Buy Travel Stocks – Invest in the Best Travel Stocks Today!
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
With global tourism levels slowly but surely returning to some sort of normality, now could be a great time to buy travel stocks. This might include a collection of hotel or airline stocks or even firms involved in bookings and price comparison.
In this guide, we explore the best travel stocks to buy right now and how to invest in your chosen companies with a 0% commission broker.
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If you already know which travel stocks you wish to buy, the mini-guide below will show you how to complete your purchase with 0% commission broker eToro in under five minutes.
It’s as simple as that – you have just learned how to buy travel stocks without paying any commission.
67% of retail investor accounts lose money when trading CFDs with this provider.
If you don’t have time to research the best travel stocks yourself, consider the top-rated companies listed below.
You will find our full analysis of the above travel stocks further down on this page.
You will need to open an account with an investment platform before you can buy travel stocks. The best brokers in this marketplace can be found below.
Choosing the right brokerage site for your needs is an important step. As such, consider reading our full broker reviews – which you will find further down in this guide.
As the name suggests, travel stocks are companies involved in the global tourism industry. This covers a wide spectrum of sectors from the travel industry – such as hotel chains, airline stocks, accommodation booking websites, and even cruise liners.
To ensure you choose the best travel stocks for your portfolio, we briefly discuss each sector in the sections below.
The first segment of the travel industry to consider is hotel groups.
This does, however, mean that you can enter the market at a discount if the stocks are yet to fully recover.
When building a diversified travel stock portfolio, you might also consider some airline companies. Once again, airline stocks were directly impacted by global travel restrictions as per COVID. And as such, many airlines have since collapsed.
This segment of the travel industry is potentially the riskiest to invest in, not least because airlines are still burning through cash at a rate of knots. But, if you’re looking for discounted shares and are prepared to take on additional risk, airline stocks could be the way to go.
Another way to gain exposure to the travel industry is via booking websites. These platforms are now used by the mass markets when it comes to booking hotels and other accommodation types, with traditional travel agencies on the decline.
A great example here is NASDAQ-listed Booking.com. The platform carries a huge market capitalization in and around the $100 billion level. And crucially, it owns a number of alternative booking websites – such as Agoda and Priceline.
You then have the likes of Airbnb – which only went public in December 2020. This travel platform dominates the peer-to-peer short-term rental space, whereby homeowners can rent their accommodation to travelers without needing to go through a third-party agent.
It might also be worth considering a number of cruise liners when searching for the best travel stocks to buy. Perhaps the largest player in this segment of the travel industry is Carnival Corporation – which is listed on the NYSE. Other cruise liner companies to consider include Royal Caribbean Group and Norwegian Cruise Line Holdings.
So now that you know the different types of travel stocks that are available to buy, we can now move onto the analysis stage. In the sections below, we review the very best travel stocks in this industry right now. Just make sure you perform your own research before you invest in any travel stocks.
We would argue that Marriott International is the overall best travel stock to buy right now. For those unaware, Marriott is the largest hotel group globally, with thousands of locations in every corner of the globe. Some of the most recognized brands of the Marriott chain include the JW Marriott, Sheraton, W, Westin, and Ritz-Carlton, Le Méridien.
What is particularly interesting about Marriott International is that while the vast majority of the global hotel industry struggled during 2020, the firm continues its global expansion program. As such, Marriott continues to open new hotels and resorts – especially in the South East Asian region. This aggressive expansion campaign is fully backed by a strong and robust balance sheet.
In terms of its share price action, Marriott International stocks continue to move northwards. At the turn of 2021, the shares were trading at just over $120 each. Marriott has since hit 52-week highs of $171 per share, representing gains of over 40%. The final icing on the cake with Marriott International is that the firm has decided to reinstate its dividend policy – which will commence in late 2021.
67% of retail investor accounts lose money when trading CFDs with this provider.
In order to create a diverse travel stock portfolio, it’s also worth considering a number of booking-related platforms. At the forefront of this is Booking Holdings, which is behind some of the most recognized hotel booking portals in the online space. This does, of course, including its flagship brand – Booking.com. However, Booking Holdings also owns Kayak, Priceline, Agoda, and more.
With this in mind, the firm has a significant market share in the online travel booking space. One of the most attractive factors about this travel stock is that Booking Holdings is behind a low-cost business model. And as such, the outlook on Booking Holdings stocks looks very bright. Over the past five years alone the stocks are up over 56%. More recently, Booking Holdings stocks have seen gains of 15% in the last 12 months.
67% of retail investor accounts lose money when trading CFDs with this provider.
Hilton Hotels Corporation – the globally recognized hotel group, has gone through a rollercoaster ride since COVID came to fruition. In a space of just a few weeks in early 2020, the stocks lost over 50% in value in response to global travel restrictions. However, it’s been up, up, and away for Hilton ever since.
