Pent-up travel demand has been fueling the travel industry’s fast-paced recovery over the past few months. Heightened demand and soaring prices are expected to drive the online travel industry to deliver record profits in the coming months. According to American Airlines CEO Doug Parker, "The demand (for domestic leisure travel) is higher than it's ever been."
Furthermore, domestic flight bookings in March 2022 drove $8.80 billion in online spending, up 28% over 2019. Also, according to Research Dive, the global luxury travel market is estimated to grow exponentially at an 8.8% CAGR from 2021 to 2028. Therefore, fundamentally strong online travel stocks trivago N.V. (TRVG) and Travelzoo (TZOO) are well-positioned to offer solid benefits in the near term.
