On the Beach Group (LSE:OTB) has received a revised price target of 300p, up from 200p, from Panmure Liberum, with the broker reiterating its ‘buy’ recommendation for the travel group’s shares.
The upgrade reflects Panmure’s optimism about the company’s expanding addressable market and robust trading performance.
OTB reported a 15% increase in total transaction value to £1.2 billion in its 2024 financial year, alongside a 25% improvement in adjusted profit before tax to £31 million.
These results were partially attributed to strong growth in premium 5-star holiday and long-haul bookings.
Looking ahead, Panmure analysts highlighted OTB’s entry into Ireland and its new city breaks proposition as tailwinds.
The initiatives are projected to expand its addressable market significantly, though they come with an increase in marketing spend.
OTB shares are currently swapping for 240p each.