TUI: still a buyer after Thomas Cook
(CercleFinance.com) - Citi analysts have confirmed their buy rating on the share of tour operator Tui, at a time when its competitor Thomas Cook is in meltdown.
The broker maintains its target price at 1,190 pence.
Citi believes that thanks to summer bookings, Tui ended its 2018/2019 fiscal year (to end-September), with 7% growth over Q4.
In addition, "We see TUI as a key beneficiary of the collapse of TCG," Citi says, as the redistribution of Thomas Cook's market share could increase Tui's EPS by around 4% in 20219/2020; not to mention the price increases that will probably follow.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The broker maintains its target price at 1,190 pence.
Citi believes that thanks to summer bookings, Tui ended its 2018/2019 fiscal year (to end-September), with 7% growth over Q4.
In addition, "We see TUI as a key beneficiary of the collapse of TCG," Citi says, as the redistribution of Thomas Cook's market share could increase Tui's EPS by around 4% in 20219/2020; not to mention the price increases that will probably follow.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.