Insights

Why the Qantas (ASX:QAN) share price is rallying 3% on Thursday

Things are looking up for the travel industry…
The post Why the Qantas (ASX:QAN) share price is rallying 3% on Thursday appeared first on The Motley Fool Australia. –

The Qantas Airways Limited (ASX: QAN) share price is looking bullish in September, up 11% to 10-month highs of $5.68. At the time of writing, it is up 3.66% on the day to $5.67.

This follows an optimistic FY21 full-year results announcement and news the United States might reopen its international borders as soon as November.

Good news for travellers

The United States will reopen its borders in November to fully vaccinated travellers from 33 countries, the White House reported on Monday.

According to Reuters, this marks a sudden shift from the Biden administration which last week said that “it was not the right time to lift any restrictions amid rising COVID-19 cases”.

The United States will welcome air travellers from 26 European countries, as well as the UK, Ireland, China, India, South Africa, Iran, and Brazil.

The news has sparked a jump for both the Qantas share price and the broader ASX-listed travel sector this week.

ASX-travel shares rejoice

ASX-travel shares have bounced higher this week even after a sharp selloff for the broader S&P/ASX 200 Index (ASX: XJO) on Monday.

Airlines including Qantas, Air New Zealand Limited (ASX: AIZ) and Regional Express Holdings Ltd (ASX: REX) are up a respective 2.3%, 2.3% and 3.7% this week.

Travel management companies like Corporate Travel Management Ltd (ASX: CTD) and Webjet Limited (ASX: WEB) have rebounded strongly after Monday’s correction, up 9.1% and 3.3% respectively.

Qantas expects international travel to pick up in 1H21

Qantas’ FY21 full-year results expected international flying in 1H22 to be at approximately 15 per cent of pre-COVID levels.

The company said once Australia’s borders begin to reopen, the group’s international capacity is expected to pick up by 30 to 40 per cent by Q3 and 50 to 70 per cent by Q4, compared to pre-COVID levels.

Qantas share price tests 10-month high

The Qantas share price has been had highs of $5.80 and lows of $4 since November last year.

Qantas is trading towards the upper level, currently fetching $5.67.

The post Why the Qantas (ASX:QAN) share price is rallying 3% on Thursday appeared first on The Motley Fool Australia.

Should you invest $1,000 in Qantas right now?

Before you consider Qantas, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Qantas wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of August 16th 2021

More reading

How has the Qantas (ASX:QAN) share price performed since reporting results?
Qantas (ASX: QAN) share price higher as US plans to open air travel
Qantas (ASX:QAN) share price gains amid $20 flights resting on domestic reopening
How have these 3 ASX 200 travel shares performed since reporting results?

Is it too late to buy Qantas (ASX:QAN) and other ASX travel shares?

Motley Fool contributor Kerry Sun 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 owns shares of and has recommended Corporate Travel Management Limited and Webjet Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!