Marriott vs. Viking: Why the Better Quarter Doesn't Mean the Better Decade

Summary

Spending on travel and tourism continues nearly unabated. Total U.S. tourism spending reached approximately $1.35 trillion in 2025, according to the U.S. Travel Association's Fall 2025 Forecast. Globally, that number reached a historic level of $2.1 trillion. Baby boomers had the highest per-trip spending among all generations. Around 23% spent $6,000 or more per trip, according to a 2025 Phocuswright survey. By comparison, 17% of millennials and younger travelers and 16% of Gen X reached that same spending level.Get Marriott International alerts:Sign Up At a time when investors are looking for alternatives outside of the technology/artificial intelligence (AI) trade, travel and tourism stocks are one area inside the beaten-down consumer discretionary sector to consider. Two names that have sector- and market-leading performance are Marriott International NYSE: MAR and Viking Holdings NYSE: VIK. Affordability: The Canary in the Coal MineThe word for 2026 may be affordability. It’s front and center for many American consumers heading into the 2026 midterm elections. Much of that debate centers around housing and is reflected in travel spending for both baby boomers and young adults. A recent Bank of America analysis found baby boomers' spending grew 2% over the previous year, with much of it going toward travel and hotels. That's not surprising. About 54% of this generation's homeowners have no mortgage. With current mortgage rates still well above the sub-4% rates many boomers locked in years ago, there's little financial incentive to sell. Trading up or downsizing would mean swapping a paid-off house or a cheap, fixed-rate mortgage for a much more expensive one. The result: money that might have gone toward a move stays in the household budget, and some of it goes toward travel instead. Before making assumptions about their motivation, it’s important to note that baby boomers think about affordability, but in a different way. They may feel comfortable right now, bu...