- Wizz Air Holdings
- 17 November 2025 15:33:57
Source: Sharecast
The bank said it was changing its EBITDA(R) forecasts by -1%/ +5%/ -1.5% in FY26E/ FY27E/ FY28E.
"Our forecasts are below consensus," RBC said. "We cut both revenue per available seat kilometre and also fuel cost forecasts in FY26E-FY27E, and model lower capacity growth from FY28E."
The bank said its price target is a function of FY28E EV/ EBIT, a year of around 13 grounded aircraft on average, on its estimates, down from 35 in FY26E.
"As a result, we look beyond current suppressed margins in FY26E-FY27E, but don't give Wizz Air full credit for a potential further margin recovery from FY29E," it said.
"We model gradual margin improvement over FY26E-FY30E although with reduced sale-and-leaseback gains (as aircraft deliveries are increasingly taken into ownership) one factor limiting the pace back improvement."
The bank noted that Wizz plans a capital markets day, which it said will be an opportunity to detail a route to higher earnings, although RBC would expect the market to view delivery on longer term ambitions as a "show me story" given some previous misses/downgrades.
RBC maintained its ‘sector perform’ rating on the stock.
Berenberg lifted its price target on Premier Foods to 280p from 270p and reiterated its ‘buy’ rating as it said management exhibited "strong strategic delivery" in H1 2026 that contrasts with the company’s valuation de-rating over the last six months.
It noted that management reaffirmed full-year trading profit expectations and upgraded full-year adjusted profit before tax expectations at the first-half results on 13 November.
"This follows a Q1 trading update in which full-year expectations were reaffirmed," Berenberg said.
"Despite this, the company has derated 3.0x on a 12-month forward price-to-earnings basis in the last six months."
Berenberg said it continues to expect that the initiatives that progressed further in H1 will drive a re-rating as the market increasingly recognises the company as a branded food proposition, "the likes of which are valued at a significant premium to Premier Foods".