IAG falls 3.3% on the stock market after JP Morgan's support for 'low cost'

MADRID, 7 Dic. (EUROPA PRESS9) -

The aeronautical holding IAG fell 3.3% this morning on the Madrid Stock Exchange after JPMorgan analysts updated their outlook on the European aviation sector.

Its preference for low-cost airlines by 2024 takes its toll on the quotes of both IAG and other European airlines such as Air France and Lufthansa. Air France falls up to 6.9%, Lufthansa -4.9%.

Analysts believe within the airline sector, there is potential for large capacity increases to reduce the returns of traditional airlines amid weaker economic growth. Thus, low-cost airlines like Ryanair could benefit both in their margins and in their growth.

The shares of the company IAG led the falls of the Ibex 35 with a decrease of more than 3% in the first stages of the day to 1.82 euros in a semi-festive atmosphere for the December long weekend.

A few days ago, the company recovered the level of 1.80 euros, from the lows of 1.58 euros recorded last October and was looking for the highs of 1.99 euros reached last September.

On December 6, a holiday, the shares closed at 1.8855 with an increase of 3.57%. IAG has also been favored by the drop in the price of oil since a barrel of Brent yesterday hit six-month lows, falling to $74.