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3 ASX shares to profit from the tourism boom today

This morning The Australian Bureau of Statistics released its latest tourism figures which revealed a 11.7% year on year jump in short-term overseas visitor arrivals in August.

Once again the strong growth in Chinese tourism was a major factor in the rise. Visitors from the China mainland grew a massive 14.1% to 101,900 in August.

As things stand Australia looks set to welcome a record 8 million overseas visitors this year. With this solid growth set to continue for the next few years, the following three shares could be in a great position to profit.

Mantra Group Ltd (ASX: MTR)

This leading accommodation provider is the company behind the popular Peppers, Mantra, and BreakFree brands. At present Mantra has a portfolio which consists of 127 properties with more than 20,000 rooms under management. Although the company also operates overseas in New Zealand, Indonesia and Hawaii, the majority of its properties are in Australia. With Australian inbound tourism growing at a rapid clip, I expect Mantra to see strong demand for its rooms for some time to come.

Skydive The Beach Group Ltd (ASX: SKB)

Skydive The Beach is well known as a leading operator of skydiving operations around Australia and New Zealand. But just last week it announced it is expanding beyond skydiving with the acquisition of Raging Thunder Adventures for $15.5 million. Raging Thunder Adventures offers activities such as white water rafting, canyoning, hot air ballooning, and Great Barrier Reef cruises. Management expects the acquisition will boost full year EBITDA by $3 million. As Australia welcomes more and more tourists, I believe Skydive The Beach is positioned perfectly for growth.

Village Roadshow Ltd (ASX: VRL)

As well as distributing films and operating cinemas, Village Roadshow is Australia’s leading operator of theme parks. Its popular theme parks attract around 5 million visitors per year and include the likes of Movie World, Sea World, and Wet’n’Wild on the Gold Coast. Unfortunately for its shareholders, year to date its shares have lost over 32% of their value. But as management is taking steps to rebase earnings and chase new revenue streams, I feel optimistic that a turnaround is coming.

If you need to make space in your portfolio for either of these shares I would highly recommend removing these potentially wealth-destroying shares from it. Each could be holding your portfolio back and might be best swapped out if you ask me.

3 Rotten Shares to Sell, and 1 to Buy Today

After a double-digit rally for the ASX since 2016 lows, investors should be on high alert. You'll find a full rundown below of 3 shares we think you should avoid today plus one top pick worth buying, even if the market turns south and the RBA keeps rates at an "emergency low." Simply click here to uncover these stocks.

Motley Fool contributor James Mickleboro has no position in any stocks mentioned. 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.

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