PowerShares Dynamic Leisure & Entmnt ETF
Most Recent
Company & Industry OverviewsHow McDonald’s Wages and Major Costs Stack Up
McDonald’s performance is sensitive to any changes in price levels—be it food, labor, or rent. So how much does it cost for McDonald’s to generate revenue?
Company & Industry OverviewsMust-Know: McDonald’s Has Got Tough Competition
McDonald’s (MCD) competition includes large international and national food chains as well as regional and local retailers of food products.
Company & Industry OverviewsMcDonald’s Supply Chain: A Must-Know for Investors
With over 38,000 restaurants, McDonald’s doesn’t make any of its products. Instead, it contracts with suppliers to meet its massive requirements.
Company & Industry OverviewsMcDonald’s Global Presence and the Three-Legged Stool
McDonald’s, the world’s largest fast food chain, has over 38,000 restaurants across 120 countries. In 2018, it had approximately $21.0 billion in sales.
Company & Industry OverviewsMcDonald’s Menu Struggles to Shed Its Junk Food Rep
Despite health-related controversies, fast food companies such as McDonald’s maintain that they provide consumers with choice and convenience.
Company & Industry OverviewsNon-Hotel Segment: TripAdvisor’s Key Revenue Growth Driver
For 2018, analysts expect TripAdvisor to report non-hotel revenues of $449 million—YoY (year-over-year) growth of ~25%.
FinancialsAnalysts Are Bullish on US Airline Stocks
Analysts have provided “buy” recommendations on most of the stocks in the airline industry (PEJ).
Company & Industry OverviewsExpedia to Gain from Rising Online Travel Platform Demand
Expedia (EXPE) is a leading online travel booking company that has relationships with over 200,000 hotel owners across 200 countries.
ConsumerWall Street Expects Expedia Stock to Surge More than 30%
Expedia (EXPE) could be an intriguing stock to watch, according to Wall Street analysts’ latest ratings.
Company & Industry OverviewsOnline Travel Agencies’ Stocks Fell on November 9
On November 9, most online travel agency shares fell after CNN Business reported deep concerns about the slowing Chinese economy.
ConsumerCtrip’s Q3 Earnings and Revenues Beat Analysts’ Estimates
Ctrip.com International (CTRP) posted strong third-quarter results yesterday.
ConsumerBooking Holdings Stock Rose on Better-than-Expected Q4 Forecast
Booking Holdings stock jumped over 6% in after-hours trading yesterday on its better-than-expected earnings outlook for the fourth quarter of 2018.
Company & Industry OverviewsDelta Air Lines: Is Higher Debt a Concern?
Delta Air Lines’ higher debt means a higher interest expense and a higher DE (debt-to-equity) ratio. Delta Air Lines’ current DE ratio is 0.69x.
Macroeconomic AnalysisApril Jobs Report: More Jobs Than Job Seekers
April’s JOLTS data indicate that there were only 0.9 job seekers for every job available.
Company & Industry OverviewsHighlights from Delta-Aeroméxico Alliance after 1 Year
Delta Air Lines (DAL) and Aeromexico have been in partnership for one year as of May 8.
Earnings ReportDelta Air Lines’ 1Q18 Earnings Beat Estimates
Delta Air Lines (DAL) announced its 1Q18 earnings on April 12, 2018.
Macroeconomic AnalysisWhich Sector Posted Major Job Gains in March 2018?
Published on April 4, the ADP March jobs report offered a deeper insight into employment trends across different sectors in the US employment market.
Earnings ReportAnalyzing Delta Air Lines’ Short Interest after 4Q17
As of March 15, 2018, the latest short interest data showed that Delta Air Lines’ short interest has increased since its 4Q17 earnings were announced.
Company & Industry OverviewsDelta Air Lines: Nonstop Route between El Paso and Salt Lake City
On March 19, Delta Air Lines introduced nonstop service between El Paso, Texas, and Salt Lake City, Utah, starting on October 1, 2018.
ConsumerWhich Sector Posted Major Job Gains in February 2018?
The ADP February jobs report was published on March 7, 2018. It offered a deeper insight into the employment trends across different US sectors.
