Easyjet Share Discussion Threads

[danvandan] 03/6/2022 11:40

I get the irony, but just to make it clear, there are scammers at work on here, trying to get people to click onto dodgy links and software that will screw up their lives. Stay clear of jessicafrench and any new profile set up just days ago.

[dh1706] 03/6/2022 08:53

Blimey that poster re stocks and crypto goes under many names and seems to be making shed loads of money - why they are wasting their time posting I do not know or do I?

[ben gibbons] 02/6/2022 22:16

I'll take a pass thanks :-)

[ben gibbons] 02/6/2022 17:44

Jason Pugh may be eating more mustard sandwiches at this rate ;-)

[danvandan] 01/6/2022 13:08

The failures around this summer's planning and operational delivery haven't hit the share price yet. The market hasn't yet recognised what it means. This isn't like the usual summer traffic chaos. Fundamental issues are hitting easyjet - staff shortages that will take a long time to fill, especially for pilots. All airlines need them and easyjet will have to pay increased rates to get them. Also, it will take time to fill the gaps, probably the rest of the year. So easyjet won't be able to fly at 2019 capacity, even if it wants to.

The other thing is the bad publicity. The sheer numbers of people involved will make this a long-running and bitter dislike for airline management. Politicians are jumping onboard, saying that airlines took covid financial support but didn't honour their side of the bargain by keeping staff on. We're only just seeing the start of it.

Compensation claims will snowball - some will end up in court, sponsored by consumer groups. This bad publicity will drag easyjet and TUI's names through the mud for the rest of the year. So far, Ryanair seems to be escaping the drubbing in the press.

Wage inflation for airline staff and groundhandling staff will skyrocket now. They've all seen how valuable their labour is. The unions are becoming vocal and will help staff drive a hard bargain with airline bosses. The triple costs of wage inflation, compensation claims, and rising fuel will meet with the slowdown in consumer spending and completely ruin Q4 earnings for easyjet - that's my prediction. All of that will translate to a sub £3 share price by November.

[windingroad] 01/6/2022 11:53

Anyone thinking that easyjet's future business will be unaffected by the relentless torrent of stories like this one below from BBC News is being hopelessly naïve.


Holidaymakers are continuing to face disruption at airports, with more than 150 flights cancelled on Wednesday.

Airlines including EasyJet and Tui were among those to make cancellations, although most customers will have been given advance notice.

There have also been long queues at terminals ahead of the Jubilee weekend.

The transport secretary said airlines and operators, which are struggling with staff shortages, had "seriously oversold flights and holidays".

EasyJet has cancelled at least 31 flights at Gatwick, to destinations including Bologna, Barcelona, Prague, Krakow and Edinburgh.

Last week the airline said around 24 flights a day would be cancelled from the airport between 28 May and 6 June.

What are my rights if my flight is cancelled?
Why are airports cancelling flights?
Family 'seething' after 17-hour airport delay

[danvandan] 01/6/2022 11:36

This apparent surge will be quickly over because of the negative publicity and the huge squeeze on consumer spending which is building very quickly now. The compensation claims will put a big dent in the profits for Q3. Also, the pound is on the floor and likely to go even lower as we slide into stagflation, further discouraging foreign travel.

I'd like the optimists to tell me this; will the profits for Q3 exceed the half billion pound loss so far this year for Q1 & Q2? Personally, I think EZJ will be lucky to even make a profit in Q3.

One more thing; market cap for this business is almost £4bn. What kind of profits and price/earnings should a £4bn market cap transport company make? I would say at least £200m. But EZJ will not make a profit this year, and next year we will be in recession, so I reckon it might not even get to that level of profitability in 2023. Fundamentally, EZJ is already overvalued. When investors get their heads around this, the share price will drop fairly steeply.

[fuji99] 01/6/2022 10:09

Cumnor: Agree as the bottleneck is caused by the desire to fly by too many. For 2 years everyone was glued in their houses by Covid and now everyone wants to catch up in visiting relatives and dream destinations. IMO this is the time to load up the likes of EZJ as the reward will be great from now on and of course as the big first real summer - Covid free - approaches...

[diku] 01/6/2022 09:29

Reading post 15848 suggest 2023 is going to be a huge hangover after the jubilee party 2022?...

[cumnor] 01/6/2022 09:23

Buying here-while airport chaos is a negative for all airlines what it shows is huge pent up desire and demand for travel is returning quicker than anticipated-prices and margins are rising rapidly-which will quickly transform airline fortunes once the present publicity and furore settles.

[time for common sense] 01/6/2022 07:45

SCIENTISTS PLAN TO FEED INSECTS TO PRIMARY SCHOOLS / HUGO TALKShttps://hugotalks.com/2022/05/31/scientists-plan-to-feed-insects-to-primary-schools-hugo-talks/JUBILEE SCANDAL / HUGO TALKShttps://hugotalks.com/2022/05/30/jubilee-scandal-hugo-talks/

[danvandan] 31/5/2022 18:20

Solving the pilot shortage will not be easy. It takes years to gain the training and experience needed to fly an airliner and all of the other airlines are recruiting too. I don't see a quick solution here, other than keeping more of the fleet on the ground. With cancellations and compensation, I reckon this will turn into yet another loss-making quarter.

This will be the third year of big losses. By the autumn, the surge will be over and everyone will be worried about paying the mortgage and energy bills and feeding their families. Q4 will be another big loss and one with a long shadow into next year.

[danvandan] 31/5/2022 18:11

Govt minister blaming airline management.


There will be much finger-pointing next between airports and airlines, but it looks as though both are to blame and that aircrews are scheduled so tightly that they don't have sufficient legal hours to accommodate late running.

[thornintheside] 31/5/2022 17:59

Looking grim for the shareprice. Back below £5 soon, and maybe even lower.

[diku] 31/5/2022 09:55

Only UK airlines/airports have problems?...

[royaloak] 31/5/2022 09:14

Awful story on Radio 5 around 8.15 am, awful treatment of passengers missing their holiday, booked hotel etc themselves which EZJ should be responsible for, as yet no response from them. All the airlines will have similar problems in the months ahead it looks.

[albert3591] 31/5/2022 09:04

Another poor summer for tourism abroad,should these airport delays keep happening.Anyone who has not booked a holiday may well be having second thoughts,and who can blame them.It’s down to airport staffing problems and tour companies can’t do a thing about it sadly.

[greco600] 30/5/2022 08:54

Its not just ezj, after not making enough money during covid, of course they now all want to sell upto capacity.I think if you have been booking flights during this half term or summer holidays, you have to expect uncertainty, its all over the news.

[albert3591] 30/5/2022 08:10

EZJ won’t worry,they have plenty more mugs who will fly with them.

[r9505571] 29/5/2022 20:29

A mate who is away with the wife and two kids just had flight cancelled. He's in the Gatwick Hoilday Inn and he booked City Jet to get home 2 Moro at £700 plus the hotel at £180. A very expensive weekend. EasyJet are gonna have some serious refunds to process!

[phillis] 29/5/2022 14:57

You used to ramp MCRO as well Monty

[montyhedge] 29/5/2022 11:17

They will fly with BA who seem to have missed the chaos.

[snookered4] 28/5/2022 08:49

People will vote with their feet like they have done with the P&O debacle. I know firms that regularly use EasyJet for business travel who will never use them again! Downward spiral - will they survive?? They will need to get their house in order pretty quickly!