WJL - Webjet Group

[eskys]

Webjet Group Limited (ASX: WJL) - Float & IPO Details​

Current share price for WJL : $0.905 0.105 (13.13%)+

Webjet Group Limited (WJL) is a global travel organisation that enables travel the world over through travel brands, supported by the company's travel technology businesses.

Webjet Group Limited (WJL) floated on the Australian Securities Exchange (ASX) on Monday, 23 September 2024. The company opened its first day of trading with a share price of $1.00. The first day of trading for Webjet Group Limited on the ASX saw its share price move between a low of $0.79 and a high of $1.00, before closing at $0.80 per share.

WJL's current share price is $0.91.

 

[Dona Ferentes]

Webjet Group Limited (ASX: WJL) - Float & IPO Details​

Current share price for WJL : $0.905 0.105 (13.13%)+

Webjet Group Limited (WJL) is a global travel organisation that enables travel the world over through travel brands, supported by the company's travel technology businesses.

Webjet Group Limited (WJL) floated on the Australian Securities Exchange (ASX) on Monday, 23 September 2024. The company opened its first day of trading with a share price of $1.00. The first day of trading for Webjet Group Limited on the ASX saw its share price move between a low of $0.79 and a high of $1.00, before closing at $0.80 per share.

WJL's current share price is $0.91.

out of WEB ...

https://www.aussiestockforums.com/search/

(and WEB is another silly ASX code !!)

 

[eskys]

out of WEB ...

That's what Stephen Daglian said on Commsec's closing wrap last evening.

What I posted was found on Google, wasn't sure that it was an ipo....I thought it was a spinoff from WEB

 

[Dona Ferentes]

it's a Demerger ... WJL is Business to Consumer B2C whereas to new WEB is Business to Business B2B

In its demerger prospectus, Webjet put the fair value for the B2C business at between $1.20 and $1.60 a share, which was higher than Monday’s trading price.

Webjet’s customer-facing business includes its online travel agency (OTA), which holds about 8 per cent of online flight and hotel bookings across Australia and New Zealand, as well as GoSee, a motorhome and car rental group, and the Trip Ninja smart travel technology.

CEO Katrina Barry said softening domestic demand would be offset by more international travel, with Webjet planning to better utilise its database of 6 million customers across Australia and New Zealand to increase overseas flight sales as airfares fall.

The renamed WEB Travel Group (WEB), the B2B business, is less understood; it has become a global wholesaler of hotel rooms to other online travel and corporate travel companies.

 

[eskys]

Looks like someone has a big parcel to block at $1.00

 

[eskys]

Today's runaway in a good way

Closed at 1.09

Have a great long weekend, Victorians. AFL final holiday tomorrow

 

[eskys]

Doesn't appear to be be much interest in this stock. However, did anyone notice it was stirring last Friday? I did, but failed to check the announcements, and couldn't work out why or who was buying. Whilst not market sensitive, I think it deserves some thought, gotta to watch it carefully now. Three days in the green, and, we don't know what the big boys plans are. The following can be found in Commsec's announcements:

Recent Announcements​

1 Month

DATE	TIME	DESCRIPTION	PAGES	MARKET SENSITIVE
08/10/2024	7:16 pm AEDT	Change in substantial holding from MUFG	13
08/10/2024	12:43 pm AEDT	Change in substantial holding	2
07/10/2024	6:54 pm AEDT	Change in substantial holding	8
07/10/2024	8:20 am AEDT	Change in substantial holding Form 604 - WJL	43
04/10/2024	5:14 pm AEST	Change in substantial holding from MUFG	56
04/10/2024	4:50 pm AEST	Change in substantial holding from CBA	45

 

[eskys]

Came across this on Market Index's morning wrap moments ago:

Webjet Group initiated Buy with $1.05 target (GS)

 

[eskys]

Came across this on Market Index's morning wrap moments ago:

Webjet Group initiated Buy with $1.05 target (GS)

Too early to laugh, Danny. Start cackling when the stock does a turn around. That's the time to laugh like a hyena.

I'm starting to wonder how much/many legs are left.

 

[eskys]

What does the following information tell us?

11:55:05 AM	1.012	1,263	1,278.788	CXXT
11:55:02 AM	1.012	225	227.813	CXXT
11:54:43 AM	1.012	1,272	1,287.900	CXXT
11:53:42 AM	1.012	272	275.400	CXXT
11:53:37 AM	1.012	1,263	1,278.788	CXXT
11:53:10 AM	1.012	1,289	1,305.113	CXXT
11:53:03 AM	1.012	272	275.400	CXXT

 

[DannyB0000]

I was thinking $1.05 price target doesn't sound very optimistic since it's already $1.01.

 

[eskys]

I was thinking $1.05 price target doesn't sound very optimistic since it's already $1.01. About 10 investment funds have parked their clients money into this stock and it only just listed last week.

