many of these companies have had to cut costs and rethink their operating models during the pandemic, which could result in stronger businesses over the long term.
If you are interested in adding exposure to this rebounding industry, check out our overview of 2 tremendous travel stocks to buy now:

Expedia Group (NASDAQ: EXPE)

Sometimes, a company has the misfortune of reporting their earnings results on a bad day for the stock market. That's the case with Expedia Group, which just delivered a huge Q4 earnings beat that suggests investors should be optimistic about the travel industry going forward. Expedia beat the consensus Q4 EPS estimate by $0.79 with Adjusted EPS of $1.06, while the company's management team delivered optimistic remarks about the company's year ahead. CEO Peter Kern mentioned "While we experienced yet another significant travel disruption from Covid this quarter, we were pleased to see that the impact was less severe and of shorter duration than previous waves. Notably, the travel industry and traveling public prove more resilient with each passing wave, and we continue to expect a solid overall recovery in 2022,"
This is one of the top travel stocks to consider owning as its one of the world's largest online travel services companies. Whether it's lodgings, car rentals, airline tickets, cruise arrangements, or destination services, Expedia can assist travelers with every aspect of their trips. Well-known websites like Hotels.com, Hotwire, and Expedia are often the first place people look to make plans, while the company's VRBO vacation rental site is an Airbnb competitor that continues to grow in popularity with every passing year. Although the selloff after earnings might scare some investors away from Expedia, there's a good chance the weakness had more to do with overall market volatility on that particular trading day. Any pullback could eventually end up being a nice buying opportunity for investors to consider, so keep an eye on the stock in the coming sessions.

Marriott International Inc (NASDAQ: MAR)

Next, we have Marriott International, another intriguing travel stock that has been an outperformer in 2022. The company operates and franchises several brands of hotels, resorts, and timeshare facilities in the United States and 67 other countries. These include higher-end hotels such as The Ritz-Carlton, Westin, W, and St. Regis along with more affordable options such as Renaissance, Courtyard, and Fairfield Inn. The Marriott brand is one of the strongest in the hotel industry, which means the company has plenty of loyal customers and a strong market share for investors to consider.
One of the big trends working in Marriott's favor going forward is the rise of "bleisure", or business leisure, trips. With the ability to work remotely, many consumers are now combining their business travel with leisure trips. This is a positive for Marriott, as the company's brands are ideal for these types of travelers. The company also has an interesting business model, as Marriott receives a lot of recurring fees from managed or franchised hotels. These managed hotels have low fixed costs and contracts that last for 20 years, which means Marriott is a company that offers financial stability versus many other travel stocks. Investors should note that Marriott will report its Q4 earnings on Tuesday, February 15th, which will provide additional insight into how the company is recovering from the impacts of the pandemic.

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