- Dividend reinstated
- Attractive valuation
On the Beach (OTB) lost over a tenth of its value after it published interim figures, as investors took fright at muted budget holiday growth of 1 per cent. Given that the shares jumped earlier in the week, however, the effect is largely neutral. Plus, growth is generally strong: the online beach holiday retailer achieved a record total transaction value (TTV) last year, and forecasts "another record summer" ahead as demand for its premium and long-haul travel options strengthen markedly.
The performance supported the reinstatement of the dividend. This was expected but still backs up the thesis that things are moving in the right direction for the company.