Easyjet Takeover Rumours (EZJ)

I don't think that a takeover is the only way we'll see £10. There are growing pains in a rerate. This is driven by increasing profit and dividend payments. The sector discount is nothing new. It's how I was a buyer at £3.60 without it I would have half as many. The market will do it's thing and it's almost pointless watching. Up or down it doesn't change the fact that this business is recovering strongly.

I don’t think it’s not understanding it’s just the UK market. Not long ago NatWest declared 6B profits yet was valued at 20B. Madness. Granted they’ve moved up a lot since but are still bonkers cheap. Cases like this all over the UK markets. The only way we get decent valuations is when a predator comes in. A takeover is the only way Easy will see £10 any time soon. Plus it’s an airline and they rarely see decent valuations given the high risk sector. 5K extra from the chancellor for a Brit ISA yesterday. Lol. That will send the UK markets soaring, not. Basket case UK.

Yeh the market takes time to catch up sometimes. Right now. PE 12 ish is hard to argue much against. Seemingly the company is targeting 1B pre tax profits for future years. An impressive figure (outside of giants like IAG/Ryanair etc). I can’t see a billion happening this year but a good step towards it (say half way there from the 450 this year) will hopefully provide another step up for the SP. I wonder if the faint takeover rumours could return this year. Prob more chance of a secondary listing (or leaving the useless UK and listing elsewhere) mind.