Wizz Air loss widens; DHL raises 2026 targets
J.P. Morgan analysts said Apollo’s planned $7.7 billion takeover of easyJet could, in the longer term, pose a risk to the U.K. budget carrier’s sector peers. easyJet agreed to Apollo’s offer after fellow American private equity firm Castlelake walked away from a potential bid.
Apollo said it largely backs easyJet’s existing strategy. J.P. Morgan analysts said that should mean minimal change to the airline’s structure and, as a result, to the industry at least in the near term, if the transaction completes.
“The risk longer-term for peers is that Apollo transforms easyJet into a more competitive airline in terms of product, cost base and in particular segments like corporate traffic or package holidays,” the analysts said.
Wizz Air is expected to see further downgrades to consensus estimates given its weaker first quarter, RBC Capital Markets analysts Ruairi Cullinane and Jakub Glinkowski said in a research note. The budget airline posted an operating loss of 183.3 million euros for the first quarter, wider than Visible Alpha’s expected loss of 166 million euros.
Wizz Air also reported other income of 107.2 million euros, up 10%, on higher sale and leaseback activity, RBC Capital Markets said. The analysts said support from other income and foreign-exchange rate gains in 2026 is a risk to the pace and scale of its earnings recovery. Shares traded 4.7% lower at 1,093 pence.
DHL Group shares are reasonably priced despite the potential for higher profits, AlphaValue analyst Kulwinder Rajpal wrote. The German shipping and logistics company confirmed its preliminary second-quarter figures and upgraded its 2026 targets.
Revenue growth was driven by market capacity constraints supporting DHL’s express and air freight units, Rajpal wrote. The result was solid EBIT growth at the group level, leading DHL to raise its 2026 EBIT guidance. The group also delivered its targeted 1 billion euros in cost savings.
Rajpal said any deterioration in the ongoing geopolitical situation can lift profits at the express division and benefit group EBIT. “Looking ahead, we still consider DHL a resilient business, albeit offering limited upside despite any potential benefits from ongoing geopolitical volatility.” Shares fell 0.8%.
Porsche shares have limited potential for further gains until management shows it can hit its long-term margin target of 10%-15%, Berenberg analysts wrote. The German automaker delivered a solid second-quarter result, particularly in terms of margins, despite a challenging top-line environment, they said.
Implied second-half profitability is guided materially below the first half because of weaker price mix and restructuring costs, the analysts said. Porsche’s 7.8% first-half margin was above its full-year guidance range of 5.5%-7.5%. Berenberg said 2027 margins should benefit from the non-recurrence of most of the 2026 extraordinary charges, while product phasing and portfolio transition remain headwinds to volumes. The firm forecasts a return to double-digit margins after 2028. Shares rose 0.3%.
Lyft’s bike-sharing business recorded its best second quarter for rides, the company said. The unit operates bikeshare systems in six U.S. cities and broke daily, weekly and monthly records in June, Lyft said. More commuters used the company’s ebikes, while events such as the NBA Finals provided a lift, the company said.
Jefferies said the focus of Eagers Automotive’s first-half result will be vehicle availability and the speed at which the company converts a larger order book to sales in the second half. Eagers had faced issues with the supply of BYD vehicles, which analyst John Campbell said was mainly the result of the Chinese automaker ramping up sales in Australia. Those issues now appear to be fixed.
Toyota said output in Japan is likely to rise to 3.45 million units in its fiscal 2027, about 3% higher than earlier guidance. Jefferies said the forecast suggests Australian supply should improve over the course of 2026. Jefferies retained a buy call and an A$27.50-per-share price target on Eagers, which ended Thursday at A$24.23.