The News Corp press is reporting that professional investment analysts at RBC Capital Markets have slapped a $17 share price target on online travel business Webjet Limited (ASX: WEB).
Webjet shares have been volatile over 2019 as investors seem uncertain as to a fair value for this fast-growing business that has been on an acquisitive trail and run into an accounting dispute with its former auditor.
Prior to releasing its profit report for the six-month period ending December 31 2018 the stock closed for $11.37, yet two days later closed at $16.10 nearly 45% higher.
Since then it's dropped about 10% to $14.50 despite not releasing any news to the market, although investors may be getting nervous over the impact of the Brexit crisis in the UK given it recently acquired a huge amount of hotel inventory of UK travel giant Thomas Cook.
Still its business-to-business online bookings platforms are growing strongly and the UK is only a small part of its operations, with RBC analysts thinking it has plenty of room to run higher.
Others to have taken a knock recently in the travel space probably on the back of concerns about slowing global growth include Flight Centre Travel Group Ltd (ASX: FLT) and HelloWorld Ltd (ASX: HLO).
