Ryanair Shares Weighed by Prospect of Ticket Fare Cuts

Ryanair’s shares are being weighed down by concerns about the low-cost carrier’s ticket pricing, AJ Bell analyst Danni Hewson says in a note to clients. Even if inflationary pressures are easing, customers remain cautious, which could affect the numbers of passengers on Ryanair flights after the summer, the analyst says. The company said that recent ticket prices were softer than it had previously expected, adding that its first quarter would require more so-called price stimulation than the previous year. “It might seem counterintuitive that Ryanair’s share price is enduring a bit of turbulence after the low-cost airline announced record passenger numbers and profits, but the prospect that ticket price cuts might be on the way has subdued sentiment,” the analyst says. Shares trade down 1.3% at EUR18.10.

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