The Motley Fool

3 ways to profit from the tourism boom

This morning the Australian Bureau of Statistics released its inbound tourism data for the month of March.

According to the release, Australia welcomed 761,800 short term visitors onto its shores during the month, which was a 5.3% increase on the prior corresponding period.

The biggest drivers of this growth was tourism from China and the United States. Inbound visitors from these two nations rose 6.8% and 5.5% respectively on the prior corresponding period.

I believe this trend can continue for some time to come, meaning Australian companies with exposure to the tourism sector could benefit greatly over the coming years.

As a result, I think these three shares could be worth a look today:

Crown Resorts Ltd (ASX: CWN)

Due to Crown’s portfolio of hotels and casinos in prime tourist hotspots, I think the company is well positioned to benefit from the tourism boom. As more and more tourists arrive in Australia, I expect demand for hotel rooms will grow strongly. This could lead to Crown experiencing the perfect combination of higher room rates and occupancy levels.

Experience Co Ltd (ASX: EXP)

This adventure tourism company recently downgraded its full-year revenue and earnings guidance due to the impact of unfavourable weather conditions. As this is arguably a once in a generation event, I think the sizeable selloff that has occurred has created a buying opportunity. Especially given how the tourism boom is likely to result in increased demand for its services.

Sydney Airport Holdings Pty Ltd (ASX: SYD)

As the main gateway into Australia I think Sydney Airport will be a big winner from the tourism boom. As tourists flock to the country, I expect the company will not only see a rise in passengers through its gates, but also demand for its parking and retail facilities. This should put it in a position to grow its earnings and dividend at an above-average rate, potentially offsetting any pressures from rising bond yields in the United States.

As well as those three shares, I think these up and comers are destined for big things in 2018 and 2019.

The Disruptors: 3 Revolutionary Aussie Companies to Back for 2018

We’re living in one of the most exciting times in investing history. Innovation and a booming culture of entrepreneurship are constantly creating new companies with the potential to make forward-thinking investors very rich. Now more than ever, one small, smart investment could make a huge difference to your wealth.

That’s why at The Motley Fool we’ve been scrutinizing the ASX to uncover the kinds of companies that we believe could turn into the next Cochlear or REA Group.

We’ve found three exciting companies that we believe re poised to perform in the new year. Click here to uncover these ideas!

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Crown Resorts Limited and Sydney Airport Holdings Limited. The Motley Fool Australia owns shares of EXPERNCECO FPO. 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 Scott Phillips.

5 ASX Stocks for Building Wealth After 50

I just read that Warren Buffett, the world’s best investor, made over 99% of his massive fortune after his 50th birthday.

It just goes to show you… it’s never too late to start securing your financial future.

And Motley Fool Chief Investment Advisor Scott Phillips just released a brand-new report that reveals five of our favourite ASX stocks for building wealth after 50.

– Each company boasts strong growth prospects over the next 3 to 5 years…

– Most importantly each pays a generous dividend, fully franked.

Simply click here to find out how you can claim your FREE copy of “5 ASX Stocks for Building Wealth After 50.”

See the stocks now