In fact, the stocks are trading in and around all-time high levels, with Hilton shares since breaching $154. This means that since its lows of $55 per share in early 2020, Hilton has since seen gains of over 180%. Although Hilton suspended its dividend policy in 2020, there is every chance that this will return very soon in response to its strong stock price momentum.
67% of retail investor accounts lose money when trading CFDs with this provider.
Airbnb offers a peer-to-peer style platform that connects homeowners and short-term rentals. In turn, Airbnb collects a commission from landlords and renters on each transaction that is carried out on its platform. If you’re looking for the best travel stocks from a growth perspective, Airbnb could be worth a look.
After all, the firm only went public in December 2020 – so you have the chance to invest while Airbnb is still young. In fact, although the stocks were initially listed at around $140 – you can still make a purchase at an attractive price. At the time of writing, the shares are trading at around the $200 level. With a market capitalization of just $120 billion, the upside potential on this travel stock could be huge.
67% of retail investor accounts lose money when trading CFDs with this provider.
A diversified travel stock portfolio wouldn’t be complete without a number of airline companies. We would argue that one of the best options in this respect is the US-based budget carrier Spirit Airlines, which operates both domestically and internationally. Perhaps the stand-out metric with this travel stock is that it benefits from a robust balance sheet.
This is, of course, especially important at a time when airline companies are burning through cash. In terms of its stock price action, Spirit Airlines is still potentially undervalued. For instance, during the first quarter of 2021, the stocks enjoyed a successful upside swing from $23 per share to $40. However, the stocks have since dropped down to the $20-23 level. As such, now could be a good time to enter the market.
67% of retail investor accounts lose money when trading CFDs with this provider.
In the sections above we have analyzed a selection of the best travel stocks in the market right now. However, these picks might not be necessarily right for your portfolio. And as such, we would suggest compiling your own research to ensure you are making suitable investments for your financial goals.
To point you in the right direction, below we explain how to choose the best travel stocks on a self-directed basis.
The first thing to consider when searching for the best travel stocks to add to your portfolio is the specific sector that the company operates in. For example, if you are looking to buy some hotel stocks, then powerhouses like Marriott International and Hilton are worth looking at. Airlines are also directly involved in the travel industry, so this is another sector to consider.
Although we like Spirit Airlines for the value its stocks are currently offering, other attractive options include Easyjet (UK-based) and Delta. To add further diversification to your travel stock portfolio, it’s also worth focusing on the online segment of the industry. This might include Booking Holdings, which owns sites such as Booking.com, Agoda, and Priceline.
It’s also important to assess the firm’s balance sheet before you buy any travel stocks. This will give you a birds-eye overview of how financially strong or weak the respective company is.
This is particularly important when you consider that the global travel industry was put on a stand-still for much of 2020. As such, many firms involved in the hotel and airline sectors were forced to take on huge levels of debt to remain a going concern.
This is another reason why we like Marriott International. Sure, the hotel group decided to temporarily suspend its dividend policy in 2020. But, the firm did this to ensure that its global expansion plans were not hindered by lockdown measures.
Virtually the entire travel industry – whether that’s airlines, hotel groups, or online booking sites, experienced huge stock price losses in early 2020 when COVID was declared a pandemic by the WHO. However, what you will notice is that while some companies in this industry are still struggling, certain travel stocks have fully recovered.
In fact, In fact, the likes of Marriott International and Booking Holdings have not only recovered, but they are worth considerably more than pre-COVID levels. On the other hand, if you come across a travel stock that hasn’t recovered its COVID-related losses – this should be a major red flag.
Another important metric to look out for when searching for the best travel stocks is the upside potential on offer. This simply refers to the perceived growth that is on the table over the coming years. For example, Marriott International is already hovering above a market capitalization of $50 billion.
But, you then have smaller hotel groups like Xenia Hotels and Sunstone Hotel Investors, which both carry a valuation of just over $2 billion. This means that with such a small market capitalization, these smaller hotel chains offer much greater upside potential.
Many travel stocks that were paying dividends prior to COVID have since cut or outright suspended their distribution policy – which is understandable. With that said – and assuming you buy travel stocks that perform well, there is every chance that your chosen companies will once again start paying dividends.
A prime example of this is Marriott International, which has announced that its dividend program will commence in Q4 2021. All in all, dividend stocks allow you to earn regular income in addition to share price growth.
Once you have made a shortlist of the best travel stocks to buy, you then need to think about which brokerage site to use. The best platforms in this space allow you to invest in stocks on a 0% commission basis. As an added bonus, many online brokers now support fractional shares – so you buy just a small percentage of one travel stock should you wish to.
Below you will find a selection of pre-vetted brokers that allow you to buy travel stocks conveniently, safely, and in a low-cost manner.