I thought the opposite since I saw the announcements. Thought if the big boys are into it, then, it has room to run. At the same time, was wary and thought they might offload at a good price. Sold some at close to the top (won't be around to watch for the next few days and don't want to take too much risk in case it decides to go downhill)

 

[DannyB0000]

I doubt whether investment funds would have bought into this stock just for short term gain. It was up 19% by the forth day that it last before profit taking. Wait at least 1 year to see what the company's revenue is like before passing judgement on it. Webjet was profitable before the demerger.

 

[eskys]

I doubt whether investment funds would have bought into this stock just for short term gain. It was up 19% by the forth day that it last before profit taking. Wait at least 1 year to see what the company's revenue is like before passing judgement on it. Webjet was profitable before the demerger.

I thought that too, @DannyB0000, but I didn't want to say that in case I'm wrong and people think I'm ramping. Good luck if you're in.

nothing goes up in a straight line, what goes up fast can come down just as quick sometimes.

 

[Value Hunter]

To me its a de-merger which makes absolutely no sense. There was no good reason for it to happen.

 

[finicky]

Market Matters morning report

Is WEB Travel Group telling us to put travel & tourism in the too-hard basket?

In August, we wrote a report on the travel and tourism names. At the time, we highlighted that US businesses Trip Advisor, Booking Holdings and Airbnb had reported a softening travel outlook; in hindsight, these warnings should have been listened to with the sector struggling over recent weeks. Year-to-date, the ASX200 is up +13.2%, including dividends, with all but one of the travel/tourism stocks underperforming the broader market: Travel & Tourism stocks YTD: SiteMinder (SDR) +30%, Flight Centre (FLT) +5.7%, Helloworld Travel Ltd (HLO) -24%, WEB Travel Group (WEB) -30%, and Corporate Travel (CTD) -36%. New reports show that, after years of inflation and rising travel costs, global travellers may finally be curtailing their travel plans, which is concerning for the industry, e.g. intentions to travel have dropped 11% in France and 6% in Germany since 2022. Research house Morning Consult believes pent-up demand is ending – “That’s not to say that travel will decline significantly again, but … in short, most of those waiting to take their post-COVID trips have already done so,”. This outlook was echoed by a recent report from economic advisory firm Oxford Economics, saying, “Pent-up demand fuelled travel in Asia-Pacific in the first half of 2023, but since then, the trend is starting to reverse.” The appetite for travel is starting to wane due to the delayed effects of tightening monetary policies, which have hit consumers’ free spending. Interestingly, the US-related names have also delivered mixed performances so far in 2024. Of the three mentioned, only online travel business Booking Holdings (BKNG US) is making investors happy, and its business model is AI-focused.

 

[Dona Ferentes]

from Naos quarterly

Demerger from Web Travel Group

WJL, one of our newer investments, recently completed a demerger from Web Travel Group (ASX: WEB). Previously, both operated under the Webjet banner for many years. WJL is essentially the consumer-facing division, familiar to many Australians as the Webjet website, offering services for searching and booking for flights, hotels, hire cars etc.

For many, WJL will be considered the poor cousin of the demerger as it is smaller in every respect, arguably ex-growth and operates a business model that some would believe is outdated. However, history has shown us that often the poor cousin spin-offs can provide significant positive shareholder outcomes over the long-term, (as shown in the table. - below)

From our perspective, a number of factors attracted us to WJL:
- Market Leading Position – Despite competition from large multinationals attempting to gain share in the Australian OTA (online travel agency) market, Webjet has maintained a stable market share, holding the number one position in both Australia and New Zealand. Its high brand recognition means many customers go straight to webjet.com.au rather than through paid search engines, helping Webjet maintain strong margins.

Capacity to Invest – With around $100 million of available cash, WJL has significant capacity to invest in organic growth initiatives. Coupled with the renewed focus described below, in our view this should allow WJL to pursue these organic growth initiatives with a sense of urgency. We also expect WJL to explore complementary acquisitions over time.

- Renewed Focus – As part of the original Webjet group, WJL had to compete with the B2B business for resources, management attention and strategic focus. Now, as a standalone entity, WJL can allocate resources exclusively towards its own growth, which should in theory provide a renewed focus with a clear and concise strategic direction.

- Large Addressable Market – The OTA leisure market in Australia alone is substantial, and while WJL currently generates the majority of its earnings through airline ticket sales, the opportunity to sell higher margin adjacent products such as car rental, accommodation and other services is significant from both a revenue and earnings perspective.

 

[DannyB0000]

I would say this stock just needs time to grow in value. I were dreaming about buying WEB at sub $3 because I liked the business, so I pounced on WJL soon after it listed on the ASX. Bought in about 87c and I will hold now.