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(Sharecast News) - Analysts at Citi placed budget carrier Wizz Air on 'negative catalyst watch' on Monday, stating it now sees downside risk to the group's FY25 guidance.
Citi said it had updated its estimates on Wizz Air to better reflect recent trends in traffic, fuel and pricing commentary.
In FY25, Citi now expects Wizz Air to deliver adjusted net income of 258.0m, down from a previous estimate of 345.0m and company guidance of 350.0m to 450.0m, principally due to softer pricing and higher unit costs.
Citi also lowered its capacity growth expectations for FY26 to roughly 19% based on recent guidance at Wizz's capital markets day.
"We open a negative catalyst watch as we see downside risk to the FY25 guidance and consensus expectations of 300.0m," concluded Citi as it lowered its target price on the stock from 1,300p to 1,000p.
Reporting by Iain Gilbert at Sharecast.com
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