easyJet: Oddo raises target price
(CercleFinance.com) - Oddo believes that easyJet's strong exposure to the UK, coupled with a less competitive landscape, is now a real asset for the airline.
It says that this will enable it to benefit more quickly from the recovery in traffic expected from May onwards in this market.
Oddo has confirmed its Outperform rating on the stock, while increasing its corresponding target price to 1230p (from 940p).
Over the summer, analysts expect a gradual recovery in supply, with a restoration of 40% of 2019 capacity over April-June (driven by the UK), before reaching 80% over July/September, the broker says.
The analyst believes that this reduced competitive intensity could continue beyond the 2021 summer season (12-18 months), saying that easyJet will have a stronger pricing power post-COVID.
The market seems to think otherwise - at least today - the share is down almost 4% in early trading.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
It says that this will enable it to benefit more quickly from the recovery in traffic expected from May onwards in this market.
Oddo has confirmed its Outperform rating on the stock, while increasing its corresponding target price to 1230p (from 940p).
Over the summer, analysts expect a gradual recovery in supply, with a restoration of 40% of 2019 capacity over April-June (driven by the UK), before reaching 80% over July/September, the broker says.
The analyst believes that this reduced competitive intensity could continue beyond the 2021 summer season (12-18 months), saying that easyJet will have a stronger pricing power post-COVID.
The market seems to think otherwise - at least today - the share is down almost 4% in early trading.
Copyright (c) 2021 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.