racing yacht vs watercraft

racing yacht and watercraft both are nouns.

Word	Noun	Adjective	Verb	Adverb
racing yacht	Yes	No	No	No
watercraft	Yes	No	No	No

As nouns, watercraft is a hypernym of racing yacht; that is, watercraft is a word with a broader meaning than racing yacht:

racing yacht: an expensive vessel propelled by sail or power and used for cruising or racing
watercraft: a craft designed for water transportation

Other hypernyms of racing yacht include vessel.

racing yacht (noun)	watercraft (noun)
an expensive vessel propelled by sail or power and used for cruising or racing	a craft designed for water transportation
	skill in the management of boats