Macroeconomic AnalysisADP: The US Job Market Could Spring Another Positive Surprise
ADP releases a monthly report on US non-farm employment that contains changes to the level of hiring and employment across US sectors.
ConsumerWhat Falling Unemployment Claims Mean for the US Economy
The Conference Board uses the average weekly unemployment claims as a key constituent of its LEI (Leading Economic Index).
ConsumerThese Sectors Posted Major Job Gains in January 2018
The ADP January jobs report, which offers insight into employment trends, was published on January 31.
Earnings ReportAmerican Airlines: 4Q17 Earnings Beat Estimates, Stock Fell
American Airlines (AAL) announced its 4Q17 earnings on January 25, 2018. It reported adjusted EPS (earnings per share) of $0.95, an increase of 3.3% YoY.
IndustrialsWhat American Airlines Has to Offer
American Airlines Group’s (AAL) operating revenue fell 2% in 2016 before gaining 4% in 9M17.
ConsumerAmerican Airlines: 4Q17 Revenue Estimates
American Airlines’ (AAL) revenue for 4Q17 is expected to be $10.54 billion—an increase of 7.80% on a year-over-year basis.
ConsumerHow Hyatt’s Credit Card Data Breach Could Impact Its Growth Plans
Second breach in two years On October 12, 2017, Hyatt revealed that its payment system had been breached. There was unauthorized access detected in 41 hotels in 11 countries, exposing customer credit card information at these locations. About 50% of these hotels were located in China. *Other affected countries and territories include Brazil, Colombia, Guam, Indonesia, […]
Macroeconomic AnalysisHow Many Americans Quit Their Jobs in August?
As per the latest JOLTS report, about 2.1 million Americans quit their jobs voluntarily in August, which was a decrease of 70,000 from the previous reading.
Company & Industry OverviewsJetBlue Airways Lowers 3Q17 Guidance
For 3Q17, JetBlue is expecting unit costs (also known as cost per available seat mile or CASM-ex) to rise in the range of 1.5% to 3.5%.
Company & Industry OverviewsHow Analysts View American Airlines in 3Q17
For 3Q17, American Airlines’ (AAL) earnings are expected to fall 14.8% YoY to $1.50 per share due to an 18.4% YoY decline in net profits.
Macroeconomic AnalysisWhy Are So Many Americans Quitting Their Jobs?
As per the latest JOLTS report, about 3.2 million Americans quit their jobs voluntarily last month. This is an increase of 0.1 million from the previous month.
Company & Industry OverviewsCould United Continental’s Utilization Improve in 2017?
Load factor improves In August 2017, United Continental’s (UAL) utilization (load factor) fell 0.2 percent points. This fall was expected, as capacity growth for the month was higher than traffic growth. The load factor, the most commonly used measure of an airline’s capacity utilization, is calculated by multiplying capacity by traffic. A higher load factor […]
Company & Industry OverviewsDelta Air Lines Cuts 3Q17 Unit Revenue Guidance
Utilization rising Delta Air Lines’ (DAL) traffic has outpaced its capacity growth for some time now. As a result, its utilization has improved over the past seven months. In August 2017, is utilization improved by 3.5% to 87.9%. As of August 2017, utilization had improved by 1.5% to 85.9% YTD (year-to-date). Outlook reduced Delta Air Lines’ unit revenue […]
ConsumerWhat Analysts Are Recommending for Major Casinos
Analysts seem to be favoring MGM Resorts (MGM) stock over the other major casinos. Of the 17 analysts tracking the stock, 16 of them recommend a “buy.”
ConsumerChina’s Economy: A Slowdown in Second Half of 2017?
A weakness in the Chinese economy could adversely affect the spending capacity of the Chinese people, which could lead to fewer visitors at Macao.
ConsumerWhat Do Inflation Numbers in Macao Indicate?
Macao’s annual inflation as measured by the composite consumer price index rose 1.03% YoY (year-over-year) in July 2017.
