FLT flight centre travel group limited

if such a good buy, why is the price dropping, page-2

  1. 631 Posts.
    I keep trying to get in... damn market maker is on holidays... I think it is a good buy.

    (hehe- good buy that is.. NOT good bye!)

    As for why the price is dropping - I can't answer for people's day to day machinations.

    ROTA of 100m / 200m TA = 50% - excellent
    Debt - 160m (about 30% unsecured) with 160m free cash = 0 - safety
    NPAT revised guidance of 100m. - ok
    Strong Management, Experience - good
    Good Historic Growth - good
    Interest cover - 25-30x EBIT - excellent
    Strong cash flows - excellent
    Liquidity of stock - ok

    So, the question an investor needs to answer for this stock, is how much are you willing to pay for a vehicle that will bring you 100m p.a., with good growth prospects in the medium-long term. If that answer is 525m - 685m or less (depending on how you treat the cash), its a buy. If you subtract the cash from the market cap, I would treat it as a screaming buy.

    I would call this company somewhere between 40-50% undervalued. Subtract whatever risk premium you see fit.

    I have not been able to find much better, and am trying to enter.


 
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(20min delay)
Last
$13.16
Change
0.230(1.78%)
Mkt cap ! $2.866B
Open High Low Value Volume
$12.93 $13.20 $12.93 $9.766M 743.3K

Buyers (Bids)

No. Vol. Price($)
1 321 $13.14
 

Sellers (Offers)

Price($) Vol. No.
$13.16 630 3
View Market Depth
Last trade - 16.10pm 04/07/2025 (20 minute delay) ?
FLT (ASX) Chart
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