The travel and leisure sectors are undergoing a transformation driven by the growing popularity of leisure travel – a combination of “business” and “leisure”.
Leisure travel represents a fundamental shift in how people approach travel. It reflects a broader societal trend in which the boundaries between work and personal life are becoming increasingly intertwined. For example, remote work has given professionals the flexibility to work from almost anywhere with an Internet connection, making it easier to combine business trips with leisure activities. Along with the increasing focus on work-life balance, Bleisure has led individuals to find ways to incorporate relaxation into their daily work schedules.
This new era of travel presents unique opportunities for committed investors. In fact, the global leisure travel market is expected to reach $3.5 trillion by 2033.
Let’s take a look at three stocks that are poised to capitalize on Bleisure’s huge travel potential.
1. JetBlue: Fly high on demand entertainment
The airline industry is adapting strategically to the rise of Bleisure and JetBlue Airways Nasdaq: JBL Provides a compelling example.
JetBlue Airways today
(As of 12/31/2024 at 05:39 PM ET)
- 52 week range
- $4.49
▼
$8.28
- Price target
- $6.55
JetBlue has taken significant initiatives to position itself as a major player in the premium leisure segment, which includes leisure travelers. A key element of JetBlue’s strategy is network expansion. The airline is strategically adding routes to popular tourist destinations domestically and internationally.
These expansions meet the growing demand for travel to destinations that provide business and leisure opportunities. To enhance the travel experience for Bleisure passengers, JetBlue is also investing in product improvements. Starting in 2025, the More Space offering will be upgraded with new amenities and features designed to provide greater comfort and convenience. This focus on premium seating aligns with the preferences of leisure travelers, who often prioritize comfort during their long-haul flights.
JetBlue’s third-quarter fiscal 2024 earnings report reflects the challenges and opportunities in the current market. While the airline reported a net loss of $60 million, it also saw revenue increase 0.5% year over year, to $2.4 billion. Notably, customer satisfaction rose by double digits, and the company generated $275 million in additional incremental benefits from its revenue initiatives. These results indicate that JetBlue’s strategic focus on the leisure sector is beginning to yield positive results.
JetBlue Airways stock forecast today
$6.55
-16.61% Consreduces
Based on 11 analyst ratings
| High expectations | $9.00 |
|---|---|
| Average expectations | $6.55 |
| Low expectations | $5.00 |
JetBlue Airways stock forecast details
As of December 30, 2024, JetBlue stock is trading at $8.01, reflecting a 44.3% year-to-date increase to reach a new 12-month high. Despite the consensus downgrade from analysts, recent upgrades and increased target prices indicate growing optimism about the airline’s prospects. The opening of a new crew base in San Juan, Puerto Rico, strengthens JetBlue’s position in the Caribbean, a key leisure market. This step is expected to enhance operational efficiency and provide greater flexibility in responding to market requirements.
2. Hilton: Hosting the pleasure revolution
Hilton Worldwide today
Hilton International
(As of 12/31/2024 at 05:32 PM ET)
- 52 week range
- $178.23
▼
$259.01
- Dividend yield
- 0.24%
- P/E ratio
- 53.04
- Price target
- $232.65
The hotel industry is also making changes to meet the needs of leisure travelers. Hilton International Holdings New York Stock Exchange: HLT It is a prime example of a hotelier adapting to this trend. Through its diverse portfolio of brands, Hilton caters to a wide range of leisure travellers’ preferences. Adding Small Luxury Hotels of the World to its portfolio expands Hilton’s reach into unique and desirable destinations.
Hilton’s third-quarter fiscal 2024 earnings show the company’s strong performance. Revenue rose 7.3% year over year to $2.867 billion, with net income reaching $344 million. The company achieved systemwide RevPAR growth of 1.4% and an impressive net unit growth of 7.8%. Hilton’s development pipeline is healthy, with 492,400 rooms under construction, including the opening of its 8,000th hotel globally. This expansion, including new locations such as Hilton Kyoto, underscores the company’s commitment to growth in key international markets.
Hilton Worldwide stock forecast today
$232.65
-5.87% downsideHe catches
Based on 19 analyst ratings
| High expectations | $277.00 |
|---|---|
| Average expectations | $232.65 |
| Low expectations | $181.00 |
Details of Hilton Worldwide stock forecasts
Hilton’s increased share repurchase authorization, now worth approximately $4.8 billion, indicates strong confidence in its future performance.
Although the consensus among Hilton’s analyst community is currently a Hold rating, there is a shift in sentiment as some begin to reevaluate the stock’s potential. This is evidenced by a bullish revision to the price target by three analysts in December, one of whom set the price at $277.00. These adjustments indicate continued confidence in Hilton’s ability to successfully execute its strategic initiatives.
3. Collectibles Reserve: The digital portal for fun
Book today
(As of 12/31/2024 at 05:32 PM ET)
- 52 week range
- $3,180.00
▼
$5,337.24
- Dividend yield
- 0.70%
- P/E ratio
- 33.71
- Price target
- $4,945.96
Online booking platforms are crucial in facilitating the travel experience at Bleisure and Booking Holdings NASDAQ:BCNG It is the dominant force in this space.
Through its brands, including Booking.com, Priceline, Agoda, KAYAK and OpenTable, the company offers a comprehensive range of travel services, from flights and accommodation to car rentals and restaurant reservations. The Booking Holdings platform is particularly suitable for leisure travelers who need to seamlessly manage the business and leisure aspects of their trips.
Book your stock forecast today
$4,945.96
-0.45% downsideModerate purchase
Based on 32 analyst ratings
| High expectations | $6,000.00 |
|---|---|
| Average expectations | $4,945.96 |
| Low expectations | $3,590.00 |
Details of reservation inventory forecast
Booking Holdings’ third-quarter fiscal 2024 earnings highlight the company’s continued success. Revenue grew 9% year over year to $8.0 billion, with net income reaching $2.5 billion. Room night bookings rose 8%, and total travel bookings rose 9% to $43.4 billion.
These figures demonstrate strong demand for online travel services, driven in part by the Bleisure trend.
The company’s mission to “make it easier for everyone to experience the world” aligns perfectly with the desires of travelers looking for seamless and efficient booking experiences.
Riding the wave of bliss
The leisure travel trend represents a fundamental shift in how people approach travel, blurring the lines between business and leisure. This trend is reshaping the travel industry, creating new opportunities for companies that adapt to travelers’ evolving needs. JetBlue, Hilton, and Booking Holdings are examples of companies that are strategically positioning themselves to capitalize on the growing Bleisure trend.
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