DB:FLI

Stock Analysis Report

Flight Centre Travel Group

Executive Summary

Flight Centre Travel Group Limited provides travel retailing services for the leisure, corporate, and wholesale travel sectors in Australia, New Zealand, Europe, the Middle East, Africa, the Americas, Asia, and Internationally.

Snowflake

Fundamentals

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

How has Flight Centre Travel Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-3.8%

DB:FLI

0.1%

DE Hospitality

0.3%

DE Market


1 Year Return

-38.6%

DB:FLI

-52.1%

DE Hospitality

-11.7%

DE Market

FLI outperformed the Hospitality industry which returned -52.1% over the past year.

FLI underperformed the Market in Germany which returned -11.8% over the past year.


Share holder returns

FLIIndustryMarket
7 Day-3.8%0.1%0.3%
30 Day2.5%-7.8%-2.8%
90 Day-8.6%-10.1%-0.8%
1 Year-34.4%-38.6%-48.9%-52.1%-8.9%-11.7%
3 Year40.0%21.8%-17.5%-28.9%22.9%12.2%
5 Year0.8%-18.8%-6.5%-25.1%23.2%6.1%

Price Volatility Vs. Market

How volatile is Flight Centre Travel Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Flight Centre Travel Group undervalued based on future cash flows and its price relative to the stock market?

20%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Flight Centre Travel Group's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Flight Centre Travel Group's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Flight Centre Travel Group is good value based on earnings compared to the DE Hospitality industry average.

Flight Centre Travel Group is good value based on earnings compared to the Germany market.


Price Based on Expected Growth

Flight Centre Travel Group is poor value based on expected growth next year.


Price Based on Value of Assets

Flight Centre Travel Group is overvalued based on assets compared to the DE Hospitality industry average.


Next Steps

Future Growth

How is Flight Centre Travel Group expected to perform in the next 1 to 3 years based on estimates from 14 analysts?

10.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Flight Centre Travel Group's revenue is expected to grow by 4.5% yearly, however this is not considered high growth (20% yearly).

Flight Centre Travel Group's earnings are expected to grow by 10.2% yearly, however this is not considered high growth (20% yearly).

Flight Centre Travel Group's revenue growth is positive but not above the Germany market average.

Flight Centre Travel Group's earnings growth is positive but not above the Germany market average.

Flight Centre Travel Group's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Flight Centre Travel Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Flight Centre Travel Group performed over the past 5 years?

1.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Flight Centre Travel Group's year on year earnings growth rate has been positive over the past 5 years.

Flight Centre Travel Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Flight Centre Travel Group's 1-year earnings growth is negative, it can't be compared to the DE Hospitality industry average.


Return on Equity

Flight Centre Travel Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Flight Centre Travel Group used its assets more efficiently than the DE Hospitality industry average last year based on Return on Assets.


Return on Capital Employed

Flight Centre Travel Group's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Flight Centre Travel Group's financial position?


Financial Position Analysis

Flight Centre Travel Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Flight Centre Travel Group's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Flight Centre Travel Group's level of debt (2.4%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (6.3% vs 2.4% today).

Debt is well covered by operating cash flow (618.6%, greater than 20% of total debt).

Flight Centre Travel Group earns more interest than it pays, coverage of interest payments is not a concern.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 56.1x debt.


Next Steps

Dividend

What is Flight Centre Travel Group's current dividend yield, its reliability and sustainability?

5.23%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Flight Centre Travel Group's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.44%).

Flight Centre Travel Group's dividend is above the markets top 25% of dividend payers in Germany (3.91%).

Whilst dividend payments have been stable, Flight Centre Travel Group has been paying a dividend for less than 10 years.

Dividend payments have increased, but Flight Centre Travel Group only paid a dividend in the past 9 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.5x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.6x coverage).


Next Steps

Management

What is the CEO of Flight Centre Travel Group's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average management tenure


CEO

Skroo Turner (69yo)

AU$1,417,566

Compensation

Mr. Graham F. Turner, also known as Skroo, BVSc is the Founder of Flight Centre Travel Group Limited and serves as its Chief Executive Officer. Mr. Turner is the Founder of Australian OpCo Pty Ltd. and ser ...


