Think the concerns about Omicron are overblown? So buy these 2 stocks of travel services through StockNews

© Reuters. Think the concerns about Omicron are overblown? So buy these 2 travel services stocks

Early studies of the omicron COVID-19 variant suggest the new strain may be less severe than previous strains. In addition, vaccine producers Pfizer and BioNTech have ensured that three doses of their vaccine will “neutralize” the variant. And, in response to the omicron surge, the US government has imposed more stringent testing requirements rather than international travel bans. Thus, we believe that the shares of travel services Travel + Leisure (TNL) and TripAdvisor (NASDAQ :), which have gained considerably in the last few days, could skyrocket in the near term. Read on. Nations around the world face the uncertainty of COVID-19 once again as the newly identified omicron variant threatens global public health and economic recovery. However, early data on the variant from South Africa indicates that it may cause less severe symptoms. In addition, preliminary laboratory studies of the vaccine Pfizer Inc. (NYSE:) / BioNTech SE (NASDAQ 🙂 show that three doses of the vaccine would neutralize its threat.

The new variant has forced some governments to reimpose travel restrictions. But rather than ban international travel, the US government decided to impose more stringent testing requirements on travelers. Additionally, the World Travel & Tourism Council (WTTC) has predicted that the U.S. travel and tourism industry could grow 35.6 percent year-on-year in 2021, with promising prospects for the year ahead.

In this context, we believe that it might be reasonable to bet on the travel services shares Travel + Leisure Co. (TNL) and TripAdvisor, Inc. (TRIP), given their fundamental strength.

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