Call in the Global Specialist (10/7)

Research evidence excerpt

Call in the Global Specialist (10/7)

Gigi Sparling - Specialist Sales - European Europe Specialist Sales

Financials AC 10 July 2026 J P M O R G A N

(44-20) 7134-0355

ghislaine.sparling@jpmorgan.com

Please see below for the most relevant upcoming catalysts and ideas from our Global Sector Specialists. For more colour please

contact the specialists using the contact section below. Use the links below to jump straight to each section:

Consumer: Long Air France-KLM: Gaining Altitude; Long Dollar Tree

Energy: Long FRVO

Financials: Long Barclays: Turning up the heat; Buy SPGI

Healthcare: Long Bridge Bio: Competition removed, continue to dominate in stabilizer category

TMT: Buy Tokyo Electron

Consumer: Olivia Petronilho, Briggs Barton, & Lisa Otani

Long Air France-KLM. Gaining Altitude. Harry placed Air France-KLM on Pos Cat Watch into Q2 seeing potential for

earnings upgrades. He upped 2026 EBIT estimates by +16% to €1.91bn (mainly on lower fuel). This puts DD% ahead of cons for

FY26 and FY27. His positive view into the quarter is based on a dynamic amongst the EU flag carriers where spot/forward jet

fuel prices have come down, however pricing remains strong, which may enable a higher near-term % fuel pass-through. Within

that, AF has the best opportunity to beat cons. Longer-term, AF should be the legacy carrier with the most potential for

improvement given EBIT margin starting point at MSD% in 26E and tailwinds to unit revenues in capturing the current strength

in premium demand and recent restructuring + better cost execution. 1) Harry sees profitability reaching 6.7% in 28E, up from

5.4% in 26E. And, worth noting he is choosing to be conservative here as at FY stage (Feb’26), mgmt continued to comment on a

target to reach >8% EBIT margin by FY28.