Australia's Helloworld Travel falls after travel group buyout

Helloworld Travel

23/06/2023 05:05

** Shares of Helloworld Travel Ltd's  HLO.AX  are down as
much as 2.7%, hitting their lowest level since May 26
    ** For the week, stock down 9.1% so far, set for worst week
since Dec 9 
    ** The travel firm will acquire Express Travel Group for
A$70 mln ($46.93 mln)
    ** Brokerage Ord Minnett says Helloworld's acquisition of
Express Travel Group is a positive given they have secured "one
of the well-managed unlisted travel agency groups in the Aussie
market" 
    ** Upgrades rating to "accumulate" from "lighten"; raises PT
to A$2.84 from A$2.62 
    ** Brokerage raises earnings per share estimate by 29% in
FY24 and 21% in FY25 
    ** Of 6 analysts, 5 rate stock "buy" and 1 "sell"; their
median PT is A$3.40 – Refinitiv data
    ** Stock up 91.8% this year, as of last close


($1 = 1.4916 Australian dollars)

 (Reporting by Poonam Behura in Bengaluru)
 ((Poonam.Behura@thomsonreuters.com;))