|Bid||11.45 x 41600|
|Ask||11.47 x 224000|
|Day's Range||11.15 - 11.56|
|52 Week Range||7.77 - 15.89|
|Beta (3Y Monthly)||0.86|
|PE Ratio (TTM)||14.38|
|Earnings Date||Dec 12, 2019|
|Forward Dividend & Yield||0.72 (7.18%)|
|1y Target Est||19.04|
In the wake of Thomas Cook's demise, if you think that the package holiday business is "screwed, it's over," as Ryanair boss Michael O'Leary believes, then you'd be wrong. At least, that's the case in two very important European outbound markets, the UK and Germany, where package holidays still have a solid foothold. In Asia, package […]
The British pound moved higher Tuesday as the U.K. Supreme Court ruled that the suspension of Parliament was unlawful, in a development that makes a no-deal Brexit less likely.
TUI rose 1.6%, extending Monday's rally, as the company said its trading has been "resilient" and that it reiterates its fiscal year underlying profit guidance that may fall as much as 26%. The company said it's assessing the short-term impact of Thomas Cook's insolvency.
(Bloomberg) -- The collapse of U.K. tour operator Thomas Cook Group Plc will be to the detriment of some stocks, but the benefit of many others.Shares of rival TUI AG surged as much as 11% in London, while online peer On The Beach Group Plc gained as much as 9%, boosted by the prospect of reduced industry capacity. Budget airlines also rose, though one decliner was Webjet, the Australian travel group which has a hotel sourcing deal with Thomas Cook.“The effects will be felt across the sector, not all bad,” Neil Wilson, chief market analyst at Markets.com, said in emailed commentary. “Airlines are firmer today as they should feel the benefit from the abrupt loss of short-haul capacity.”Bernstein analyst Richard Clarke sees the potential for several other tour operators collapsing, though predicts TUI will be among those that benefit from the shake-out.Here’s a round-up of stocks affected by Thomas Cook’s collapse:Tour operatorsTUI is the most significant beneficiary among tour operators, according to Citi analyst James AinleyTUI will be the only tour firm left with “a significant captive retail store base in the U.K. and the only major fully integrated European tour operator,” Ainley writes in a noteTUI has an estimated market share of about 19% in the U.K. compared with about 8% for Thomas CookOn The Beach is in a strong position to gain “significant market share,” according to Liberum analyst Anna BarnfatherLiberum sees potential for On The Beach to increase profit by GBP10m-GBP15m over the medium termOn The Beach said it’s assisting Thomas Cook customers who are currently in resort and expects a one-off cost that will be booked in the current financial yearAustralian travel group Webjet said Thomas Cook’s liquidation will impact its FY20 results, with Ebitda being reduced by up to about A$7mWebjet previously indicated it expected to earn A$150m to A$200m in total transactional value from Thomas Cook in FY20Shares closed 3.5% lower in SydneyAirlinesThe removal of Thomas Cook’s capacity should be positive for airlines’ pricing over the upcoming winter season, according to Liberum analyst Gerald KhooEasyJet shares gain as much as 6.6% in London, while Ryanair rises as much as 3.8% in DublinThe budget airlines were the biggest beneficiaries when U.K. leisure carrier Monarch collapsed two years ago, Khoo saysThomas Cook’s exit suggests a “more rational” winter ahead, while key is how Thomas Cook’s slots and capacity will be recycled back into market, RBC analysts led by Damian Brewer write in a noteLufthansa upgraded to buy from sell at Bankhaus MetzlerThomas Cook collapse could trigger a reaction similar to that after Air Berlin’s bankruptcy in 2017, when ticket prices rose significantly in some cases and Lufthansa shares surged, analyst Guido Hoymann writes in a noteLufthansa shares advance as much as 1.8% in FrankfurtLeeds, England-based Dart Group generated 94% of its FY19 revenue from its leisure airline, according to data compiled by BloombergShares gain as much as 10% in LondonFosunChinese conglomerate Fosun International is Thomas Cook’s biggest shareholder and had led a bailout planShares of co.’s Fosun Tourism unit fell 4.7% in Hong KongFosun International dropped 1.5%Fosun