Published on 6 Mar 2024 on Zacks via Yahoo Finance
3 Leisure & Recreation Services Stock to Buy Despite Industry Woes
The Zacks Leisure and Recreation Services industry is hurt by high inflation and concerns regarding related to the global economy. However, consistent strategic partnerships and digital initiatives bode well. The robust demand for concerts, robust bookings for cruise operators and higher per capita spending at theme parks are supporting the industry. Firms like Royal Caribbean Cruises Ltd. RCL, Carnival Corporation & plc CCL and Madison Square Garden Sports Corp. MSGS are likely to progress in their respective fields owing to the factors mentioned above.
Industry Description
The Zacks Leisure and Recreation Services industry comprises various recreation providers, such as cruise, entertainment and media owners, golf-related leisure and entertainment venue businesses, theme park makers, resort operators and event organizers. Some industry players have ski and sports businesses, while some operate health and wellness centers onboard cruise ships and at destination resorts. Many companies are engaged in hospitality and related businesses. A few industry participants also provide weight management products and services. These companies primarily thrive on overall economic growth, which fuels consumer demand for products. Demand, highly dependent on business cycles, is driven by a healthy labor market, rising wages and a growing disposable income.