Flight Centre has withdrawn FY20 guidance. The broker has revised down forecasts with the caveat of best guess under the circumstances. The broker’s travel sector view is one of depressed conditions throughout the first half FY21 before normalising in FY22.
While the share price appears severely oversold, down over -50%, there is still just too much uncertainty to suggest it’s time to buy travel stocks, the broker warns. Hold retained, target falls to $20.98 from $36.56.
Sector: Consumer Services.
Target price is $20.98.Current Price is $17.01. Difference: $3.97 – (brackets indicate current price is over target). If FLT meets the Morgans target it will return approximately 19% (excluding dividends, fees and charges – negative figures indicate an expected loss).
