Travel Stocks Get a Boost From Midterm Results
By Katherine Hamilton
Travel stocks gained ground following the Democrats' sweep in the midterm elections, as investors are more hopeful about the Iran war ending.
Shares of online travel agencies Expedia and Booking both rose around 12% on Wednesday, while Airbnb, which is considered a competitor, saw its stock gain 7%. Cruise and airline shares were also up by single-digit percentages.
Hotel stocks were roughly flat or up by one or two percentage points.
Over the past year, the conflict in Iran has caused major problems for travel companies. Higher fuel costs have prompted airlines to raise fares and cut capacity. Cruise companies have also struggled to offset higher expenses.
Lower-cost airlines, which have struggled the most to navigate high fuel costs, saw the biggest gains. JetBlue Airways and Frontier rose 7% and 6%, respectively, while United Airlines and Delta Air Lines both advanced around 4%. Shares of all three major public cruise lines rose roughly 3%.
Many companies have also flagged that consumers are spending less on travel because they are pressured by higher prices. Travelers have been staying closer to home and taking shorter trips, Booking executives said on a Tuesday night call with investors.
Some investors also believe that AI development will slow down now that the Democrats have a majority in the House and Senate. This could be good news for travel agencies in the eyes of shareholders, who have been concerned that AI models will eat into the market share of traditional travel booking sites.
Write to Katherine Hamilton at katherine.hamilton@wsj.com
(END) Dow Jones Newswires
November 04, 2026 11:57 ET (16:57 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.The articles, information, and content displayed on this webpage may include materials prepared and provided by third parties. Such third-party content is offered for informational purposes only and is not endorsed, reviewed, or verified by Morningstar.
Morningstar makes no representations or warranties regarding the accuracy, completeness, timeliness, or reliability of any third-party content displayed on this site. The views and opinions expressed in third-party content are those of the respective authors and do not necessarily reflect the views of Morningstar, its affiliates, or employees.
Morningstar is not responsible for any errors, omissions, or delays in this content, nor for any actions taken in reliance thereon. Users are advised to exercise their own judgment and seek independent financial advice before making any decisions based on such content. The third-party providers of this content are not affiliated with Morningstar, and their inclusion on this site does not imply any form of partnership, agency, or endorsement.
Popular
3 Stocks to Sell and 3 Stocks to Buy for November
3 of the Best Dividend Stocks to Own
This Once-Hot AI Stock Now Looks Deeply Undervalued
The 10 Best Companies to Invest in Now
United States