Morgan Stanley analyst Ed Young maintained a Buy rating on Trainline yesterday and set a price target of p370.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 55% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Ed Young has given his Buy rating due to a combination of factors that highlight Trainline’s strong performance and future potential. The company has reported impressive growth in net ticket sales and revenue, particularly in the UK market, driven by leisure travel and a recovery in the commuter segment. Despite some challenges, such as a reduction in headline commissions and changes in travel patterns, Trainline has managed to maintain robust sales figures.
Additionally, Trainline’s international operations have shown positive results, with significant growth in specific regions like the French Southeast network. The company’s strategic initiatives, including an enhanced share repurchase program, reflect its commitment to shareholder value. With expectations for EBITDA growth to exceed previous guidance and a favorable valuation, Ed Young sees Trainline as a fast-growing, cash-generative company with promising structural tailwinds and international opportunities.
Young covers the Consumer Cyclical sector, focusing on stocks such as Entain plc, Flutter Entertainment PLC, and Trainline. According to TipRanks, Young has an average return of 12.9% and a 56.73% success rate on recommended stocks.
In another report released on September 5, UBS also reiterated a Buy rating on the stock with a p465.00 price target.