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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.

Deutsche Bank cuts IAG target price on US exposure

(Sharecast News) - Analysts at Deutsche Bank lowered their target price for shares of IAG, telling clients that the outlook for transatlantic airlines had "undoubtedly" deteriorated in the aftermath of the reciprocal trade tariffs levied by the US and EU. On their estimates, all three EU network airlines had a profit exposure to the US of 50% or possibly more.

Hence their decision to cut their estimates for IAG's earnings before interest and tax for 2025 and 2026 by 13% and 10%, respectively.

That saw their target price go down by 8% from 400.0p to 370.0p.

However, they kept their recommendation for the shares at 'buy'.

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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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