I get spring fever pretty bad. I can only take so much winter, so much cold weather, and so much inside. When the wind finally shifts and the sun comes out I get super squirrely. I have to get out and stretch my legs or get on a road trip. This spring was no different as I gassed the up car and headed south for some fun in the sun in Vero Beach, Florida.
Lots of people do the same. Spring break isn’t just for frat boys and college coeds. It’s also a great time for family vacations and trips to the beach. With this in mind, I’m taking a look at which stocks may benefit the most from the urge to get outside and enjoy the nice weather as the sun returns to reintroduce itself.
AMC Entertainment (AMC - Analyst Report)
While most of us are itching to get outside, that doesn’t mean you can’t take a trip to the local movie theater. This week’s big release wasFurious 7, the last in the long line of Fast & Furious movies. You can expect over-the-top stunts and jaw dropping cars whipping around the screen. This could be good news for companies like AMC Entertainment. AMC is a Zacks Rank #1 (Strong Buy) with a momentum style score of A.
The stock has been on fire since the first week of March, rocketing from the mid-$80s to over the century mark. There has been a big jump in volume as well which tells me the stock is starting to gain more institutional interest. The commodity channel index has been a tad overbought but that’s what you’d expect to see with a stock that’s up 25% in a few short weeks.
Norwegian Cruise Line Holdings (NCLH -Analyst Report)
If cruising the high seas is more your thing, take a look at Norwegian Cruise Line Holdings. This Zacks Rank #2 (Buy) offers cruises in various locations including destinations in the Caribbean, Mexico, Alaska, Europe, Hawaii, New England, Central America, North Africa and Scandinavia. A big worry weighing on cruise lines as of late has been the US Dollar headwind. A stronger dollar has made it tougher for customers outside of the US to pay for goods and services. But a recent report from Carnival (CCL - Analyst Report) helped ease some of those concerns and led to a rally across the industry. NCLH has benefited from the recent buying.
NCLH has been on fire since the relative market low on October 15th. Since then the stock has rallied from the low $30s all the way above $54 where it trades today. It’s still locked in an uptrend trading above its 21-day moving average which is also positively sloped. Currently the commodity channel index is a bit overbought well into triple digits. But the stock is enthusiastically butting up against a fresh 52-week high again.
Bottom Line
While you’re looking for fun in the sun you can be looking for steals of deals as well. These three stocks could benefit from consumer behaviors during this time of year. Now how do I get to the beach from here?
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