When aussie dollar weak like currently we usually see a rise in overseas tourists as it becomes more afordable to visit Australia. The other plus is that Australians will stay within Australia more , so local tourism may hit a sweet spot.
But Webjet make most their money getting Australians to travel overseas, so i can see headwinds. How much business they can win outside Australia will be key to their performance as it wont be their Aussie clients increasing travel but more like the American market with their strong dollar or chinese and the poms who love visiting here, so any moves to increase business overseas is crucial.
I speak with some experience having owned an accomodation business near Lakes Entrance in Victoria for nine years,and during those days in the early 2000's, 80 % of my clientele were Australian ( but of many varied races, especially my chinese australian customers who loved going crabbing), and of the 20 % internationals, the europeans were more common than others especially the dutch and germans.
Webjet needs to be a successful global player to weather any headwinds,simples.
Christopher
WEB Price at posting:
$15.04 Sentiment: Buy Disclosure: Not Held
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