Jet2: Holiday And Airline Buys Do Not Come Stronger Than This

Apr. 20, 2025 10:10 AM ETJet2 plc (DRTGF) Stock, , , , , 2 Comments
(7min)

Summary

  • Jet2 remains a strong buy due to its net cash position, fleet renewal with fuel-efficient Airbus A321neo planes, and robust EBITDA growth projections.
  • Despite inflationary pressures and macroeconomic risks, Jet2's holiday package business and fleet upgrades offer significant upside potential.
  • The company reported 15% revenue growth in H1 FY25, driven by increased seat capacity and passenger numbers, though operating expenses also rose.
  • Conservative price target is $25.53 (45% upside), with a bullish scenario at $29.34 (67% upside), making Jet2 extremely attractive for investors.
  • Looking for a helping hand in the market? Members of The Aerospace Forum get exclusive ideas and guidance to navigate any climate. Learn More »
Jet2holidays Boeing 737-800 airplane at Corfu Airport in Greece

Boarding1Now/iStock Editorial via Getty Images

In July 2023, I initiated coverage for Jet2 plc (OTCPK:DRTGF) and saw at least 50% upside for the name. I revisited the stock in September 2024 and assigned a price target of $21, which was almost reached. It

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This article was written by

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Dhierin-Perkash Bechai is an aerospace, defense and airline analyst.

Dhierin runs the investing group The Aerospace Forum, whose goal is to discover investment opportunities in the aerospace, defense and airline industry. With a background in aerospace engineering, he provides analysis of a complex industry with significant growth prospects, and offers context to developments as they occur, describing how they might affect investment theses. His investing ideas are driven by data informed analysis. The investing group also provides direct access to data analytics monitors. Learn more.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of BA, EADSF either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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