ConsumerMacao Visitor Arrivals Improve in July 2017
For July 2017, visitor arrivals increased 4.4% YoY to 2.9 million visitors. However, on a month-over-month basis, visitor arrivals increased 22.7%.
ConsumerVIP Segment Driving Macao Casinos’ Short-Term Recovery
For the first quarter of 2017, VIP gross gaming revenues rose 16.8% YoY (year-over-year) to MOP 35.6 billion.
IndustrialsWhy Rising Airline Capacity Growth Is Worrisome for Investors
Capacity growth for the seven major airlines grew 6.9% year-over-year or YoY—higher than the average 4.6% YoY growth recorded in the first half of 2017.
IndustrialsAirline Stock Valuations: What’s Priced In?
Currently, both Alaska Air (ALK) and Southwest Airlines (LUV) are trading at industry-leading valuations of 6.8x their forward EV/EBITDA multiples.
IndustrialsAirlines’ Q2 2017 Unit Revenue Guidance
Unit revenue or passenger revenue per available seat mile are the airline industry’s most-watched metric. It measures the efficiency of an airline’s operations.
IndustrialsCan US Economic Growth Hit Trump’s 3% Target?
US GDP growth bounced back in the second quarter of 2017, recording 2.6% year-over-year or YoY growth—slightly lower than the 2.7% YoY growth analysts had estimated.
ConsumerWhat Marriott’s Key Metrics Suggest for 2017
Marriott’s RevPAR for 2Q17 rose 2.2% YoY in constant dollars across its worldwide properties. Its North America RevPAR rose 0.9% YoY in constant dollars.
ConsumerMarriott’s Revenues Could Grow 25% despite Hotel Industry Slowdown
For 2Q17, Marriott’s total fee revenues are expected to increase to $820 million–$835 million.
ConsumerWhat Analysts Recommend for Hyatt Ahead of Its 2Q17 Results
Analyst views According to Reuters, of the 22 analysts tracking Hyatt (H), three analysts (13.6%) have a “strong buy” rating on the stock, two analysts (9.1%) have a “buy” rating, 16 analysts (72.7%) have a “hold” rating, and one analyst (4.5%) has a “sell” rating. There are no “strong sell” ratings on the stock. Analyst […]
ConsumerWhat Analysts Expect for Hyatt’s Revenue Growth in 2017
Analyst estimates In 2Q17, analysts expect Hyatt’s revenue to grow by 3.9% YoY (year-over-year) to $1.2 billion. Sales growth is expected to increase for the rest of the year. Sales are expected to grow 5.4% YoY to $1.1 billion in 3Q17, and 5.5% YoY to $1.2 billion in 4Q17. Hyatt is expected to see revenue […]
Earnings ReportWhat Analysts Recommend for JetBlue Airways
Out of the 15 analysts tracking JBLU, 13.3% have a “strong buy” rating on the stock.
Real InsightsCarnival: Strong Brands Help Develop Market Niche
Carnival is among the most profitable and financially strong leisure travel companies in the world. It provides leisure travel to all major cruise destinations across the globe.
Earnings ReportWill Delta’s Strong Operational Performance Continue?
Delta (DAL) saw average traffic of about 57.6 million passenger miles for the quarter, a 2.1% year-over-year (or YoY) improvement.
Earnings ReportCan American Airlines’ Revenue Grow in 2017?
For 2Q17, analysts expect American Airlines’ (AAL) revenue to record a rise of 5.8% year-over-year (or YoY) to $10.9 billion.
Earnings ReportCould Delta Air Lines’ Margins Keep Improving?
Delta Air Lines’ (DAL) 2Q17 EBITDA margin is expected to improve slightly to 22.8% as compared to 21.8% in 2Q16.
Earnings ReportWhat Analysts Recommend for Delta ahead of 2Q17 Earnings
Delta Air Lines (DAL) plans to announce its second quarter earnings for 2017 on July 13.
