easyJet - Downgrading to ‘Neutral’

Davy Research
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While we don’t quite see easyJet as the “growth story” it wants to be, it remains operationally geared to an improvement in demand conditions. Further action is required on its cost base however and bookings must arrive in Q1 2021 to maintain stability in its liquidity position. Having run 50% since our upgrade to ‘Outperform’, we believe the immediate upside has been achieved and revert to a ‘Neutral’ rating with a price target of £8.0.