Ryanair soared across Friday after raising its full year profit guidance after a strong holiday period.
The budget carrier raised its guidance to a range of €950 million to €1.05 billion from a previous forecast of €800 billion - €900 billion.
A stronger than forecast Christmas and New Year period and forward bookings increasing by 1% paints a rosy picture for Ryanair in what has been a challenging year for the industry, which has seen several key players bow out.
Brexit uncertainty, lower consumer confidence and changing attitudes amid climate change awareness have created a challenging market. Ryanair has also suffered its fair share of problems with strikes and cancellations.
This is some welcomed good news for Ryanair amid continued delays of its Boeing 737 MAX jet order. These planes which hold more seats and burn less fuel could improve the outlook for Ryanair once there is more certainty surrounding dates.
Raising the profit guidance has impressed investors. The stock rallied 8.5% across the session, rising to its highest level since June 2018. Shares ae now up 93% from the €8.50 low in August.
Levels to watch:
Ryanair trades comfortably above its 50, 100 & 200 sma, with strong bullish momentum.
Immediate resistance can be seen at 17.00 (High June ’18) opening the door to 19.00 (high June ’17). On the flip side, resistance can be seen at 14.00 before 13.30 (low Dec’19).