MiscellaneousWhat Analysts Recommend for Major Casino Stock
Analyst recommendations Analysts favor MGM Resorts (MGM) stock over other major casinos’. All 20 analysts tracking the stock recommend “buy.” Seven (35%) of these analysts have “strong buy” recommendations, while the remaining 75% have “buy” recommendations. For Melco Resorts & Entertainment (MLCO), 15 (68.2%) of the 22 analysts tracking the stock recommend “buy,” and 31.8% […]
MiscellaneousMacao’s Visitor Arrivals Improve in May 2017
Visitor arrivals increase In May 2017, visitor arrivals rose 3.7% YoY (year-over-year) to 2.6 million visitors. However, month-over-month, visitor arrivals fell 6.3%. Visitor arrivals have been improving since September 2016, except in February 2017, when they fell 5.6% to 2.5 million visitors. In the first five months of the year, visitor arrivals in Macao rose 6.3% […]
MiscellaneousChina’s Economy May Spoil Macao’s Party
China: The key market The Macao region relies heavily on the Chinese mainland, as it garners a huge majority (about 67%) of its visitors and VIP gamers, from China and its neighboring countries. The weakness in the Chinese economy will adversely affect the spending capacity of people in the country, which could lead to a […]
MiscellaneousWhat Macao’s Inflation Rate Indicates
Inflation rate Inflation is an overall rise in the price of goods and services in an economy, leading to the fall in purchasing power of money. Macao’s annual inflation, as measured by the composite consumer price index, rose 0.95% YoY (year-over-year) in May 2017, higher than the 0.8% increase seen in April. Macao’s inflation has […]
Miscellaneous Macao’s Mass Market Growth Story Remains Promising
VIP revenue driving short-term growth The recent growth in Macao casino revenue has been driven by the VIP segment. In the first quarter of 2017, VIP gross gaming revenue grew 16.8% YoY (year-over-year) to 35.6 billion Macao patacas. The VIP segment is also showing good signs. The repayment cycle has been maintained at a healthy 20 […]
MiscellaneousCould Airfares Continue to Fall in 2017?
Airfares in 2016 Due to heavy price discounts by airlines, airfares fell ~5% YoY (year-over-year) in 2015. According to the latest data from the U.S. Department of Transportation, average domestic airfares continued to fall in 2016. According to the report, 4Q16 airfares fell 6.1% YoY to $347, compared with $369 in 4Q15. Airfares fell 8.8% […]
MiscellaneousAirline Capacity Use Stays Volatile: What It Means for Investors
Analyzing airline load factors May continued to be a mixed bag for airlines, with volatile capacity utilization. Delta Air Lines (DAL), American Airlines (AAL), Alaska Airlines (ALK), and JetBlue Airways (JBLU) managed to grow their traffic at a higher pace than their capacity growth. As a result, their capacity utilization improved. Delta’s utilization improved by […]
MiscellaneousIs the 1Q17 Consumer Spending Slowdown an Aberration?
Consumer spending Consumer spending accounts for almost two-thirds of the US economy. In 1Q17, consumer spending rose 0.3% YoY (year-over-year), the slowest pace seen since the fourth quarter of 2009. It is also significantly lower than the 3.5% YoY growth seen in 4Q16. The slow growth in consumer spending is due to low demand for […]
Company & Industry OverviewsAnalyst Ratings for Delta Air Lines after Traffic Release
Only one analyst has upgraded Delta Air Lines (DAL) since it released its traffic data on Friday, June 2, 2017.
Company & Industry OverviewsDelta Air Lines Traffic Grows despite Flat Capacity Growth
Delta Air Lines’ (DAL) total traffic grew at a significantly higher pace than its capacity. Capacity growth is a major driver for airlines.
Earnings ReportWhat Analysts Recommend for Priceline ahead of Its 1Q17 Results
Out of the 31 analysts tracking Priceline (PCLN), seven analysts have a “strong buy” recommendation on the stock, and 18 analysts have a “buy” recommendation on the stock.
Earnings ReportAfter a Stellar 2016, Can Priceline’s Revenues Grow in 2017?
For 1Q17, analysts are estimating Priceline’s (PCLN) revenues to grow 13.8% year-over-year to $2.4 billion, lower than the 16.7% YoY growth seen in 1Q16.
