Hostelworld Share Discussion Threads

[john09] 26/3/2020 07:30

This will be back to 40p today

[john09] 26/3/2020 07:23

I understand completely. It’s the rally from the low i never understood. Fair value is about 40p

[bookbroker] 26/3/2020 07:22

Because the value lies in the assets, intangible principally, it is all about the brand, something the two above posts fail to see. Why do you think that companies with little income stream, little cash are able to sustain significant valuations, because the market looks beyond the facts. Case here, company ha plenty of cash to see this through, and the name Hostelworld carries more weight than all of the above. If you believe there is a world beyond whereby travel will re-commence then this will survive, but I can see the likes of AirBnB taking this out, but they must be stuffed too, maybe a reverse takeover!

[john09] 26/3/2020 07:17

Yep as i said , surprised this one had rallied from its low. Very odd

[nw99] 26/3/2020 07:14

Huge impact

[masurenguy] 24/3/2020 16:04

Once this CV19 crisis starts to abate there could be some strong M & A activity especially at bargain prices and HSW could already be on the radar of a number of travel and internet businesses.

[thomshrike] 24/3/2020 15:43

Interesting news yesterday about Airbnb allegedly being interested in acquiring distressed businesses.

[john09] 24/3/2020 09:47

Surprised this one is off its lows. Travel companies

[onjohn] 21/3/2020 20:59

See you in 2024

[beerboy2] 21/3/2020 19:36

Whilst this virus has trashed the share price at present, the majority of people using this site are young and being young generally worry a lot less than most, as soon as theres a sign of the virus reversing the bookings will start up and then ramp up to overdrive a few months later, we may be 8 months down the line from now but stay strong and hold it will work out well IMO.

[john09] 13/3/2020 21:53

There will be no revenues. Wake up

[thomshrike] 13/3/2020 21:38

Marketing costs are 40-45% of revenues. There is a lot of room for adjustment of their cost base during the tough times.

[bookbroker] 13/3/2020 20:43

That is sufficient to keep the business alive on life support, all but essential staff go, it is a good brand that will survive, maybe give them some time to tinker with the business model without scrutiny!

[john09] 13/3/2020 20:08

Yes they’ve got the cash. They’ll be no bookings . They’ll survive but its worth cash only imo

[pugugly] 13/3/2020 20:03

full tourist lockdown now likely (IMO) to apply to all of Europe and much of the rest of the back-packer world- Do HSW have enough cash to survive for say the next year on what may well be minimal revenue - No current debt a great advantage but what would be cost of mothballing for a number of months?

[john09] 13/3/2020 19:18

I sold at 65p today for a loss of 60 pence per share. Global Travel will be ruined for 6 months I can see this going to cash value or around 20p. Another RNS will be forthcoming, airports are empty and counr]tries are only just closing travel

[m_kerr] 13/3/2020 18:16

they have about £15m in net cash and no debt, which will see them through what could be a prolonged period of reduced bookings. problem is that any reduction in sales goes straight to the bottom line, so profits can easily be wiped out like this.

but equally, this will be affecting all rivals too. the valuation has dropped so far now that all the risk is more than priced in IMO.

[bookbroker] 05/3/2020 18:18

They have to batten down the hatches for the next few months, this is a platform for booking beds essentially, cash is king here, look at Safestay, what chance have they got except for the assets.

[onjohn] 05/3/2020 15:50

hxxps://ruinmyweek.com/trending/hungover-students-quarantined-for-coronavirus-flight/

[onjohn] 05/3/2020 12:25

Wonder if floor at 60p will hold

[thomshrike] 04/3/2020 19:31

That's only on a relatively small part of Italy.
Also many people that decide not to go to Italy will just go elsewhere where there are also hostels.
I lived in Singapore in 2003, during SARS. That year I went to Malaysia, Thailand, Vietnam, Laos, Indonesia, Hong Kong, Myanmar, Sri Lanka and the Maldives. True story, it was so cheap to travel!

[middlesboroughfc] 04/3/2020 19:10

Italy under lockdown: ‘My town is shocked and scared’
Residents of northern towns describe life under quarantine

cant see people wanting to revisit for a year

[elsa7878] 04/3/2020 18:58

Absolutely. I was due to be in Italy all of last week. I will go later on in the year instead. Whether the hostels (not my market) will have availability (due to the volume of re-booking) is another question...