Flight Centre (FLT) has just had another step down, but management seem to think the worst of it is now over. I don’t currently hold this stock. Given it used to be $65, now at $40, what is your opinion as a long term investment?
A: Flight Centre (FLT) is a well run company, but there are headwinds and I am not convinced that these are “blowing away” quickly. Guidance for FY20 has been downgraded.
As for the brokers, they are marginally positive on the stock, with 4 buy recommendations and 3 neutral recommendations. The consensus target price is $44.31, an 8.8% premium to the current market price of $40.66. At the top end is UBS with $50.50, Macquarie is at the bottom with a target of $39.10.
I can’t get excited at $40.00.