Earnings ReportWhat Analysts Recommend for Southwest Airlines
Out of the 17 analysts tracking Southwest Airlines (LUV), 35.3% of analysts have a “strong buy” rating on the stock.
Earnings ReportWill Southwest Airlines Increase Its Dividend Payouts?
Southwest Airlines (LUV) has been paying dividends consistently since 1980.
Earnings ReportWill Southwest Airlines’ Margin Continue to Contract in 2017?
Southwest Airlines (LUV) reported a significant earnings decline for the first quarter of 2017, though it continued to maintain its position as one of America’s most profitable airlines.
Earnings ReportHow Hilton’s Long-Term Debt Is Trending
The hotel sector is capital intensive, and companies in the industry normally carry high debt.
Earnings ReportCan Delta Air Lines’ Margin Improve More?
Margins are expected to be volatile in 2017. For the first quarter of the year, Delta Air Lines’ (DAL) margin is expected to fall 16.7% as compared to 23.6% in 1Q16.
Earnings ReportThe Majority of Analysts Are Still Positive on Delta
Delta Air Lines (DAL) is expected to announce its 1Q17 earnings on April 12, 2017.
MiscellaneousFrontier Airlines Cut Costs and Became Profitable
Frontier Airlines earned 42% of its revenue from ancillary fees or non-ticket revenue in 2016—a significant rise compared to 25% in 2015.
Earnings ReportLooking at Airlines’ Free Cash Flows in 4Q16
In 4Q16, Delta Air Lines (DAL) had the highest FCF yield of 9.9%. JetBlue Airways (JBLU) had the second-highest FCF yield of 8.7%.
Earnings ReportCapacity Utilization Remains Volatile for Most Carriers
In 4Q16, Delta Air Lines’s utilization fell 0.1% to 85.1%, and United Continental’s utilization fell 0.4% to 82.4%.
IndustrialsWhat Airline Investors Should Look Out for in 2017
Labor Thanks to the oil price drop, labor costs now form the highest component of an airline’s expenses. In such a scenario growing unrest among pilots and the union clout can end the airline party. Fuel prices Fuel costs now form the second major cost component of airlines. Airline margins have improved tremendously due to […]
Macroeconomic AnalysisAirline Stocks and Trump’s Plans for US Economic Growth
All of this outlook depends on the actual policies implemented by the Trump government, which remain to be seen.
Macroeconomic AnalysisWhat’s the Demand Outlook for the Airline Industry?
According to IATA (or International Airline Transport Association), for September 2016, global passenger travel demand grew 7% year-over-year (or YoY).
Company & Industry OverviewsWhy Did Buffett Change His Investment Philosophy on Airlines?
Crude oil is trading below $50 per barrel, one of its lowest recent prices, and it is expected to take some time before it recovers, given the huge oversupply.
Earnings ReportWill Delta’s Strong Operational Performance Continue in 2016?
Traffic growth Delta Air Lines (DAL) saw average traffic of about 59.0 million passenger miles for the quarter, a 0.2% year-over-year decline, despite a growth in capacity. This was driven by weak revenues in all of Delta’s markets except Latin America. As of September 2016, traffic had grown by 1.9% YTD (year-to-date) to 163.2 billion […]
Earnings ReportWhy Is Delta Air Lines’s Revenue Expected to Fall in 2016?
Analysts are estimating an ~4.5% decline in Delta Air Lines’s (DAL) revenue to $10.6 billion for 3Q16.
Macroeconomic AnalysisOn Top of Everything Else, Airlines Must Deal with Pilot Shortages
The prime issue that has led to a crisis in regional airlines is that the regional players pay much less than their legacy peers, even when the regional sector accounts for half or more of all flying.
Macroeconomic AnalysisOil and Airlines: How Are They Mixing?
Airlines have been enjoying huge cash surpluses due to cheaper jet fuel, a situation that has persisted since oil prices experienced a massive slide in mid-2014.
Macroeconomic AnalysisThe Airline Industry’s Cyclical Nature Is a Mixed Blessing
The airline industry is cyclical, which means that its business depends on the country’s economic growth. Most analysts have revised their GDP estimates downward, resulting in a consensus estimate of 2.9% YoY growth.