Tourism said it’s disappointed that the U.K. company hadn’t been able to find a viable solution“For certain Fosun wasn’t prepared to pay a penny more,” said Wilson of Markets.comHotelsThe Turkish government is preparing a loan-support package for Turkish businesses which might be harmed from Thomas Cook’s collapse, according to a Twitter post by Turkey’s Culture & Tourism MinistryThomas Cook U.K. currently has 21,033 guests accommodated in TurkeyBanksRBS and Lloyds are among Thomas Cook’s most significant lenders, according to Bloomberg Intelligence analysts Jonathan Tyce and Lento TangLloyds drops as much as 3.2% Investec is cautious on RBS’s commercial division, given the bank has relationships with half the companies in the FTSE 100 Index, analyst Ian Gordon writes in a note RBS shares fall as much as 3.9% in London Payment & data processorsThomas Cook’s 2010 decision to migrate to a single global distribution services provider -- Travelport -- and take Amadeus out of its network reduces the direct impact on the Spanish company from the U.K. travel operator, according to Bloomberg Intelligence analysts Matthew Kanterman and George FergusonEven so, Amadeus and U.S. rival Sabre will face additional headwinds from the indirect impact on European air traffic resulting from Thomas Cook’s collapse, building on disruption from the Hong Kong protests and the grounding of Boeing’s 737 MaxAmadeus shares drop as much as 4.7%, while Sabre rises up to 0.6% Engine makersThomas Cook’s fleet includes 27 aircraft powered by Rolls-Royce, Citi analyst Charles Armitage writes in a note, citing aviation-data provider CiriumCiti estimates that Thomas Cook’s fleet represents about 0.5%-0.7% of the value of Rolls-RoyceShares slip as much as 2.4% (Updates to include banks, payment & data processors, engine makers.)\--With assistance from Paul Jarvis, Sam Unsted, Hanna Hoikkala, Gaurav Panchal, James Cone, Tugce Ozsoy and Macarena Munoz.To contact the reporters on this story: Lisa Pham in London at email@example.com;Penny Peng in London at firstname.lastname@example.orgTo contact the editors responsible for this story: Beth Mellor at email@example.com, Paul Jarvis, Jon MenonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg Opinion) -- Thomas Cook Group Plc’s rescue by Fosun Tourism Group moved a step closer on Wednesday as creditors approved a 900 million-pound ($1.1 billion) bailout led by the Chinese investor.The ailing British travel company’s shareholders could be forgiven for thinking they have got the loungers on the shady side of the pool.Under the terms of the deal, Fosun will own 75% of the tour operator and 25% of the airline, in accordance with European Union rules requiring airlines to be majority-owned by European investors. Creditors will own 25% of the tour operator and 75% of the airline.This deal isn’t quite done yet – completion is targeted for October. But it should be sufficient to see Thomas Cook through the low winter season. That should reassure customers and prevent any further slide in trading.What’s more, unlike other attempts to strengthen the company’s finances, this one doesn’t rely on the sale of the airline. The banks and bondholders may not be long-term owners of a majority stake in the group’s airline, but a sale isn’t needed right now to support this recapitalization.The company’s 750 million euros of 6.25% bonds due in 2022 rose as much as 48% on Wednesday, before paring that gain. The shares fell 18% to 5.8 pence.That’s a sign there will be little left for stockholders, who have seen their shares slump by 93% over the past year. Thomas Cook said it intends to maintain a listing, but it acknowledged that the recapitalization may lead to it being de-listed.Shareholders may be able to invest alongside Fosun and lenders. Given that they are likely to see their existing holdings wiped out, it’s hard to see much appetite for more exposure.The recapitalized Thomas Cook will still face competition from Germany’s TUI AG, which has the advantage of also owning hotels and cruise ships, as well as a stronger balance sheet. Thomas Cook must also continue to navigate turbulence from Britain’s exit from the European Union and the knock-on effects on the both sterling and the U.K. consumer.Fosun’s long game seems to have paid off here. It will get control over Thomas Cook’s prize asset, the travel agency, and a minority stake in its airline – without having to pay a premium to shareholders.To contact the author of this story: Andrea Felsted at firstname.lastname@example.orgTo contact the editor responsible for this story: Edward Evans at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Andrea Felsted is a Bloomberg Opinion columnist covering the consumer and retail industries. She previously worked at the Financial Times.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
