Sunday, February 25, 2024
Google search engine
HomeBusinessEasy Trip Planners zooms 40% in two days; stock hits all-time high

Easy Trip Planners zooms 40% in two days; stock hits all-time high


Shares of Easy Trip Planners, which operates, hit an all-time high of Rs 66.80 as they surged 17 per cent on the BSE in Tuesday’s intra-day trade. In the past two trading days, the stock of the tour and travel related services company has zoomed 40 per cent after it turned ex-date for 3:1 bonus issue, and 1:1 stock split on Monday. It has surpassed its previous high level of Rs 59.56 (adjusted to stock split and bonus), touched on May 25, 2022.

The company had fixed November 22, 2022 as the record date for the purpose of ascertaining the eligibility of shareholders entitled for the bonus shares, and stock split.

The board of Easy Trip Planners, on October 10, 2022, had approved sub-division/split of each existing equity share of face value of Rs 2 into 2 equity shares of face value of Rs 1. The board also approved issue of 3 bonus equity shares for every 1 share held in the company.

Easy Trip Planners had said the company and its subsidiaries have grown significantly, in terms of business and performance, over the years. This is reflected in the share price of the Company.

“As and when the stock price rises further, it will be increasingly difficult for small potential shareholders to partake in the company’s future. Keeping with the spirit of inclusion and in order to reward the shareholders the board of directors, the company as approved and recommended the said corporate actions,” the company had said.

With past two days’ rally, in last one year, the stock price of Easy Trip Planners has zoomed 113 per cent as compared to 4.8 per cent rise in the S&P BSE Sensex.

Easy Trip Planners or (EMT) is the fastest growing and only profitable company in the online travel portal in India. The company offers a comprehensive range of travel-related products and services for end-to-end travel solutions, including airline tickets, hotels and holiday packages, rail tickets and bus tickets.

In first half (Aprli- September) of the currently financial year 2022-23 (H1FY23), the company’s gross booking revenue (GBR) was at Rs 3,641 crore, which is equivalent to GBR for full year FY22. With full resumption along with the company’s aggressive advertisement campaign to gain the market share, analysts at ICICI Securities expect GBR to grow at 41.2 per cent CAGR during FY22-25E.

The lean cost model and no convenience fee strategy remain key pillars supporting such rapid, profitable growth. This has also led to stickiness by customers with healthy repeat transaction rate of around 86 per cent in the B2C channel. The international expansion into the countries like UAE, Philippines, Thailand, and US will help the company to boost revenues, going forward.

Further benefits would accrue from high margin segments like hotels (Traviate – B2B technology platform, Spree Hospitality – hospitality management company and bus booking segment (Yolo – intercity mobility platform), the brokerage firm said in company update. However, currently, the stock was trading above their target price of Rs 63 per share.


Source link

- Advertisment -
Google search engine

Most Popular

Recent Comments