Corporate Travel broke even at the EBITDA level in the March quarter and expects positive underlying operating earnings in the fourth quarter. The recovery in the US will be critical, UBS notes, as will a strong exit from the lockdowns by corporate UK.
International travel in the UK could potentially resume on May 17 with “green countries”. A strong domestic recovery in Australasia is also a positive. Buy rating retained. Target rises to $22.00 from $21.10.
Sector: Consumer Services.
Target price is $22.00.Current Price is $19.70. Difference: $2.30 – (brackets indicate current price is over target). If CTD meets the UBS target it will return approximately 10% (excluding dividends, fees and charges – negative figures indicate an expected loss).
