Jefferies analyst Jaina Mistry maintained a Hold rating on TUI AG (TUI1 – Research Report) today and set a price target of €8.20.
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Jaina Mistry’s rating is based on a combination of factors that reflect both the strengths and challenges facing TUI AG. The company reported a strong second quarter, surpassing expectations in key financial metrics such as net income, which is likely to lead to an increase in consensus estimates by approximately 9%. Despite this positive performance, there has been a slight weakening in trading across all segments since the last update, particularly in summer 2025 package bookings in Germany.
While TUI AG’s valuation appears attractive, trading at a lower price-to-earnings ratio compared to its historical average, there are concerns about reinvestment risks across its business units. In the current environment of macroeconomic uncertainty, the preference is for companies with well-invested propositions. As a result, Jaina Mistry has opted for a Hold rating, indicating a cautious stance until there is greater clarity on the company’s ability to navigate these challenges.
According to TipRanks, Mistry is ranked #2183 out of 9511 analysts.