Polaris Industries Inc. (PII), Buffalo Wild Wings (BWLD): 3 Under-the-Radar Vacation Stocks That Could Soar

Page 1 of 2

The official start of summer is now less than a week away, which can mean only one thing for a majority of American families: It’s vacation time!

If we’ve learned anything about the American consumer, even when times were tough and consumer budgets were more constrained than they are now, many consider taking a vacation a necessity. A USA Today/Gallup poll conducted in late December noted that nearly three-quarters of the 1,038 people responded that they were going to take a vacation at least 100 miles from their home in 2013. With tourism spending in the fourth quarter alone totaling $1.5 trillion, it tells me there are clearly plenty of dollars out there to be made.

Source: David Quitoriano, Flickr

On many investors’ watchlists as we head into the busy travel season are a few well-known companies. The Walt Disney Company (NYSE:DIS) is one such name that benefits from the summer vacation season as its theme parks see more visitors and its cruise ships stay busy. The Walt Disney Company (NYSE:DIS) also recently raised the price of admission into its U.S. theme parks, which should ultimately add some punch to its bottom line.

Another big beneficiary would be hotels such as Marriott International Inc (NYSE:MAR). Hotels that cater to a middle-class and upper-income individual are less likely to see a big fluctuation in hotel demand during the summer months. Some of the budget hotel chains could struggle a bit this summer as payroll taxes eat into consumers’ disposable income, but Marriott International Inc (NYSE:MAR) looks poised to do just fine.

Polaris Industries Inc. (NYSE:PII)

But, these names are on everyone’s list. This doesn’t make them bad companies by any means, but I love uncovering a good set of sleeper stocks. Today I intend to point out three beneficiaries of the summer travel season that few investors, if any, currently have on their watchlist.

Polaris Industries Inc. (NYSE:PII)

Source: ATVist, commons.wikimedia.org

Nothing says a great time like getting on the back of an all-terrain vehicle and tearing up the countryside. Although ATVs can still be strong sellers in the winter months — and it should be stated that the company also sells snowmobiles — Polaris Industries Inc. (NYSE:PII) is the type of company that will see the bulk of its business come during the warm summer months. Polaris has stayed ahead of its peers by constantly innovating its product line and introducing a wide range of price points to cater to higher- and lower-income buyers.
In Polaris Industries Inc. (NYSE:PII)’s first quarter, it reported sales growth of 11% and actually upped its sales forecast for the remainder of the year to a range of 12% to 15%. It’s a company that’s firing on all cylinders, and I think it could make for a very sneaky vacation beneficiary.

Zumiez Inc. (NASDAQ:ZUMZ)
Summer is all about being outside and taking up various sports and activities with friends and family. A little-known beneficiary could be action-sports apparel and accessories retailer Zumiez. It’s pretty easy to be distrusting of the action-sports sector as a whole, because Pacific Sunwear of California, Inc. (NASDAQ:PSUN) and Quiksilver, Inc. (NYSE:ZQK)‘s inability to get the right product in its stores over the past couple of years doesn’t inspire a lot of confidence in youth-oriented action-sports retailers. However, Zumiez Inc. (NASDAQ:ZUMZ) has maintained strong pricing power through careful inventory management and has resisted the urge to expand into new locations beyond its ability to control that inventory. If consumers need surf, beach, or biking gear heading into summer, there’s a possibility that Zumiez could be their destination.

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 10 Countries with the Highest Suicide Rates

The 10 Most Technologically Advanced Countries in the World

The 10 Safest Countries in the World to Live in Peace

The 10 Top Selling Smartphones in the World 2014

The 12 Biggest Shopping Centers in the World

The 10 Friendliest Countries in the World

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!