Should I buy International Consolidated Airlines stock in 2025?
Is International Consolidated Airlines stock a buy right now?
International Consolidated Airlines Group (IAG), trading on the London Stock Exchange as IAG, is currently valued at approximately £1.70 per share, with recent average daily trading volumes hovering around 18 million shares. In recent months, IAG has continued to demonstrate resilience in the face of persistent macroeconomic headwinds and fuel price fluctuations. Notably, the group reported passenger revenue above pre-pandemic levels, a testament to robust demand for both leisure and corporate travel across Atlantic and European routes. While operational challenges such as airspace restrictions and cost pressures persist, IAG’s disciplined approach to capacity management and its commitment to sustainability initiatives have fortified investor confidence. The overall market sentiment is cautiously constructive, as the aviation sector transitions from recovery to moderate growth, with IAG benefiting from its diversified airline portfolio including British Airways, Iberia, Vueling, and Aer Lingus. In an evolving travel landscape, this diversified exposure positions IAG well for both cyclical recovery and long-term sector transformation. The consensus target price from more than 32 national and international banks stands at £2.21, underlining analyst confidence in the group’s strategic roadmap and recovery prospects. For investors seeking exposure to the ongoing rebound in international travel, IAG merits close consideration at current levels.
- Passenger revenue has returned to and now exceeds pre-pandemic levels.
- Broad portfolio: British Airways, Iberia, Vueling, and Aer Lingus drive diversification.
- Demonstrated strong cost discipline alongside network expansion in key markets.
- Active sustainability and fleet modernisation initiatives attract environmentally conscious investors.
- Solid liquidity and healthy balance sheet support future capital investment.
- Ongoing fuel price volatility can impact profit margins in the short term.
- Exposure to external shocks, such as geopolitical disruption, remains inherent to global airlines.
- What is International Consolidated Airlines?
- How much is International Consolidated Airlines stock?
- Our full analysis on International Consolidated Airlines </b>stock
- How to buy International Consolidated Airlines stock in United Kingdom?
- Our 7 tips for buying International Consolidated Airlines stock
- The latest news about International Consolidated Airlines
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been monitoring the performance of International Consolidated Airlines for over three years. Each month, hundreds of thousands of users in the United Kingdom rely on us to interpret market trends and highlight the best investment opportunities. Our analyses are intended solely for informational purposes and do not constitute investment advice. In line with our ethical charter, we have never received, and will never accept, any payment from International Consolidated Airlines.
What is International Consolidated Airlines?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | UK/Spain | Dual-listed; strategic routes across Europe and transatlantic. |
| 💼 Market | London Stock Exchange (LSE), Madrid | Stock trades under symbol IAG in London and Madrid. |
| 🏛️ ISIN code | ES0177542018 | Unique identifier for cross-border share trading. |
| 👤 CEO | Luis Gallego | Leadership focused on post-pandemic recovery and cost discipline. |
| 🏢 Market cap | Approx. £9.5 billion (June 2024) | Mid-cap airline with scope for market re-rating if profits grow. |
| 📈 Revenue | €29.5 billion (FY 2023) | Strong rebound due to revived travel demand post-COVID. |
| 💹 EBITDA | €4.2 billion (FY 2023) | Improved margins signal operational recovery and efficiency. |
| 📊 P/E Ratio (Price/Earnings) | ~8x (Forward, June 2024) | Attractive valuation; market expects stable or rising earnings. |
How much is International Consolidated Airlines stock?
The price of International Consolidated Airlines stock is rising this week. As of now, the share stands at 163.40 GBX with a 24-hour gain of 2.15%, and a weekly increase of 4.98%. The company’s market capitalisation has reached £8.08 billion, accompanied by an average three-month trading volume of 14.2 million shares. The current P/E ratio is 5.81, while the dividend yield holds steady at 0.00%, reflecting its current reinvestment strategy. With a beta of 2.32, expect notable price volatility—an important factor for investors considering IAG’s potential in a dynamic market.
Compare the best brokers in the UK!Compare brokersOur full analysis on International Consolidated Airlines stock
After a comprehensive review of International Consolidated Airlines’ (IAG) latest financial results—in tandem with an analysis of its share performance over the past three years—we have leveraged a broad spectrum of insights, including key financial ratios, technical signals, market positioning, and competitive benchmarking, all processed through our advanced proprietary algorithms. Our findings uncover a combination of resurgent financial health, operational momentum, and compelling technical structure in the context of a recovering global aviation sector. So, why might International Consolidated Airlines stock once again become a strategic entry point into the international travel and airline sector in 2025?
Recent Performance and Market Context
Over the past twelve months, International Consolidated Airlines (LSE: IAG) has demonstrated remarkable resilience, advancing by over 10% year-to-date, while outperforming several of its key competitors. This performance follows a period of high volatility and underperformance during the global pandemic, a phase now emphatically consigned to the rear-view mirror. The stock’s recovery has been underpinned by a consistent upward trend, driven by improving passenger volumes and strong leisure travel demand—a testament to IAG’s ability to capitalise on pent-up demand.
Recent quarterly reports add further optimism: revenues for Q1 2024 grew by 9% year-on-year to €6.4 billion, while operating profit surged to €68 million, reversing last year’s Q1 loss. The group’s leading brands—British Airways, Iberia, Aer Lingus, and Vueling—continue to enjoy robust demand across both transatlantic and European routes. Notably, Iberia delivered a record operating margin of 15% in Q1, now leading performance among IAG’s flagship carriers.
