easyJet plc

XTRA:EJT Stock Report

Market Cap: €4.5b

easyJet Valuation

Is EJT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of EJT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
€1.89
Fair Value
237.1% overvalued intrinsic discount
21
Number of Analysts

Below Fair Value: EJT (€6.37) is trading above our estimate of fair value (€1.89)

Significantly Below Fair Value: EJT is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for EJT?

Key metric: As EJT is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for EJT. This is calculated by dividing EJT's market cap by their current earnings.
What is EJT's PE Ratio?
PE Ratio8.8x
EarningsUK£452.00m
Market CapUK£3.79b

Price to Earnings Ratio vs Peers

How does EJT's PE Ratio compare to its peers?

The above table shows the PE ratio for EJT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.2x
LHA Deutsche Lufthansa
7x12.3%€7.9b
FRA Fraport
11.5x1.1%€5.3b
SIX2 Sixt
15.8x18.9%€3.4b
AC Air Canada
2.3x-30.5%CA$6.0b
EJT easyJet
8.8x9.3%€4.0b

Price-To-Earnings vs Peers: EJT is good value based on its Price-To-Earnings Ratio (8.8x) compared to the peer average (9.2x).

Price to Earnings Ratio vs Industry

How does EJT's PE Ratio compare vs other companies in the Global Airlines Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
EJT 8.8xIndustry Avg. 9.5xNo. of Companies7PE0612182430+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: EJT is good value based on its Price-To-Earnings Ratio (8.8x) compared to the Global Airlines industry average (9.5x).

Price to Earnings Ratio vs Fair Ratio

What is EJT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

EJT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio8.8x
Fair PE Ratio13.8x

Price-To-Earnings vs Fair Ratio: EJT is good value based on its Price-To-Earnings Ratio (8.8x) compared to the estimated Fair Price-To-Earnings Ratio (13.8x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst EJT forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€6.37
€8.45
+32.6%
14.2%€10.82€6.85n/a21
Jan ’26€6.74
€8.50
+26.0%
15.8%€10.91€5.82n/a21
Dec ’25€6.65
€8.09
+21.7%
14.4%€10.24€5.78n/a21
Nov ’25€6.17
€7.98
+29.3%
13.9%€10.22€5.77n/a21
Oct ’25€6.01
€7.85
+30.6%
14.8%€10.20€5.76n/a20
Sep ’25€5.65
€7.66
+35.6%
15.2%€9.98€5.63n/a19
Aug ’25€5.14
€7.84
+52.6%
13.7%€10.09€6.23n/a19
Jul ’25€5.31
€8.31
+56.6%
10.8%€10.04€6.20n/a19
Jun ’25€5.43
€8.31
+52.9%
10.9%€10.00€6.17n/a19
May ’25€6.36
€8.28
+30.3%
10.8%€9.92€6.12n/a19
Apr ’25€6.64
€8.02
+20.8%
12.9%€9.94€5.56n/a18
Mar ’25€6.48
€7.97
+22.9%
12.7%€9.94€5.55n/a18
Feb ’25€6.52
€7.78
+19.3%
16.6%€10.26€5.28€6.2019
Jan ’25€5.72
€7.24
+26.5%
21.1%€10.09€5.19€6.7419
Dec ’24€5.43
€7.24
+33.3%
21.4%€10.23€5.26€6.6519
Nov ’24€4.23
€7.10
+67.9%
22.1%€10.05€4.77€6.1719
Oct ’24€4.95
€7.53
+51.9%
19.4%€10.16€5.22€6.0119
Sep ’24€4.98
€7.56
+51.6%
19.0%€10.14€5.21€5.6519
Aug ’24€5.24
€7.56
+44.1%
19.0%€10.14€5.21€5.1419
Jul ’24€5.65
€7.38
+30.6%
19.2%€10.18€5.24€5.3119
Jun ’24€5.51
€7.24
+31.3%
19.5%€10.06€4.94€5.4318
May ’24€5.65
€6.73
+19.2%
16.1%€9.32€4.86€6.3616
Apr ’24€5.91
€5.85
-1.0%
21.2%€7.85€3.41€6.6416
Mar ’24€5.58
€5.70
+2.1%
24.3%€7.84€3.07€6.4816
Feb ’24€5.48
€5.44
-0.6%
25.6%€7.55€3.04€6.5215
Analyst Price Target
Consensus Narrative from 21 Analysts
€8.45
Fair Value
24.7% undervalued intrinsic discount
21
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/06 19:53
End of Day Share Price 2025/02/06 00:00
Earnings2024/09/30
Annual Earnings2024/09/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

easyJet plc is covered by 52 analysts. 20 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Hélène CoumesAlphaValue
Andrew LobbenbergBarclays
David FintzenBarclays