It has been a great week for the Webjet (ASX:WEB) share price

Webjet shares have had a solid week, but it didn't actually report anything.

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The Webjet Limited (ASX: WEB) share price has climbed around 15% over the last week, making it a good week for shareholders.

Investors may have been looking to other results and commentary in the ASX travel sector.

There have been two businesses that have reported their result recently.

Flight Centre Travel Group Ltd (ASX: FLT)

Flight Centre is a reasonably similar business to Webjet as a travel agent business, though the business model and geographic and sector exposures are a bit different. It reported its FY21 result this week.

June 2021 was a record for revenue despite lockdowns and heavy restrictions. It said that corporate total transaction volume (TTV) was tracking at 40% of pre-COVID levels globally by the year end. There had been a rapid leisure and corporate recovery in the US late in the fourth quarter.

Flight Centre pointed to strong and immediate rebounds after travel restrictions are lifted.

Whilst exposed to vaccination efforts and borders reopening, Flight Centre said that it's targeting a return to profitability in both the corporate and leisure markets during FY22.

The ASX travel share also said that the resumption of international travel could be an earnings catalyst.

Qantas Airways Limited (ASX: QAN)

Qantas also shared some positive comments about its result and prospects, which could also have an impact on the Webjet share price and profit.

The airline said that 95% of its domestic flying was cash positive in FY21. It said that demand proved resilient throughout the year, with quick uptake in bookings when domestic borders reopened. Qantas has announced 46 new domestic routes since the start of the pandemic, many to regional destinations, in response to a boom in leisure travel driven largely by the closure of international borders.

It also said that corporate travel demand has recovered to around 75% of pre-COVID levels in May.

Qantas also said that when Australia reaches those critical vaccination targets later this year and the likelihood of future lockdowns and border closures reduces, it expects to see a surge in domestic travel demand and a gradual return of international travel.

Once Australia's borders start to reopen, group international capacity is expected to be between 30% to 40% in the third quarter of FY22 and 50% to 70% in the fourth quarter, compared to pre-COVID levels on available seat kilometres.

Destinations with high vaccination rates are the initial focus, including North America, the UK, Singapore and Japan. Travel to Fiji and New Zealand is also expected.

Webjet share price valuation

A few months ago, Webjet reported its FY21 result. It said that its online travel agency (OTA) profitability continues to improve (it made an operating profit in the nine months to 31 March 2021) and WebBeds is committed to emerging from COVID as the number one global business to business provider.

UBS currently rates Webjet as a buy with a price target of $5.90.

According to the broker, the Webjet share price is valued at 17x FY23's estimated earnings.

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Motley Fool contributor Tristan Harrison 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 Webjet Ltd. The Motley Fool Australia has recommended Flight Centre Travel Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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