Photo: Flickr / Jono Haysom
Three of the top 11 performing stocks in the S&P 500 come from the travel sector.The reasoning for the stellar performance of TripAdvisor, Expedia, and Priceline.com, according to JPMorgan research reports, is that the market share has been consolidated between these three companies.
Furthermore, there has been improvement in hotel bookings during the year’s first quarter, which was up 30% year-over-year at the start of May.
JPMorgan recently lowered its estimate on Priceline.com, putting its price target at $770 from $810, but that target is still roughly 10 per cent higher than its current price of $647.06.
Rival companies Orbitz (-1.60 per cent) and HomeAway (-5.94 per cent) have not even come close to comparing to the top three travel stocks so far this year, which signals that the market share is consolidating as previously suggested. Despite having somewhat significant exposure to Europe, these three travel stocks have been tremendous all year long.
Here are the rest of the top 11 best performing stocks since the start of the year.
1. TripAdvisor (TRIP) — +70.7 per cent
2. Expedia (EXPE) — +65.7 per cent
3. Sears Holdings (SHLD) — +64.5 per cent
4. Sherwin-Williams (SHW) — +48.3 per cent
5. Regions Financial (RF) — +43.4 per cent
6. Apple (AAPL) — +43.3 per cent
7. Dean Foods (DF) — +43.0 per cent
8. PulteGroup (PHM) — +42.3 per cent
9. Gap (GPS) — +42.1 per cent
10. Teradata (TDC) — +41.5 per cent
11. Priceline.com (PCLN) — +37.8 per cent