Norwegian Cruise Line (Ticker: NCLH)
NCLH is no stranger to my Robinhood Trader scanner.
In fact, I cruised to a 99% win on NCLH call options earlier this month, as both retail traders and big-money option bettors circled the wagons on an upbeat earnings forecast.
The company said cruises were starting to book up for later in the year — an encouraging sign, after most leisure ships spent the bulk of 2020 idling in ports.
Since the infamous March 2020 bottom, the shares have been making a series of higher lows, and recently hit a new annual high around $35 before pulling back.
Sitting in the mid-$20s now, though, NCLH still has plenty of room to run before approaching its pre-pandemic peak around $60.
NCLH daily chart – courtesy of StockCharts
With Americans and other wanderlusters clamoring to travel again, the reopening could also open the doors to higher highs for NCLH.
In fact, the Cruise Lines International Association just last week called on the CDC to begin allowing a phased-in resumption of cruises from U.S. ports in early July.
Six Flags (Ticker: SIX)
Along with travel companies like airlines and Norwegian, amusement parks were especially sucker-punched by COVID-19.
Per a late-March 2020 study, Six Flags took a 66% hit in market capitalization due to the pandemic, making it among the top 10 hardest-hit “beach stocks.”
Courtesy of VisualCapitalist.com
However, with warmer temperatures spreading across the country, not to mention summer break right around the corner, Americans are anxious to get back to their old roller-coaster stomping grounds and have some fun.
While most (if not all) amusement parks are operating on social-distancing standards right now, steadily easing restrictions could lure even more stir-crazy clientele …
Which could mean an even stronger V-shaped rally for SIX shares.
SIX chart – courtesy of StockCharts
Planet Fitness (Ticker: PLNT)
The closure of gyms around the world sent workout junkies into the arms of Peloton (Ticker: PTON) and other high-tech, at-home equipment.
However, gym rats are counting the days until they can flex in front of friends again — which could be good news for PLNT shares.
PLNT chart – courtesy of StockCharts
The stock has more than tripled since its March 2020 lows, spending most of the past year bouncing along higher lows.
If demand for gym memberships increases on easing coronavirus restrictions, PLNT could take another stab at its former highs in the $90 zone.
Nordstrom (Ticker: JWN) and Ulta Beauty (Ticker: ULTA)
Finally, just as the pandemic fueled a surge in e-commerce sales, getting back to “normal” could send shoppers streaking back to brick-and-mortar stores.
While everyone loves a good package on the porch, there’s something about actually touching, testing, and trying on products that I think most of us took for granted before quarantine.
A couple of my favorite retail stocks ripe for a recovery are JWN and ULTA.
Nordstrom shares didn’t enjoy the April 2020 U-turn that many other stocks did, instead spending the bulk of last year swimming in new lows.
However, since shooting higher at the tail end of the year, JWN has bounced along its own trendline of higher lows, and has spent 2021 establishing a foothold in the $35 region.
JWN daily chart – courtesy of StockCharts
Meanwhile, ULTA shares have marched steadily higher since the March 2020 bottom, and just notched a new high above $340 recently.
Since then, the stock has pulled back to test round-number support in the $300 area, which also represents its pre-pandemic highs.
ULTA daily chart – courtesy of StockCharts
In closing, while we aren’t out of the coronavirus woods quite yet, I wouldn’t be surprised if the global reopening puts stocks like NCLH, SIX, PLNT, JWN, and ULTA on my Robinhood Trader scanner for eventual bullish option trades …
Your Only Option,