| Show t r rI rt BUSINESS t I liy REPORTS TIlE TUB LEISURE TIME INDUSTRY In the America of today the adult population and upcoming generations are far more oriented toward physical fitness and leisure time activities than were their forebears This has created a strong demand for a variety of diversions and of th the equipment related to them While leisure time activities are a year round matter the onset of summer shifts shUts the greatest emphasis from indoors to outdoors Millions of Americans will hit the roads the beaches and the water in search of relaxation even even though this will often orten be achieved through strenuous' strenuous physical exertion OUTDOOR ACTIVITIES With winter sports aside the populace will witt turn to a wide range of summertime fun with the prosaic picnic in the vanguard In order the next most popular activities will win be swimming sports both spectator and participant hiking fishing boating bicycling camping and any number of hobbies from photography to bird watching Many of these ventures will witt take place away from home which adds motoring and mobile homes to the list The Bicentennial year will also attract an army of tourists to historic sites and events Thus with the economy on nl the mend and disposable income income in in- in come rising the leisure time- time recreational industry should continue to follow fonow the profitable trend started late last year But the manner in which the recreational dollar is is' spent could be be different For example a European vacation deferred in 1975 in favor of home close leisure time fun may be implemented this year Movie going popular last year may fall off in 1976 as the leisure money seeks other others outlets A further boost for the near near- term outlook for for lor the then the leisure t n time industry is a change I umi o public attitude toward the then It energy crisis In 1974 1973 the motoring public was genuinely a concerned about gasoline I shortages and use of the auto Now however the feeling is that even though fully priced priced- gasoline will be available so lets let's take a trip Hence barring a return of general inflationary pressures or sharply higher gasoline prices the leisure and recreation market could be facing one or more excellent years just ahead head FA FAVORED COMPANIES The field of companies catering to the leisure market is somewhat limited but contains some well known names There is for example Walt Disney Productions whose stock is recommended as a hold bythe by bythe bythe the Research Department of Babson's Reports Principal I revenues derive from family- family oriented recreation These are largely from Disneyland on the I West Coast and Walt Disney World in Florida together with related land and real estate development activities One factor sustaining Disney I earnings in the past recession was the passing up by many of a foreign trip and settling for a trip to Disney park The family park concept will be further extended by the I t company through a resort in the Sierras and a park in Tokyo DAUSON'S IS currently recommending for purchase the common stock of Coleman Company The concern has long been noted for its quality high-quality camping gear now 37 per cent of sales heating and air conditioning equipment for mobile homes 28 per cent insulated containers do pe per percent percent cent and quality air guns 8 per cent During the recent economic decline decline Coleman made moves to position itself for a strong recovery Expenses were cut inventories were tightly controlled coO con trolled and a strong research and development program was implemented One result was record quarter first 1976 earnings earnings ear ear- of 61 cents a share vs 25 cents last year Management expects continued progress for the balance of this year aided by aggressive marketing and possible acquisitions Anyone who would woold like a amore amore amore more detailed report on Coleman Company may send for tor a free copy from Babson's Dabson's Reports Inc Wellesley Hills IliUs Massachusetts I |
