I really like the idea of shares that have a genuine growth 'story' behind them, usually in the form of a tailwind.
One of the best tailwinds out there is the growth of tourism, in my opinion. The following three businesses are all benefiting from the influx of tourists to Australia and New Zealand:
SKYCITY Entertainment Group Limited (ASX: SKC)
Skycity is an entertainment business that runs casino and entertainment complexes in Auckland, Hamilton, Queenstown, Adelaide and Darwin. It also has restaurants, bars and conference facilities, meaning that its locations can appeal to business people or the general public. It also operates a hotel at Auckland and Darwin.
All of its businesses are experiencing steady organic growth and I think it could offer a good mixture of growth and income at the current price. It currently has a dividend yield of 4.96%.
Auckland International Airport Ltd (ASX: AIA)
This is the company that runs the Auckland Airport, which is the main gateway into New Zealand. Asian tourists rank New Zealand as one of the countries that they'd like to visit most, which is why the airport is experiencing such large growth of passengers arriving into the country.
In its latest passenger update it showed that international passengers had grown by 5.4% compared to last year's financial year to date figure.
It's currently trading at 29x FY18's estimated earnings.
Crown Resorts is the operator of the casino complexes in Melbourne and Perth. It has been through a number of problems in recent years, including the recent arrests in China. However, the company is now growing again with its non-gambling businesses and its VIP gaming.
James Packer may have resigned from the Crown board today, but he wouldn't have been that involved in the day to day running of the business, so I don't think it will affect Crown's profit.
Crown is currently trading at 21x FY19's estimated earnings.
Foolish takeaway
The Asian middle class could be a big boost to all three businesses and I'd be happy to own all three in my portfolio. At the current prices I'd probably go for Crown because I think the Crown Sydney project will big a boost to earnings in a few years.
