Omicron setback is a buying opportunity for tourism stocks, investor says
The dip in travel stocks following the emergence of a new Covid-19 variant is a temporary “setback” that presents some attractive buying opportunities within the sector, according to investor SpringOwl Asset Management.
Travel and tourism stocks were hammered after the World Health Organization classified omicron a “variant of concern.” Several countries also moved to reimpose border restrictions.
The immediate pullback is “not dissimilar” to that seen with the discovery of the delta variant in late 2020, but is likely to be short-lived, said SpringOwl CEO Jason Ader, noting that he is bullish on global travel stocks.
“It’s always in the period where people are most concerned where you make the most as an investor,” he told CNBC’s “Squawk Box Asia” on Tuesday.
“It may not happen as quickly as the bulls had hoped, but it’s coming. And the pullback in the stock prices certainly represents an interesting opportunity right now,” he said.
Reference: CNBC
Thai
Eng