Risk Reward Update: Wizz Air Holdings Plc | Europe

Research evidence excerpt

Risk Reward Update: Wizz Air Holdings Plc | Europe

UpdateM

RiskRisk RewardReward– Wizz Air- WizzHoldingsAirPlc (WIZZ.L)Holdings Plc (WIZZ.L)

Await catalysts from CMD

PRICE TARGET 860p EQUAL-WEIGHT THESIS

We value Wizz Air using a FY27 EBITDA multiple (target multiple of 5x, in line with 10-year ▪Near-term profitability is pressured by

median). We think the stock should trade at par with history until more clarity is provided on higher capacity growth amid ongoing

its reinvestment cycle and strategy/deleveraging. competitive backdrop, higher fuel costs and

still elevated maintenance/D&A as a result 1,135p

of high fleet retirements. FY27 CASK will be

Consensus Price Target Distribution 699.82p 1,613.01p proven challening.

MS PT

We expect further clarification from WizzSource: Refinitiv, Morgan Stanley Research Mean Morgan Stanley Estimates ▪

Air's CMD next September on the following

points: 1) postponement of Airbus NEOs

delivery, 2) shift from operating leased to

RISK REWARD CHART ownership, and 3) path to deleveraging and

densification of network.

GBp

Consensus Rating Distribution

1600 23% Overweight

1,260p1,260p(+19.66%)1,260p(+19.66%)(+19.66%) 32% Equal-weight

45% Underweight

1200 MS Rating

1,053p1,053p1,053p

Source: Refinitiv, Morgan Stanley Research

860p860p(-18.33%)860p(-18.33%)(-18.33%)

Risk Reward Themes

400 Secular Growth: Negative

400p400p(-62.01%)400p(-62.01%)(-62.01%) Self-help: Positive

View descriptions of Risk Rewards Themes here

JUL '25 JAN '26 JUL '26 JUL '27

Key: Historical Stock Performance Current Stock Price Price Target

BULL CASE 1,260p BASE CASE 860p BEAR CASE 400p

Stronger-than-expected demand on Wizz Gradual return Tougher competition

Air routes

We value Wizz Air on a FY27 EBITDA We value Wizz Air using a FY27 EBITDA