Easyjet Share Discussion Threads

[danvandan] 22/9/2022 16:02

Recession is rushing towards us, consumers are tightening belts and easyjet's future profits are smaller and being pushed further into the future.

Current market cap is £2.4m. If the business makes half what it made in 2019, a record year for flying, in the next financial year, then that will be about £180m. On a forward p/e of say 12 (given the demonstrably high risk nature of easyjet's business) I reckon a market cap of £2.2bn might be fair (shareprice of £2.80). That's assuming there isn't a complete collapse in consumer sentiment, because if that happens, all bets are off and the share price drop could well overshoot below £2.

The cost of compensation has been significant (wiping out Q3 profits) and the reputational damage will reduce future bookings. Q4 will show the level of damage to consumer confidence with regard to easyjet's bookings. Meanwhile, the drop in consumer spending will massively hit EZJ's customer base.

The EZJ share price has a lot further to fall imo.

[danvandan] 22/9/2022 15:53

So far EJZ's shares are performing exactly as I predicted earlier this summer, heading down to below £3. I'll repost my key message as an antidote to the rampers here, but basically, this share will be valued on fundamentals from here on, and the fundamentals look very bad as we tip into recession.

[commander77] 22/9/2022 15:53

That would be the airport not easyjet.

[jason_scrap] 22/9/2022 15:51

That's a long signal if I ever saw one lol

[blueball] 22/9/2022 15:49

https://www.britishbulls.com/SignalPage.aspx?lang=en&Ticker=EZJ.L

Stay short.

[montyhedge] 22/9/2022 14:02

I would never travel Easy jet cattle class, even if free.

[diku] 22/9/2022 13:59

monty...tell your friend fly BA...you like BA first class...

[mike24] 22/9/2022 13:38

One-way flights from Russia selling out on
sky rocketing prices, re NYT

[crazi] 22/9/2022 13:01

Latest Short position changes... small reductions

Sandbar Asset Management LLP

1.96%

↓ -0.06%

Tue September 20, 2022

Systematica Investments Limited

0.69%

↓ -0.02%

Tue September 20, 2022

[oakville] 22/9/2022 11:58

Same here....Bought more and averaged down to £3.61 holding £9k worth.

[crazi] 22/9/2022 11:52

11 year low... crazy stuff. But great opportunities. I've bought another £20k this morning. Not buying more so will just hold now with a 2 year target of 800 to 1000.

Good luck all...

[panshanger1] 22/9/2022 11:38

10 year low

[pander45] 22/9/2022 11:36

Less and less disposable income equals trouble here.

[blueball] 22/9/2022 09:57

I make it a buy 250p.

[crazi] 21/9/2022 16:32

Covid peak Summer 2020 it fell to about 470.

So current price is ridiculous really as airlines are doing ok. Airports need to sort out staffing then I believe airline shares will "fly"...

[blackhorse23] 21/9/2022 15:38

dropping below 280p

[davethehorse] 21/9/2022 14:22

Due a decent bounce pretty soon imo

[oakville] 21/9/2022 14:13

Looka weak at the moment. Pinched a few 5 minutes ago.

[blueball] 21/9/2022 14:05

Going down today.

[crazi] 21/9/2022 13:12

City A.M.
@CityAM
IAG boss guarantees all group airlines will return to profit this year hTTp://dlvr.it/SYkXgh

Good sign of airlines doing well enough... buy and hold imho

[blackhorse23] 14/9/2022 22:30

https://www.google.com/amp/s/capital.com/amp/cury-currys-share-price-double

[bossonmad] 14/9/2022 15:49

That up or down

[blueball] 14/9/2022 13:37

This is going one way.

[botuney9] 14/9/2022 08:05

Well I'm in at 345p...