Questor share tip: a strong recovery from the pandemic has attracted the attention of some of the world’s top fund managers
Following the smart money, by tracking the investment decisions of the world’s best-performing fund managers, has led Questor to a stock that this column sold three years ago but is now trading in a dramatically improved environment.
When we sold Jet2 in April 2020 – although we retained the shares in our Inheritance Tax Portfolio – we did so on the basis that selling an airline at a 28pc profit when the pandemic had effectively wiped out its revenues was an opportunity too good to pass up.
But much has changed since then. Since its planes have returned to the skies, Jet2’s recovery has been impressive. As we reported in an update on our IHT portfolio last month, revenues for its most recent financial year hit a new record, 40pc higher than their pre-pandemic levels, while adjusted pre-tax profits were 48pc higher.
This recovery has attracted some of the world’s best investors to its shares. Jet2 is one of the most popular smaller British companies among the top-performing 3pc of equity fund managers tracked by the financial publisher Citywire. Seven of these investors hold the shares and all first bought as Jet2’s pandemic recovery took shape. That results in a top AAA rating for the stock from Citywire Elite Companies, which rates companies on the basis of their backing by the best-performing fund managers.