Barclays starts coverage of Jet2 at ‘overweight’
Barclays initiated coverage on shares of Jet2 on Thursday at ‘overweight’ with a 1,650p price target as it said "opportunities have opened up in a historically competitive market".
Jet2 is a UK leisure travel company that provides holiday products to popular European destinations, with a 15-20% share of the UK packaged holiday market, the bank noted.
"In the short term, Jet2 faces the same challenges as other leisure and aviation names on the timing of the travel recovery, but we believe the company has taken decisive actions to support customers and preserve its balance sheet," it said.
"In the long term, we view Jet2 as a structural beneficiary of the crisis and think opportunities have opened up in a historically competitive market."