The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how travel and vacation providers stocks fared in Q4, starting with Royal Caribbean (NYSE: RCL).
Airlines, hotels, resorts, and cruise line companies often sell experiences rather than tangible products, and in the last decade-plus, consumers have slowly shifted from buying "things" (wasteful) to buying "experiences" (memorable). In addition, the internet has introduced new ways of approaching leisure and lodging such as booking homes and longer-term accommodations. Traditional airlines, hotel, resorts, and cruise line companies must innovate to stay relevant in a market rife with innovation.
The 18 travel and vacation providers stocks we track reported a satisfactory Q4. As a group, revenues beat analysts’ consensus estimates by 2% while next quarter’s revenue guidance was 6.5% above.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 13.8% since the latest earnings results.
Royal Caribbean (NYSE: RCL)
Established in 1968, Royal Caribbean Cruises (NYSE: RCL) is a global cruise vacation company renowned for its innovative and exciting cruise experiences.
Royal Caribbean reported revenues of $3.76 billion, up 12.9% year on year. This print was in line with analysts’ expectations, and overall, it was a satisfactory quarter for the company with EPS guidance for next quarter exceeding analysts’ expectations.
"2024 was exceptional, thanks to our incredible team's flawless execution, which drove elevated demand across our leading brands, the early achievement of our Trifecta goals, and meaningful progress on our strategic priorities," said Jason Liberty, president and CEO, Royal Caribbean Group.
The stock is down 8.3% since reporting and currently trades at $217.20.
Is now the time to buy Royal Caribbean? Access our full analysis of the earnings results here, it’s free.
Best Q4: Pursuit (NYSE: PRSU)
With attractions ranging from glacier tours in the Canadian Rockies to an oceanfront geothermal lagoon in Iceland, Pursuit Attractions and Hospitality (NYSE: PRSU) operates iconic travel experiences, experiential marketing services, and exhibition management across North America and Europe.
Pursuit reported revenues of $45.8 million, down 84.3% year on year, outperforming analysts’ expectations by 8.8%. The business had a stunning quarter with an impressive beat of analysts’ EPS estimates and full-year EBITDA guidance exceeding analysts’ expectations.
The market seems content with the results as the stock is up 5% since reporting. It currently trades at $38.99.
Is now the time to buy Pursuit? Access our full analysis of the earnings results here, it’s free.
Weakest Q4: Hyatt Hotels (NYSE: H)
Founded in 1957, Hyatt Hotels (NYSE: H) is a global hospitality company with a portfolio of 20 premier brands and over 950 properties across 65 countries.
Hyatt Hotels reported revenues of $1.60 billion, down 3.5% year on year, falling short of analysts’ expectations by 3.1%. It was a softer quarter as it posted a significant miss of analysts’ adjusted operating income and EPS estimates.
Hyatt Hotels delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 22% since the results and currently trades at $126.61.
Read our full analysis of Hyatt Hotels’s results here.
Playa Hotels & Resorts (NASDAQ: PLYA)
Sporting a roster of beachfront properties, Playa Hotels & Resorts (NASDAQ: PLYA) is an owner, operator, and developer of all-inclusive resorts in prime vacation destinations.
Playa Hotels & Resorts reported revenues of $218.9 million, down 9.7% year on year. This number surpassed analysts’ expectations by 1.3%. Overall, it was a strong quarter as it also logged an impressive beat of analysts’ EPS estimates and a decent beat of analysts’ EBITDA estimates.
The stock is flat since reporting and currently trades at $13.32.
Read our full, actionable report on Playa Hotels & Resorts here, it’s free.
American Airlines (NASDAQ: AAL)
One of the ‘Big Four’ airlines in the US, American Airlines (NASDAQ: AAL) is a major global air carrier that serves both business and leisure travelers through its domestic and international flights.
American Airlines reported revenues of $13.66 billion, up 4.6% year on year. This result topped analysts’ expectations by 2%. Aside from that, it was a slower quarter as it recorded full-year EPS guidance missing analysts’ expectations.
The stock is down 38.1% since reporting and currently trades at $11.56.
Read our full, actionable report on American Airlines here, it’s free.
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