If you’re looking for the best place to buy travel stocks in a low-cost and safe way – eToro stands out from the crowd. This online broker is now used by more than 20 million investors of all shapes and sizes. Getting started with the broker takes just minutes and you are only required to meet a minimum first-time deposit of $50. If you’re based in the US you will be able to fund your eToro account without paying any fees. Supported payment types include debit/credit cards, e-wallets, or bank wires.
Once you are all set up, you can then proceed to buy travel stocks at 0% commission. This is the case regardless of whether you are buying US-listed stocks or companies based overseas. If you’re looking to invest small amounts, you will also be pleased to know that eToro offers fractional shares. This means that you can invest from just $50 per trade. In addition to travel stocks, eToro offers thousands of alternative share types across 17 exchanges.
You will also find a good selection of ETFs at eToro, some of which focus on travel-related companies. If you want to invest passively, eToro offers a Copy Trading service that allows you to mirror a seasoned trader-like-for-like. There are no additional fees to use this service and you will have thousands of verified eToro investors to choose from. Safety is assured when using eToro, as the broker is authorized and regulated by the SEC, FCA, ASIC, and CySEC.
Pros
Cons
67% of retail investor accounts lose money when trading CFDs with this provider.
Another 0% commission broker to consider in your search for places to buy the best travel stocks is Webull. This user-friendly broker allows you to invest online or via its iOS/Android app. There is no minimum deposit to get started, albeit, the broker only supports ACH and bank wire transfers. This means that you might need to wait a few days for your deposit to land.
Nevertheless, Webull gives you access to thousands of shares from the two primary US exchanges – the NYSE and NASDAQ. Much like eToro, Webull also supports fractional purchases – which is the case across stocks, ETFs, and cryptocurrencies like Bitcoin. If you’re looking to buy travel stocks via a retirement account, Webull has you covered.
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at eToro, #1 Online Broker
67% of retail investor accounts lose money when trading CFDs with this provider.
Ally Bank – a popular online bank that offers low-cost accounts, also offers an investment platform that is great for beginners. You can open a self-directed account to gain access to thousands of 0% commissions stocks and ETFs. These are all US-listed, so no international investments are possible at Ally.
In addition to stocks and ETFs, you can also trade stock options. Additional markets include mutual funds and bonds, as well as access to margin. The latter allows you to increase your travel stock purchasing power, albeit, you will need to deposit a least $2,000 to be eligible. Ally Invest also offers Robo portfolios. This will see your investments managed on your behalf as per your tolerance for risk.
Pros
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at eToro, #1 Online Broker
67% of retail investor accounts lose money when trading CFDs with this provider.
Zacks Trade is a great option if you want to buy travel stocks at a platform that is catered for experienced investors. You will have access to a plethora of advanced tools and features at Zacks Trade – which includes comprehensive market research, insights, and real-time data. You can also perform technical analysis via the Zacks Trade Pro platform.
In terms of fees, you will be charged a standard commission of $0.01 for every travel stock that you purpose. This is very competitive, even on low-value stocks. Although there is no minimum funding requirement per-say, Zacks Trade does recommend that you deposit at least $2,500. If you seek access to margin facilities, Zacks Trade offers low funding rates.
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at eToro, #1 Online Broker
67% of retail investor accounts lose money when trading CFDs with this provider.
If you are the type of investor that likes to diversify across a huge number of markets, Fidelity will likely be of interest. Not only does this top-rated brokerage site offer more than 7,000 stocks across the US and internationally, but plenty of alternative asset classes. This includes everything from ETFs and index funds to bonds and IPOs.
Although there is often a misconception that Fidelity is only suitable for large-scale investors, this couldn’t be further from the truth. After all, Fidelity allows you to open an account without needing to meet a minimum deposit threshold. Plus, you can buy US-listed travel stocks at 0% commission. Fidelity also supports fractional shares from just $1 per trade.
Pros
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at eToro, #1 Online Broker
67% of retail investor accounts lose money when trading CFDs with this provider.
Bank of America offers retail investment services via its Merrill Edge platform. This provider offers a wide selection of travel stocks, alongside ETFs, fixed income bonds, options, and mutual funds. When buying and selling stocks that are listed in the US, no commissions apply. Research and analysis tools at Merrill Edge are highly rated, which is ideal if you plan to invest on a self-directed basis.
With that said, this platform is best suited for long-term investors as opposed to shorter-term traders. This is because Merrill Edge lacks when it comes to fast order execution. Swing traders will also be hindered by a lack of advanced order types. Nevertheless, Merrill Edge requires no minimum deposit to get started, nor do you need to pay any annual fees.
Pros
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at eToro, #1 Online Broker
67% of retail investor accounts lose money when trading CFDs with this provider.
Robinhood is typically used by casual retail investors in the US that are just getting starting in the world of online trading. This is because both the online version of Robinhood and the mobile app have been designed for inexperienced investors with little experience in this space. You can buy and sell thousands of US-listed stocks on this platform.
