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Important information: The value of investments can go down as well as up so you may get back less than you invest. Investors should note that the views expressed may no longer be current and may have already been acted upon. This is a third-party news feed and may not reflect Fidelity’s views.

Citi upgrades EasyJet to 'buy'

(Sharecast News) - Analysts at Citi upgraded budget carrier EasyJet to 'buy' on Wednesday, pointing to "an easing path on the horizon". Citi said EasyJet's shares and margins have stagnated for the past two years, with "significant airline costs" negating impressive holidays growth.

However, Citi said it expects margins to trough in FY26, with the debate shifting to FY27 over the next six months, where it thinks "significant fleet replenishment" should start to support the airline business.

"We upgrade the stock to 'buy', with a target price of 600p and 27% expected total return," said Citi.

Reporting by Iain Gilbert at Sharecast.com

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Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

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