Macroeconomic AnalysisHow Detrimental Is the Pilot Shortage Issue for Airlines?
While most of the airlines that are suffering from the labor crunch are mid-sized carriers, the issue is a potential threat for the large carriers as well.
Earnings ReportDo Margin Estimates for Delta Suggest Limited Expansion Scope?
After an improvement in Delta Air Lines’ margins (DAL) in 1Q16, analysts are expecting EBITDA margins to improve in 2Q16 as well to 26% as compared to 21% in 2Q15.
Macroeconomic AnalysisWill Passenger Yield Continue to Fall?
Passenger yield is the average fare per passenger per mile. It’s calculated by dividing passenger revenue by revenue passenger miles (or RPM).
Company & Industry OverviewsHow Has American Airlines’ Valuation Changed over the Years?
You should keep watch on American Airlines’ expected future debt reduction, capacity expansion, and future margins since analysts believe that airline margins have peaked.
Company & Industry OverviewsWhat’s in the Renewed American Airlines AAdvantage Program?
American Airlines’ AAdvantage frequent flyer program is one of the largest and oldest card programs in the industry. The airline recently changed it from a mileage-based to a revenue-based model.
Company & Industry OverviewsJust How Profitable Is American Airlines?
In 2014 and 2015, American Airlines (AAL) and the entire airline industry experienced historically high profitability due to the extreme decline in fuel costs.
Company & Industry OverviewsWhat Are American Airlines’ Major Revenue Drivers?
American Airlines’ (AAL) capacity growth is one of the slowest in the industry. However, it has the highest capacity among its peers.
Company & Industry OverviewsWhat Are American Airlines’ Key Revenue Streams?
In this part of the series, we’ll look at the main services and categories that add to American Airlines’ (AAL) revenues. The major component of revenues still comes from airfares.
Earnings ReportCan Delta Air Lines’ Strong Operational Performance Continue in 2016?
Delta Air Lines saw an average traffic of about 47.7 million miles for the quarter—a 3.2% YoY growth, with stronger demand in regional Latin America.
Earnings ReportWhy Analysts Expect American Airlines’ Revenue to Decline in 2016
For 1Q16, analysts estimate American Airlines’ revenues to decline by 4% to $9.4 billion and then to slow to 2% and 0.5% in 2Q16 and 3Q16, respectively.
Earnings ReportAnalysts Are Bullish on United Continental
According to Bloomberg consensus, 70.6% of the 12 analysts tracking United Continental Holdings (UAL) have given the stock a “buy” recommendation. About 29.4% have given it a “hold” rating.
Macroeconomic AnalysisWill Airline Passenger Yields Continue to Decline?
Airline passenger yield is the average airfare per passenger per mile. It is calculated by dividing the passenger revenue by revenue passenger miles (or RPM).
Macroeconomic AnalysisIs There Overcapacity in the Airline Industry?
In February 2016, the airline capacity of the eight major airlines exceeded their traffic growth by an average of 2%.
Macroeconomic AnalysisCan the Airline Industry’s Demand Remain Strong in 2016?
The US airline industry is expected to set a new record in terms of the number of passengers flying this spring.
MiscellaneousWhy Did Starwood Accept a Better Offer from Marriott?
On March 21, Starwood and Marriott amended their merger agreement to top Anbang’s offer. The amended merger spread is trading at an annualized return of 1.3%.
MiscellaneousAn Interloper Enters the Starwood-Marriott Deal
On March 14, Starwood Hotels & Resorts Worldwide (HOT) announced that it received an unsolicited takeover approach from a consortium of investors led by China’s Anbang Insurance Group.
Macroeconomic AnalysisWhat Is the Impact of Rising Oil Prices for Airlines in 2016?
Since fuel is a major input cost for airlines, airline companies have benefited immensely from the crude oil slump.
Macroeconomic AnalysisAirline Capacity Additions in January: Too Much or Too Little?
Major US airline capacity increased by 9.6% year-over-year (or YoY) in January 2016, slightly lower than the 10% average growth seen in 2015.