The Webjet Limited (ASX: WEB) share price underperformed last month despite no news from the company.
After ending June trading at $5.34, the S&P/ASX 200 Index (ASX: XJO) travel giant closed last month at $5.15 – representing a 3.56% fall.
For comparison, the ASX 200 lifted 5.7% in July while the company's home sector, the S&P/ASX 200 Consumer Discretionary Index (ASX: XDJ), lifted 8.2%.
So, what might have weighed on the online travel agency's shares last month? Let's take a look.
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What drove the Webjet share price in July?
While there wasn't any price-sensitive news from Webjet to explain its share price's poor performance in July, there were plenty of happenings impacting the travel sector.
Firstly, Australia scrapped COVID-19 vaccine mandates for international arrivals. The news coincided with an intensely busy period for the nation's airports. Some – like Brisbane Airport – even experienced their busiest days since the pandemic's onset.
However, cancellations and delays plagued the industry as the spread of COVID-19 and severe weather took their toll. On top of that, Australia faced calls to close its border with Bali to avoid an outbreak of foot-and-mouth disease.
Finally, both good and bad results from international airlines might have impacted ASX 200 travel stocks last month.
The Webjet share price's slump also came despite the stock's falling short interest.
After remaining a staple of The Motley Fool Australia's weekly rundown of the ASX's most shorted shares for many months, the stock fell off the list in mid-July.
Only 6.84% of Webjet's shares were in the hands of short sellers as of the most recent data. That's down from 8.02% at the end of June.
Looking to the future, the market isn't expecting to hear any news from Webjet until the end of the month. Then, the company is set to hold its annual general meeting.
After that, the market might turn its attention to the company's half year results, expected to be released in November.
