Helloworld to fly into the sky
In our view, travel franchise business Helloworld Limited (ASX: HLO) provided one of the most positive results of the recent reporting season, announcing earnings before interest, tax and depreciation of $25.3 million. An unloved stock over the last few years, the company has been a perennial underachiever with declining earnings. We believe in the ability of the new CEO Andrew Burnes to turn this business around by stabilising the retail network, renegotiating more favourable commission and override deals and executing targeted cost savings. Shares in HLO closed at $4.90 today, up 45% since announcing its results on 25 August 2016. We bought shares in June this year at $2.80 as a research-driven investment. We hold shares in WAM Capital and WAM Research.
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Wilson Asset Management has a track record of making a difference for shareholders and the community for more than 20 years. As the investment manager for eight leading LICs – WAM Capital (ASX: WAM), WAM Leaders (ASX: WLE), WAM Global (ASX: WGB),...