4 shares set to benefit from the Chinese tourism boom

Sydney Airport Holdings Ltd (ASX:SYD), Sealink Travel Group Ltd (ASX:SLK), Village Roadshow Ltd (ASX:VRL) and Mantra Group Ltd (ASX:MTR) provide appealing exposure to increased domestic tourism.

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Australian Bureau of Statistics (ABS) has released its Overseas Arrivals and Departures figures for January 2016.

The overall trend estimate of short-term arrivals showed an increase of 0.9% compared with December 2015 and of 11.2% on January 2015.

Arguably the more interesting insight from the release however was a leading source of this growth, namely an increase in tourists from China.

The China arrival trend data shows year-on-year growth of 35.1% with 102,700 visitors arriving from China in January 2016.

This strong growth figure reinforces the thinking of some investors who have looked to play the thematic of a weakening Australian dollar by focussing on ASX shares that will benefit from increased domestic tourism.

Here are four worth keeping an eye on to continue benefiting from this favourable thematic…

  1. Sydney Airport Holdings Ltd (ASX: SYD) – Sydney is still the primary destination for incoming tourists and that certainly helps Sydney Airport attract a growing number of flights and passengers.
  2. Sealink Travel Group Ltd (ASX: SLK) – With numerous boats and ferries on Sydney Harbour including Captain Cook Cruises, Sealink is well placed to benefit from higher numbers of tourists to Sydney. The group also operates services in other strategic tourism locations including Kangaroo Island and more recently Perth.
  3. Village Roadshow Ltd (ASX: VRL) – With five theme parks on the Gold Coast and Wet 'n' Wild in Sydney, Village Roadshow's assets are an appealing destination for many tourists.
  4. Mantra Group Ltd (ASX: MTR) – As the second largest accommodation provider in Australia with both CBD and leisure destinations on offer, Mantra is well positioned to attract a significant proportion of inbound tourists.
Motley Fool contributor Tim McArthur has no position in any stocks mentioned. Unless otherwise noted, the author does not have a position in any stocks mentioned by the author in the comments below. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »