The latest Investing Matters Podcast episode featuring financial educator and author Jared Dillian has been released. Listen here.
What chance of a takeover?
Where do we think the price will go to ?
Was an article I found. Wouldn't let me share as a link sorry
Commenting on European Airlines’ Q3 results, Conroy Gaynor, BI Industry Analyst for Airlines at Bloomberg Intelligence said: “European airlines’ Q3 results could show that pent-up demand has a bit further to run after positive updates from full-service (IAG and Lufthansa) and discount (EasyJet and Ryanair) carriers.
Yet management teams must show preparedness for mounting costs and the squeeze on consumer budgets, with our scenario analysis suggesting an abrupt hit to leisure demand in 2023. The spot price of jet fuel has softened since June but is still up about 70% vs. the 2019 average, so it remains a threat to profitability as more hedges expire. Network carriers rely heavily on corporate and transatlantic travel, potentially providing some protection against a strong dollar. Budget airlines continue to capture market share and increase competition within short haul.”
Next Year Should Drive More of Airline Conversation
Current-year earnings expectations for Europe’s three key legacy airlines — IAG, Air France-KLM and Lufthansa Group — have been resilient since Q2, yet the 2023 outlooks remain uncertain amid deteriorating macroeconomic factors. The expiration of fuel hedges and rising wages may be hard to fully offset with higher yields as leisure customers cut discretionary spending, so a recovery in corporate travel is key for profitability. Finnair and SAS are among the worst hit by Russian air space closures and need restructuring, while Turkish Airlines is benefiting from more passengers, lira-denominated costs and cargo.
IAG is overcoming capacity cuts using higher yields, with transatlantic operations ramping up and pent-up demand likely enabling conditions to deliver higher sales. While partially hedged this year, rising fuel prices on top of airport fees could mean further fare hikes and uncertainty to the more price-sensitive passenger segments, albeit with no weakness in bookings indicated yet for 4Q. The extent of corporate travel returning on certain routes is key for margin as the seasonal dip in leisure travel approaches. Media reports suggest IAG are in talks to buy a remaining 80% stake in Spanish carrier Air Europa, which along with capital spending requirements would put further pressure on net debt. If no equity is raised, net debt could remain above that of legacy peers Air France-KLM and Lufthansa.
Discount Airlines Face Volatility, Rising Rates
The war in Ukraine, a resulting energy crisis, dollar strength and rising interest rates threaten to jeopardize European discount airlines’ revenue and costs, with many unable to offset the effects with activity from outside the region. Ryanair’s profit looks the most resilient, while Wizz Air’s fiscal 2023(ending March) margin expectations have cratered amid disruptions and limited hedging, particularly for jet fuel. EasyJet’s recent update suggests cancellation and delay costs are under better control, and initial bookings for the quarter ending December look r
Jtan I thought the same myself.
Gone from 100+ posts on a daily basis to the odd few every day.
Strange how a few other "usernames" have also disappeared?
Hope all is well with everyone.
Moon spot on that.
Priced a week away next xmas for 2 people.
Easyjet holidays £1080 same holiday with jet2 £1660 (give or take 30mins flight time difference)
Those on a tight budget will obviously go for the lower price and have £580 spending money.
Easyjet holidays is a great addition to the brand.
Stilla
Yeah completely agree with your post.
This type of general chat was the reason I joined.
Never really happened though, turned into a forum where most arguing and bickering.
The travel industry has been hit hard, but like you've stated most people want a break whether it's a week long family holiday or a weekend break.Easyjet cover both these.
This is only my opinion and everyone is entitled to their own.
Flowkey41.
Best not engaging with him at all.
I used to "challenge" him when he lied about me.
He went very quiet when this happened.
My original post of "I don't see why the sp cant go to £5.50 after q3 results" seemed to be an open invitation for him to unload a lot of abuse/lies about what I'd said.
Avocet123 he will just create another username.
Hopefully this share goes in the right direction from now.
And most on here can have good debates between one another.
Stillanovice.
Yeah most on here know him.
I came away because it was becoming tedious day in day out.
Never really any worthwhile chat, just abuse of him when people had a different opinion to his.
How are we all ?
Nice to see this share making a bit of a recovery.
Not been on in here for a while.
Missed anything?
"I challenge you to a duel"
Created that chat thread weeks ago. I was laughing at the guys wanting to meet up at a service station for a......as I put it, a tear up.
Actually wanting to meet up for a fight over how they thought a share price would go !!!!!!
From that, old turd has got it into his head that I've challenged him (he couldn't work out that I was actually taking the pi** out of them both for being so ridiculous :-).
I've come across some oddball's in my time but this guy takes not only takes the biscuit he takes the barrel it was in too !
He's probably been giving cheek to his mum, so she's grounded him and taken away his internet access for a few days until he's learned his lesson.
ELSteve perfectly summed up pal.
Blokes an absolute loon.
Doesn't hold these shares but comments EVERY day on the forum.
But don't forget he's successfully called this share down from £11 :-)
I'm looking stupid !
I think most on here KNOW who the stupid one is todd.
All that money you lost on this share could of paid for some anger management lessons todd
Jtan.
For a guy who has no shares in this company he certainly has a lot of rubbish to spout daily.
Calling people out,successfully calling the sp down , and the endless name calling when people go against his opinion.
He started with me because (my exact words) I stated that "I don't think £5.50 is an unrealistic price after q3 results"
From that statement he said I guaranteed the sp would be met !
Strange individual.
Back with the name calling again eh todd.
you really are embarrassing.
When you 1st started calling me "beyondhelp" I knew we were dealing with some form of child.
Take a break from this forum.
Honestly you need to as you are making yourself look a complete fool with your lies & name calling.
Mrlong.
Most on here are good eggs.
Turd however.............I think you'll make your own mind up about him.
Claims to have successfully called this share down from £11.
His 1st post the share price was £3.72 it's now £4.22.
I've no A level in maths but even I know £4.22 is more than £3.72 lol
Turd.
What a fool you're making yourself look.
Getting so wound up over a share you don't even own !
But EVERYONE on here knows you used to own this share once upon a time and this share has had you over BIG TIME.
Stop lying turd.
Successfully called it down from £11 lol
Its time to knock all these lies on the head my friend.
Or is that's what is wrong with you? A severe bang to the head causing you to forget what I actually post so you just make things up ?