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Travel + Leisure Earnings: What To Look For From TNL

TNL Cover Image

Hospitality company Travel + Leisure (NYSE: TNL) will be reporting earnings this Wednesday morning. Here’s what you need to know.

Travel + Leisure met analysts’ revenue expectations last quarter, reporting revenues of $934 million, up 2% year on year. It was a mixed quarter for the company, with a decent beat of analysts’ adjusted operating income estimates but a miss of analysts’ tours conducted estimates. It reported 153,000 tours conducted, down 1.3% year on year.

Is Travel + Leisure a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Travel + Leisure’s revenue to grow 2.6% year on year to $1.01 billion, slowing from the 3.8% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.66 per share.

Travel + Leisure Total Revenue

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Travel + Leisure has missed Wall Street’s revenue estimates three times over the last two years.

Looking at Travel + Leisure’s peers in the travel and vacation providers segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Carnival delivered year-on-year revenue growth of 9.5%, beating analysts’ expectations by 1.7%, and Delta reported flat revenue, topping estimates by 1.5%. Carnival traded up 5.9% following the results while Delta was also up 11.9%.

Read our full analysis of Carnival’s results here and Delta’s results here.

There has been positive sentiment among investors in the travel and vacation providers segment, with share prices up 11.3% on average over the last month. Travel + Leisure is up 14.9% during the same time and is heading into earnings with an average analyst price target of $61.83 (compared to the current share price of $56.85).

Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link.

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