Plus, you can also invest in ETFs and cryptocurrencies, and even trade stock options. No commissions are charged on any of these financial markets and there are no minimum deposit requirements. However, instant deposits are capped to $1,000 unless you sign up for the gold account – which costs $5 per month. Robinhood accepts deposits in the form of ACH and bank wires.
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at eToro, #1 Online Broker
67% of retail investor accounts lose money when trading CFDs with this provider.
Another low-cost broker that we like the look for the purpose of buying travel stocks is E*TRADE. This is because the platform allows you to buy stocks – as well as ETFs, without needing to pay any commission. In a similar nature to Robinhood, there is no minimum deposit requirement at E*TRADE.
Although this is great news for those looking to buy travel stocks with a small amount of capital, we should make it clear that E*TRADE does not support fractional investments. As such, you will need to purchase at least one stock in your chosen company. We also like E*TRADE for the retirement accounts it offers.
Pros
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at eToro, #1 Online Broker
67% of retail investor accounts lose money when trading CFDs with this provider.
SoFi offers a wide variety of investment products. This includes cryptocurrencies like Bitcoin, Ethereum, and Cardano, alongside stocks and ETFs. This broker targets its services to casual retail investors, so SoFi fully supports fractional shares. In fact, the minimum trade value is just $5 – irrespective of how much the stocks are trading for.
No international stocks are supported at this brokerage, so SoFi will only be suitable if you are looking to focus on US-listed travel companies. In terms of fees, SoFi is yet another US-based broker that allows you to buy stocks on a 0% commission basis. If you need some assistance in building a portfolio, SoFi also offers automated investment tools.
Pros
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at eToro, #1 Online Broker
67% of retail investor accounts lose money when trading CFDs with this provider.
Last but certainly not least is Interactive Brokers, which was launched way back in 1978. This online platform offers thousands of tradable markets across 33 different countries. As such, this broker is great if you want to buy travel stocks that are listed outside of the US. With that said, US-listed stocks can be purchased at Interactive Brokers at 0% commission.
If you’re a beginner, this broker might not be suitable for your skillset. This is because Interactive Brokers offers some of the most advanced trading tools in this space. In fact, its IBKR software is typically utilized by traders that seek high-level data, technical indicators, and algorithmic order capabilities. Nevertheless, there is no minimum deposit requirement at Interactive Brokers.
Pros
Cons
at eToro, #1 Online Broker
67% of retail investor accounts lose money when trading CFDs with this provider.
If you are an inexperienced investor that is looking to buy travel stocks for the very first time, you will be pleased to know that the process can be completed in a matter of minutes at eToro.
This top-rated brokerage offers 0% commissions across thousands of US and international stocks, alongside fractional stocks and support for debit/credit cards and e-wallets.
If you need some guidance in completing the process, follow the steps outlined below to access the best travel stocks to buy right now.
You will first need to open an account with eToro. As the entire process is automated – including the verification stage, this shouldn’t take you more than a few minutes from start to finish. After clicking on the ‘Join Now’ button from the eToro homepage, you will be presented with a registration box. This simply requires some personal information and contact details.
After choosing a username and password, alongside confirmation of your cell phone number, you will be asked to upload some documents. This will include a government-issued ID and proof of residency – such as a recently issued bank account statement.
67% of retail investor accounts lose money when trading CFDs with this provider.
If you’re a US client, then you deposit funds without paying any transaction fees across all supported payment methods. At eToro, this is inclusive of debit/credit cards, e-wallets like Paypal, ACH, and a bank wire.
Note that deposits made in any currency other than US dollars will be charged at 0.5%. The minimum first-time deposit at eToro is just $50.
Assuming that you already know which travel stocks you want to buy, it’s best to use the search box at the top of the page. You simply need to enter the name of the stocks and click on the ‘Trade’ button once it appears.
In our example, we are looking to buy stocks in Marriott International.
Now it’s just a case of deciding how much you want to invest in your chosen travel stocks. There is no need to purchase full shares, as eToro supported fractional investments of $50 or more.
In our example, we are looking to invest $150 in Marriott International. To confirm your investment, click the ‘Open Trade’ button. And that’s it – you have just learned how to buy travel stocks at 0% commission!
With the global tourism industry finally starting to open back up, travel stocks could be a great addition to your portfolio. To keep things diversified, it might be worth considering a range of stocks from the airline, hotel, and online booking spaces.
In doing so, you will ensure that you have your investment funds spread across a wide spectrum of travel-related companies. To buy travel stocks right now from the comfort of your home, eToro allows you to complete the investment process in under five minutes.
This top-rated trading site offers all of the best travel stocks discussed on this page at 0%. The minimum trade value is just $50 via the eToro fractional investment tool – which is great for creating a broad portfolio of travel stocks.