easyJet: Credit Suisse still a buyer

(CercleFinance.com) - Credit Suisse reinstates its "outperform" rating on easyJet shares, along with its target price of 1,200 pence, while raising its estimate of the low-cost airline's net debt at the end of September 2021 to 2.
1 billion pounds, from 1.8 billion pounds previously.

While analysts says that "The market is concerned that persistent travel restrictions will drive easyJet and IAG to raise equity later this year," the broker does not think capital increases are likely in 2021 for either airline.

"We consider liquidity buffers provide sufficient cushion/flexibility to manage through the winter and positions each carrier to take advantage of a likely strong summer 2022," they say.

In mid-afternoon trading on Tuesday IAG shares are down 3.5%, while eajyJet shares are down almost 2%.



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