Webjet Group Ltd (ASX: WJL) shares are in focus today after a disappointing start to the week.
Webjet is an Australian online travel company known for its popular website that allows customers to compare and book flights, hotels, and holiday packages.
Yesterday, its share price tumbled 2.6%.
This follows on from the losses from Friday last week which saw Webjet shares tumble more than 20% after the announcement of a failed takeover bid.
Image source: Getty Images
What happened?
Helloworld Travel Ltd (ASX: HLO), which already owns a stake in Webjet, made a conditional offer to buy the rest of the company late last year.
Here is the timeline:
- 19 November 2025 Webjet announced it had received a non-binding and indicative offer from Helloworld Travel o acquire 100% of the shares in Webjet that Helloworld did not already own by way of a scheme of arrangement at an all-cash price of A$0.90 per share.
- 21 November 2025 Webjet announced it had received a revised non-binding and indicative offer from BGH Capital to acquire all the shares in Webjet not already owned by BGH and its associates via an off-market takeover at an all-cash price of A$0.91 per share (Revised BGH Proposal).
However, after several weeks of due diligence and negotiations, neither Helloworld nor BGH Capital submitted a formal binding proposal that Webjet's board felt was certain and attractive enough.
According to a release Webjet ended the talks and the proposed takeover ended.
What now?
Webjet management reinforced that its time, focus and resources should return wholly to executing the company's existing strategy.
After yesterday's share price fall, Webjet shares are trading at $0.56.
That's a decline of 26% across two days of trading.
It now sits almost 36% lower than the start of the year.
So, could this be an opportunity to buy the dip?
Morgans weighs in
In a note out of the team at Morgans, the broker said Webjet has downgraded its FY26 EBITDA guidance by another 7-9%.
Earnings uncertainty remains high given cyclical and structural threats and at a time when WJL is investing in its business for longer term success.
Given WJL is no longer in play, focus returns to the fundamentals of the business which look challenged in the near term.
The broker has retained a hold rating on Webjet shares.
It also has updated its price target to $0.61.
From yesterday's closing price, that indicates an upside of approximately 9%.
Based on this target, it seems any further share price dip could make it an attractive buy-low option.
