Canaccord Genuity lowers On The Beach target price.


Canaccord Genuity cut its target price on online package holiday business On the Beach from 293p to 240p on Wednesday after the firm announced its interim results for the six months ended 31 March, which saw a broad impact from the ongoing conflict in the Middle East.

  • On The Beach Group
  • 13 May 2026 13:28:32
On The Beach Group

Source: Sharecast

Canaccord Genuity noted that while H1 booking volumes were "positive and ahead of the market", revenues were down 12% year-on-year, with operational deleveraging resulting in adjusted underlying earnings and adjusted pre-tax profits declining by 50% and 72%, respectively.

The Canadian bank also said On the Beach's outlook "did show some signs of stabilisation", with bookings growth into H2, and noted that it had reinstated FY guidance, expecting to deliver pre-tax profits in the range of £18 to £25m.

"We have rebased our estimates to below the mid-point of this range for FY26. There are some reasons for caution given the overall lack of visibility around travel trends and their potential to impact any H2 recovery, but we also note strong progress on OTB's medium‑term targets," said Canaccord Genuity, which has a 'buy' rating on the stock.

Canaccord added that On the Beach's shares had declined roughly 25% since 1 March, through a combination of both estimate revision and de-rating, and that it now trades at 7.3x FY27 earnings per share estimate.

Reporting by Iain Gilbert at Sharecast.com


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