Skip to content

Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

EasyJet shares fall despite return of dividend

The airline has seen buoyant trading and has ambitious profit targets

EasyJet shares fall despite return of dividend Source: Bloomberg

easyJet posted a healthy trading statement, with profit before tax for the fourth quarter expected to be at record levels and the company is reinstating its dividend payments. The airline says Q4 profits are forecast to be between £650 million and £670 million.

“We have delivered a record summer with strong demand for EasyJet’s flights and holidays with customers choosing us for our network, value and service,” chief executive officer Johan Lundgren, told investors. “This performance has demonstrated that our strategy is achieving results and so today we have set out an ambitious roadmap to serve more customers and deliver attractive shareholder returns, underpinned by a continued focus on costs and operational excellence.”

EasyJet: dividend set to return

The airline plans to pay dividends of 10% of headline profits after tax for 2023, rising to 20% in 2024. It also unveiled its ambitious target to generate profits greater than £1 billion. Lundgren says this will be delivered by cutting winter losses, growing the EasyJet Holidays business and upgrading its fleet.

However, its shares dipped by 4% on Thursday and a further 4% on Friday, as analysts reportedly remained sceptical of its internal target to achieve profits of £1 billion. The Israel-Hamas conflict in the Middle East is also weighing on airline shares as oil prices increase. The company halted all flights to Tel Aviv earlier this week.

EasyJet says it has seen passenger growth of 8% year on year, while ticket yield per passenger has risen by 9%. As such, the company expects profit before tax of between £440 million and £460 million for the full year 2023. Fuel prices remained flat during the period.

The winter season is typically slower than the summer period. However the airline says capacity is 15% ahead of last year and that its EasyJet Holidays arm should generate profit before tax of £120 million for the full year 2023.

EasyJet buying new Airbus planes

Meanwhile, EasyJet is also snapping up 157 new aircraft, subject to shareholder approval, at a cost of $19.9 million over a number of years. The new Airbus planes are expected to be delivered between 2029 and 2034. The company already has 158 aircraft on order for 2029.

Analysts at broker Deutsche Bank recently trimmed their price target on the shares to 585p from 635p and currently have a buy recommendation on the stock.

The shares have had a good run, rising 34% this year to 391.2p. As such, investors may want to take some profits, given the current uncertainty over the Israel-Hamas war and its likely effect on fuel prices. Nevertheless, the recent dip may also be a buying opportunity for new investors.

Past performance is not a guide to future returns.

This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Act on share opportunities today

Go long or short on thousands of international stocks with spread bets and CFDs.

  • Get full exposure for a comparatively small deposit
  • Trade on spreads from just 0.1%
  • Get greater order book visibility with direct market access

See opportunity on a stock?

Try a risk-free trade in your demo account, and see whether you’re on to something.

  • Log in to your demo
  • Take your position
  • See whether your hunch pays off

See opportunity on a stock?

Don’t miss your chance – upgrade to a live account to take advantage.

  • Trade a huge range of popular stocks
  • Analyse and deal seamlessly on fast, intuitive charts
  • See and react to breaking news in-platform

See opportunity on a stock?

Don’t miss your chance. Log in to take advantage while conditions prevail.

Live prices on most popular markets

  • Equities
  • Indices
  • Forex
  • Commodities
website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.

" >


Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Plan your trading week

Get the week’s market-moving news sent directly to your inbox every Sunday. The Week Ahead gives you a full calendar of upcoming economic events, as well as commentary from our expert analysts on the key markets to watch.


For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of spread betting and CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.