Norwegian Air will stop flying from Ireland to the United States and Canada from mid-September as the routes had become commercially unviable, the company said on Tuesday. Europe's third-largest budget carrier had to lease replacement planes to service the routes since March due to the global grounding of the Boeing 737 MAX, a more costly option than flying its own planes. Having late last year announced plans to curb its rapid capacity growth and cut costs to stem losses, Norwegian more recently warned that the grounding of the 737 MAX, which makes up 11% of its fleet, may hamper its plans to return to profitability this year..
The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...
Moody's Investors Service ("Moody's") has today downgraded the corporate family rating (CFR) of the British tourism group Thomas Cook Group plc (Thomas Cook or the company) to Ca from Caa2 and its probability of default rating (PDR) to Ca-PD from Caa2-PD. Moody's has also downgraded to Ca from Caa2 the rating on Thomas Cook's EUR 750 million senior unsecured notes due 2022 and downgraded to Ca from Caa2 its EUR 400 million senior unsecured notes due 2023 issued under Thomas Cook Finance 2 plc. The outlook remains negative. The rating action reflects the announcement that the company is in advanced discussions with Fosun Tourism Group and its affiliates (part of Fosun International Limited -- Ba2, stable) and Thomas Cook's core lending banks to respectively inject new funding of GBP750 million and exchange a significant amount of the company's existing debt into equity.
Even the best stock pickers will make plenty of bad investments. And there's no doubt that TUI AG (ETR:TUI1) stock has...
Moody's Investors Service ("Moody's") has today downgraded the corporate family rating (CFR) of the British tourism group Thomas Cook Group plc (Thomas Cook or the company) to Caa2 from B3 and its probability of default rating (PDR) to Caa2-PD from B3-PD. Moody's has also downgraded to Caa2 from B3 the rating on Thomas Cook's EUR 750 million senior unsecured notes due 2022 and downgraded to Caa2 from B3 its EUR 400 million senior unsecured notes due 2023 issued under Thomas Cook Finance 2 plc. The outlook on both entities has changed to negative from rating under review.
Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of TUI AG and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future.
Moody's Investors Service ("Moody's") has today downgraded the corporate family rating (CFR) of the British tourism group Thomas Cook Group plc (Thomas Cook) to B3 from B2 and its probability of default rating (PDR) to B3-PD from B2-PD. Moody's has also downgraded to B3 from B2 the rating on Thomas Cook's EUR 750 million senior unsecured notes due 2022 and downgraded to B3 from B2 its EUR 400 million senior unsecured notes due 2023 issued under Thomas Cook Finance 2 plc. The ratings are placed under review for further downgrade.
Today we'll look at TUI AG (ETR:TUI1) and reflect on its potential as an investment. Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate p...
Want to participate in a research study? Help shape the future of investing tools and earn a $60 gift card! This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). To...
Slowly but surely European travel giant TUI Group has shifted from a tour operating model to an integrated tourism company. What this means in practice is that instead of simply sourcing and selling vacation packages, it now owns more of the entire travel experience: shops, online, airlines, tours, transfers, activities, hotels, and cruise ships. The […] The post Why TUI Favors an Asset-Heavy Approach appeared first on Skift.