I travel a lot for work, or rather I used to until Covid19 hit. My last work related trip was to Florida to a convention on Robotic Process Automation (RPA). I stayed in a beautiful Hilton Hotel near a marina with a great resturant and bar. I’ve been a long time Hilton Honors member and use the AMEX credit card a lot to gain points, status, and rewards.
My Hilton Honors came in handy when my family and I were stranded overnight in Miami because flights were cancelled due to a nasty storm. I was able to secure a hotel room on short notice that didn’t cost me an arm and a leg for all of us.
Over the last two years I started booking some hotel rooms at the Marriott if they were closer to a customer’s location. I’ve come to find that Marriott has some great perks as well and is definitely giving Hilton a run for their money. I don’t mind, I like competition! I too hold a Marriott members card now!
COVID19 and Travel⌗
When the Covid19 vaccine was announced, everyone on our sales team was like ‘YEAH! I can’t wait to get on a plane again!’. I don’t blame them, I’ve been feeling restless too. I wanted to get on a plane and travel around again too.
My wife overhead me on a Zoom calling saying that and said, ‘maybe it’s a good time to buy some hotel stocks?’
I couldn’t agree with her more, so we bought some Hilton ($HLT) and Marriott ($MAR) stock. This was right before the Biden transition was officially recognized. The stocks when BOOM right after Biden got the go ahead to transition.
Here’s what HLT is doing:
And here’s what MAR is doing:
Lots of gaps up over resistance lines. Technically all looks well and both stocks have been upgraded to BUY’s from various agency groups.
After Covid19 and Travel⌗
Once the vaccine is distributed and Biden get’s this virus under control, leisure travel is going to rebound like crazy. People have been pent up too long and they need a break, so I expect the Disney and all the destinations to do well. AirBNB will probably explode and maybe one of the cruise lines will perk up to (my money is on RCL).
I’m not too sure about how business travel will rebound, I think it will be a measured recovery. My company saved a TON of money on no travel and all Zoom meetings but there will be some recovery, maybe not as hard and fast as leisure.
Disclosure: Long HLT and MAR.