EasyJet’s share price has continued to show its strong bullish move a week after it released its quarterly results. Today, the share price is up by 2 per cent. Moreover, the prices are also likely to continue increasing throughout the session. Therefore, there is a high likelihood that we will see Easyjet’s share price finishing today’s prices with massive gains since we are still in the early hours of the trading session.
According to the company’s recently released financial reports, the company recorded a pre-tax loss of £114 million. The loss was an improvement from last year’s loss in the same period. However, the loss does not look to have caught investors by surprise, which is partly the reason we have seen the prices continue to hold steady amid the report.
As international flight demands near their pre-pandemic level, EasyJet and other aviation companies have struggled with staffing issues, resulting in thousands of flight cancellations. The issue has continued to affect the company, and with the rising cost of living, the EasyJet share has plummeted by 33 year-to-date.
With the financial report release out of the way, Easyjet prices have continued to trade steadily. Today, with the share price up by two per cent, there is a high likelihood that we have entered a stage where we should expect EasyJet’s share price to continue recovering.
Part of the reason I am positive about the recovery of the company is due to demand returning to pre-pandemic levels. Although the company has continued to struggle with staffing issues and other economic factors such as the high inflation rate, the latest reports show they are addressing these problems. Therefore, there is a high likelihood that investors’ perception of solving these problems may push the share prices even higher. As a result, I expect the prices to trade above the 420p price level in the next few trading sessions. There is also a high likelihood of seeing EasyJet share price trading above the 430p price level.
However, my bullish analysis will be invalidated should the price reverse and hit the 383 demand level. At that point, it will be clear that we are in a bear market.
This post was last modified on %s = human-readable time difference 11:44