CEO Compensation Analysis

Skroo's remuneration is lower than average for companies of similar size in Germany.

Skroo's compensation has increased by more than 20% in the past year whilst earnings fell less than 20%.


Management Age and Tenure

2.8yrs

Average Tenure

51yo

Average Age

The tenure for the Flight Centre Travel Group management team is about average.


Board Age and Tenure

3.5yrs

Average Tenure

58yo

Average Age

The tenure for the Flight Centre Travel Group board of directors is about average.


Insider Trading

More shares have been bought than sold by Flight Centre Travel Group insiders in the past 3 months, but not in substantial volumes.


Recent Insider Transactions

Buy€24,20030 Apr 19
Robert Baker
EntityIndividual
Role
Member of the Board of Directors
Shares1,000
Max Price€24.20
Buy€223,768,27414 Feb 19
UBS Asset Management
EntityCompany
Shares8,044,646
Max Price€29.37
Sell€153,150,14414 Feb 19
UBS Asset Management
EntityCompany
Shares5,349,598
Max Price€28.64

Ownership Breakdown


Management Team

  • Dean Smith (51yo)

    Executive General Manager of the Americas

    • Compensation: A$2.68m
  • Chris Galanty (44yo)

    Executive General Manager of EMEA

    • Compensation: A$3.07m
  • Skroo Turner (69yo)

    Founder

    • Compensation: A$1.42m
  • Adam Campbell (43yo)

    Chief Financial Officer

    • Tenure: 3.8yrs
    • Compensation: A$1.78m
  • Trent Palelei

    Head of Risk Manangement Division

    • Tenure: 14.4yrs
  • Geoff Harris (67yo)

  • Haydn Long

    Investor & Media Relations Officer

  • Leonard Donaldson

    Chief Information Officer

    • Tenure: 1.8yrs
  • David Smith

    Secretary & MD of United States of America

    • Tenure: 1.8yrs
    • Compensation: A$292.28k
  • Melanie Waters-Ryan (51yo)

    Chief Operating Officer

    • Compensation: A$3.01m

Board Members

  • John Eales (48yo)

    Independent Non-Executive Director

    • Tenure: 6.8yrs
    • Compensation: A$170.00k
  • Rob Baker (60yo)

    Independent Non-Executive Director

    • Tenure: 5.8yrs
    • Compensation: A$170.00k
  • Gary Smith (58yo)

    Independent Non-Executive Chairman

    • Tenure: 4.8yrs
    • Compensation: A$250.43k
  • Skroo Turner (69yo)

    Founder

    • Tenure: 24.4yrs
    • Compensation: A$1.42m
  • Atle Skalleberg

    Chief Digital Officer & Chair of Digital Commerce Advisory Board

    • Tenure: 2.3yrs
  • Kim Nemser

    Member of Digital Commerce Advisory Board

  • Colette Garnsey (58yo)

    Independent Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: A$68.00k
  • Hugh Crean

    Member of Digital Commerce Advisory Board

    • Tenure: 2.3yrs
  • Nicolas Brusson

    Member of Digital Commerce Advisory Board

    • Tenure: 2.3yrs

Company Information

Flight Centre Travel Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Flight Centre Travel Group Limited
  • Ticker: FLI
  • Exchange: DB
  • Founded: 1987
  • Industry: hotels, resorts and cruise lines
  • Sector: consumer services
  • Market Cap: AU$4.177b
  • Listing Market Cap: AU$2.559b
  • Shares outstanding: 101.11m
  • Website: Click here

Number of Employees


Location

  • Flight Centre Travel Group Limited
  • 275 Grey Street
  • Southpoint
  • Brisbane
  • Queensland
  • 4101
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FGET.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1970
FLTASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 1970
FLIDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1970
FLTCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJan 1970

Biography

Flight Centre Travel Group Limited provides travel retailing services for the leisure, corporate, and wholesale travel sectors in Australia, New Zealand, Europe, the Middle East, Africa, the Americas, Asia ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/06/15 21:41
End of Day Share Price2019/06/14 00:00
Earnings2018/12/31
Annual Earnings2018/06/30


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.