Ryanair: Oddo BHF raises target price - a good summer ahead
(CercleFinance.com) - On Monday an analyst at Oddo BHF announced that he is still a buyer of Ryanair shares, in anticipation of what he says is a favourable pricing environment that will continue over the summer.
The analyst continues to prefer Ryanair amongst low-cost airline, given a more credible track record in terms of cost control, a solid balance sheet and strong FCF generation (FCF yield of 7.5% on average over the next 3 years). The share is also trading at a 12m sliding P/E of 12.7x, against 14.2x for easyJet, he explains.
The broker has therefore increased its target from 15.50 euros to 18.50 euros, which gives it upside potential of +15%.
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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.
The analyst continues to prefer Ryanair amongst low-cost airline, given a more credible track record in terms of cost control, a solid balance sheet and strong FCF generation (FCF yield of 7.5% on average over the next 3 years). The share is also trading at a 12m sliding P/E of 12.7x, against 14.2x for easyJet, he explains.
The broker has therefore increased its target from 15.50 euros to 18.50 euros, which gives it upside potential of +15%.
Copyright (c) 2020 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.