The latest data from the Australian Bureau of Statistics estimates that short term visitor numbers to Australia rose 11.1% year on year in October of last year.
With tourism booming, I believe several companies on the ASX are likely to experience a jump in sales. Here are three which I think could be worth an investment today:
Mantra Group Ltd (ASX: MTR)
With over 20,000 rooms under management in key tourist hotspots across the country, I believe Mantra is positioned perfectly to capitalise on the tourism boom. With strong demand for its rooms the company not only saw an increase in occupancy levels in FY 2016, but a 5% jump in the average room rate. At 18x trailing earnings and providing a fully franked 4% dividend, Mantra is a buy in my eyes.
Star Entertainment Group Ltd (ASX: SGR)
As well as receiving a boost from growing demand for its rooms, I believe Star Entertainment is likely to see activity at its casinos increase. Especially with Chinese tourists being one of the major drivers of the increase in visitor numbers. Following a sell-off in casino shares in October, investors can pick up Star Entertainment for just under 17x estimated FY 2017's earnings according to CommSec. I believe this is a great price considering its growth prospects.
Sealink Travel Group Ltd (ASX: SLK)
As a provider of ferry services in key tourist hotspots such as Sydney Harbour and Kangaroo Island, I believe SeaLink Travel is a great option for investors looking to profit from the tourism boom. In FY 2016 the company reported a 58.8% increase in full year revenue to $176.7 million. I'm confident that FY 2017 will be another year of growth thanks to the tailwinds of the tourism boom and the company's acquisition of Captain Cook Cruises Western Australia.
