The Webjet share price is having its best day of July so far. What’s happening?

A woman sits crossed leg on seats at an airport holding her ticket and smiling.A woman sits crossed leg on seats at an airport holding her ticket and smiling.

The Webjet Limited (ASX: WEB) share price is jumping today amid a positive day for ASX travel shares.

At the time of writing, the company’s share price is up 3.79%, trading at $5.335. It’s the biggest single-day leap in July so far. For perspective, the S&P/ASX 200 Index (ASX: XJO) is up 0.83% today.

Let’s take a look at what’s happening with the Webjet share price.

What’s going on with Webjet today?

The Webjet share price is rising, but it’s not alone among ASX travel shares. The Qantas Airways Limited (ASX: QAN) share price is up 2.04% while Flight Centre Travel Group Ltd (ASX: FLT) shares are 3.18% higher.

Today’s rise follows the improved market performance of US airlines on Friday. Shares in the US online travel giant Expedia Group Inc (NASDAQ: EXPE) leapt 3.27% on the NASDAQ on Friday. Meantime, American Airlines Group Inc (ASX: AAL) climbed 1.54%, United Airlines Holdings Inc (ASX: UAL) gained 2.46%, and Delta Air Lines, Inc (ASX: DAL) rose 1.07%.

Data from Webjet, cited by The Australian on the weekend, revealed Australians are booking holidays all over the world. The top destinations are: New York, Los Angeles, Auckland, Bali, Queenstown, Fiji, London, Singapore, Bangkok, and Manila. Flight Centre general manager Brent Novak told the publication Aussies are booking “revenge travel”.

Internationally, Delta CEO Ed Bastian recently highlighted the “thirst” for travel is increasing. In comments cited by CNBC, he said:

People have not had access to our product for the better part of two years.

We’re not going to satisfy … that thirst, in a space of a busy summer period.

Meanwhile, Tourism Tropical North Queensland recently announced $100 flight subsidies if people book travel via Webjet. This is available for travel up to 20 November, so long as the booking is made before the end of July. CEO Mark Olsen said:

Interstate travelers booking on any airline with Webjet before July 31 are eligible for the $100 subsidy, although the campaign may sell out earlier as we anticipate there will be strong demand.

Share price snapshot

The Webjet share price has risen nearly 9% in the past year, while it is more than 3% higher year to date.

For perspective, the benchmark ASX 200 index has lost more than 9% in a year.

Webjet has a market capitalisation of about $2 billion based on the current share price.

The post The Webjet share price is having its best day of July so far. What’s happening? appeared first on The Motley Fool Australia.

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Motley Fool contributor Monica O’Shea has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Webjet Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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