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WEB

WebjetASX:WEB Stock Report

Market Cap

AU$2.0b

7D

-9.5%

1Y

-6.0%

Updated

28 Nov, 2021

Data

Company Financials +
WEB fundamental analysis
Snowflake Score
Valuation0/6
Future Growth5/6
Past Performance0/6
Financial Health3/6
Dividends0/6

WEB Stock Overview

Webjet Limited provides online travel booking services in Australia, New Zealand, the United Arab Emirates, the United Kingdom, and internationally.

Webjet Competitors

Meituan

SEHK:3690

HK$1.6t

American Express

NYSE:AXP

US$121.5b

Airbnb

NasdaqGS:ABNB

US$108.9b

Recruit Holdings

TSE:6098

JP¥11.5t

Price History & Performance

Summary of all time highs, changes and price drops for Webjet
Historical stock prices
Current Share PriceAU$5.35
52 Week HighAU$6.89
52 Week LowAU$4.36
Beta2.19
1 Month Change-15.35%
3 Month Change-2.73%
1 Year Change-5.98%
3 Year Change-55.71%
5 Year Change-47.65%
Change since IPO469.15%

Recent News & Updates

Aug 17
Is Webjet (ASX:WEB) A Risky Investment?

Is Webjet (ASX:WEB) A Risky Investment?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Shareholder Returns

WEBAU HospitalityAU Market
7D-9.5%-2.8%-1.6%
1Y-6.0%24.1%11.8%

Return vs Industry: WEB underperformed the Australian Hospitality industry which returned 24.1% over the past year.

Return vs Market: WEB underperformed the Australian Market which returned 11.8% over the past year.

Price Volatility

Is WEB's price volatile compared to industry and market?
WEB volatility
WEB Average Weekly Movement5.1%
Hospitality Industry Average Movement6.9%
Market Average Movement8.3%
10% most volatile stocks in AU Market15.8%
10% least volatile stocks in AU Market3.7%

Stable Share Price: WEB is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: WEB's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19981,800John Guscichttps://www.webjetlimited.com

Webjet Limited provides online travel booking services in Australia, New Zealand, the United Arab Emirates, the United Kingdom, and internationally. It operates through Business to Consumer Travel and Business to Business Travel segments. The company enables its customers to compare, combine, and book domestic and international travel flight deals, hotel accommodations, holiday package deals, travel insurances, rental cars, motorhomes, and cruises.

Webjet Fundamentals Summary

How do Webjet's earnings and revenue compare to its market cap?
WEB fundamental statistics
Market CapAU$2.03b
Earnings (TTM)-AU$208.80m
Revenue (TTM)AU$51.60m

39.4x

P/S Ratio

-9.7x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
WEB income statement (TTM)
RevenueAU$51.60m
Cost of RevenueAU$84.53m
Gross Profit-AU$32.93m
ExpensesAU$175.87m
Earnings-AU$208.80m

Last Reported Earnings

Mar 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.55
Gross Margin-63.82%
Net Profit Margin-404.65%
Debt/Equity Ratio42.3%

How did WEB perform over the long term?

See historical performance and comparison

Valuation

Is Webjet undervalued compared to its fair value and its price relative to the market?

3.35x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: WEB (A$5.35) is trading above our estimate of fair value (A$0.8)

Significantly Below Fair Value: WEB is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: WEB is unprofitable, so we can't compare its PE Ratio to the Australian Hospitality industry average.

PE vs Market: WEB is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate WEB's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: WEB's PB Ratio (3.4x) is in line with the AU Hospitality industry average.


Future Growth

How is Webjet forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

81.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WEB is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: WEB is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: WEB's is expected to become profitable in the next 3 years.

Revenue vs Market: WEB's revenue (42.6% per year) is forecast to grow faster than the Australian market (5.2% per year).

High Growth Revenue: WEB's revenue (42.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WEB's Return on Equity is forecast to be low in 3 years time (15.1%).


Past Performance

How has Webjet performed over the past 5 years?

-60.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WEB is currently unprofitable.

Growing Profit Margin: WEB is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: WEB is unprofitable, and losses have increased over the past 5 years at a rate of 60.8% per year.

Accelerating Growth: Unable to compare WEB's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: WEB is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (4.2%).


Return on Equity

High ROE: WEB has a negative Return on Equity (-34.39%), as it is currently unprofitable.


Financial Health

How is Webjet's financial position?


Financial Position Analysis

Short Term Liabilities: WEB's short term assets (A$304.4M) do not cover its short term liabilities (A$395.0M).

Long Term Liabilities: WEB's short term assets (A$304.4M) exceed its long term liabilities (A$177.9M).


Debt to Equity History and Analysis

Debt Level: WEB has more cash than its total debt.

Reducing Debt: WEB's debt to equity ratio has increased from 37.5% to 42.3% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: WEB has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if WEB has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Dividend

What is Webjet current dividend yield, its reliability and sustainability?

1.05%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate WEB's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate WEB's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if WEB's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if WEB's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: WEB is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of WEB's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.2yrs

Average management tenure


CEO

John Guscic (57 yo)

10.75yrs

Tenure

AU$1,508,184

Compensation

Mr. John Guscic, Executive MBA, BEc, has been the Managing Director of Webjet Limited since February 01, 2011. Mr. Guscic serves as Managing Director of Pacific region for Travelport (formerly Cendant TDS)...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD1.07M) is about average for companies of similar size in the Australian market ($USD1.37M).

Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: WEB's management team is considered experienced (2.2 years average tenure).


Board Members

Experienced Board: WEB's board of directors are considered experienced (5.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: WEB insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 12.3%.


Top Shareholders

Company Information

Webjet Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Webjet Limited
  • Ticker: WEB
  • Exchange: ASX
  • Founded: 1998
  • Industry: Hotels, Resorts and Cruise Lines
  • Sector: Consumer Services
  • Market Cap: AU$2.035b
  • Shares outstanding: 380.34m
  • Website: https://www.webjetlimited.com

Number of Employees


Location

  • Webjet Limited
  • 509 St Kilda Road
  • Level 2
  • Melbourne
  • Victoria
  • 3004
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/28 07:06
End of Day Share Price2021/11/26 00:00
Earnings2021/03/31
Annual Earnings2021/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.