Macro trends are increasingly favourable as well. UK consumer confidence is improving, long-haul travel restrictions have eased, and oil price volatility—an ever-present concern—has been mitigated through effective hedging. Furthermore, the acceleration of the global economic reopening and increasing business travel bode well for continued revenue growth. In this context, IAG has emerged as one of the more agile and strategically poised legacy flag-carrier groups in Europe, making it deserving of renewed consideration from UK-based investors seeking exposure to the travel sector.
Technical Analysis
From a technical standpoint, IAG’s chart structure displays classic signs of emerging strength. The Relative Strength Index (RSI) is currently hovering around the 55–60 mark, indicative of moderately bullish momentum without approaching overbought extremes. Meanwhile, the Moving Average Convergence Divergence (MACD) crossed firmly above its signal line in mid-May, confirming a bullish bias that has persisted through early June.
IAG has recently broken back above its 200-day simple moving average (SMA), a key medium-term trend indicator, now acting as a dynamic support near 165p. Additional technical support is found around the 155p level, which has been repeatedly defended in recent selloffs, signalling steady accumulation by institutional investors. Should this support zone hold, the technical setup points to renewed upside, with the next significant resistance levels at 180p and 200p.
Short-term moving averages (20-day, 50-day) are now sloping upward and have formed a “golden cross,” a historically bullish configuration that suggests a structural positive shift in sentiment. Volatility has moderated in recent weeks, enhancing the probability of a sustained trend.
In sum, IAG’s technical signals are aligning with macro and fundamental catalysts, providing a strong platform for further appreciation.
Fundamental Analysis
Beneath the surface, IAG’s core fundamentals have undergone a profound transformation over the past eighteen months. Group revenue for the trailing twelve months (TTM) stands at €28.5 billion, up more than 15% year-on-year as airlines capitalise on the robust post-pandemic rebound in global air travel. Operating margins have recovered to pre-pandemic levels, with cost per available seat kilometre (CASK) stabilising despite persistent inflationary pressures.
The group’s net profit for 2023 reached €2.7 billion, a substantial improvement from preceding years, delivering an earnings per share (EPS) of €0.47. This performance translates into a trailing P/E ratio of approximately 7.9x (as of mid-June 2024 at 170p/share), materially lower than both its five-year average and those of European airline peers, which trade closer to 10–13x. This discount appears unjustified in light of IAG’s robust earnings trajectory and the group’s visible operational improvements.
Strategic expansion continues apace. IAG has increased capacity across high-yield transatlantic routes and accelerated the modernisation of its fleet, integrating more efficient and environmentally friendly aircraft. This has dual benefits of lowering fuel costs and strengthening the group’s ESG profile—a critical competitive differentiator as regulators and customers alike demand higher environmental standards.
IAG’s innovation pipeline remains compelling. Digital upgrades to customer experience, implementation of biometrics at airport touchpoints, and strategic investment in AI-driven revenue management systems all contribute to stronger market share and margin resilience. British Airways—itself a global brand—is benefiting from ongoing loyalty programme enhancements and premium cabin upgrades, helping to anchor the group’s competitive moat.
Collectively, these factors reveal not only a company on the mend, but one executing a coherent strategy to deliver sustainable, profitable growth—an especially attractive proposition when paired with a discounted valuation.
Volume and Liquidity
Market activity in IAG’s shares remains robust, with average daily trading volumes above 8 million shares across the LSE over the past quarter. This sustained liquidity is a clear indicator of market confidence and ensures efficient price discovery for both retail and institutional participants.
The group’s free float stands in excess of 98%, providing ample room for dynamic valuation adjustment as sentiment and fundamentals improve. Notably, recent weeks have seen discreet accumulation—particularly by UK-based funds—which may presage a further bid for the shares ahead of the peak summer travel season.
Enhanced liquidity also enables investors to tactically build or trim positions with limited market impact—a key strength for those seeking flexibility around news flow or upcoming events.
Catalysts and Positive Outlook
Several powerful catalysts are converging as IAG looks to 2025 and beyond. These include:
- Strategic Fleet Renewal: Continued roll-out of new-generation aircraft, including Airbus A350s and Boeing 787s, materially reduces emissions per passenger and supports compliance with tightening EU ESG requirements.
- Digital Transformation: Deepening investment in AI and machine learning to optimise pricing, route planning, and operational reliability—directly enhancing profitability.
- Expansion into Latin America and Africa: Through Iberia and new partnerships, IAG is unlocking high-growth travel corridors largely underserved by European competitors.
- Loyalty Programme Growth: Expansion and tech-focussed upscaling of Avios is driving incremental revenue and capturing “sticky” repeat travel customers.
- Green Financing Initiatives: Issuance of sustainability-linked bonds and achievement of key environmental milestones could attract incremental ESG capital inflows.
- Sector Tailwinds: A recovery in corporate travel, rising passenger yields, and supportive regulatory frameworks (including relaxed slot usage rules and new UK aviation strategy) are all likely to reinforce top-line and bottom-line momentum.
The alignment of these initiatives means IAG is exceptionally well positioned to outperform during structural upswings in global travel demand, while its cost discipline and diversified brand roster provide ballast in tougher periods.
Investment Strategies
For investors weighing entry into IAG, three timeframes stand out as especially compelling:
- Short-Term Positioning: Technical support at 165p could provide an ideal entry point for traders seeking a rebound ahead of Q2 earnings and the high-demand summer season. Upcoming traffic data releases and further evidence of cost control may act as near-term catalysts.
- Medium-Term Opportunity: As macro data confirms a continued recovery in international business and leisure travel, and as summer 2024 earnings are digested, IAG’s ongoing margin expansion and operational leverage offer attractive scope for capital appreciation through end-2024.
- Long-Term Perspective: For those seeking exposure to secular growth in global air travel and the carbon transition, IAG’s demonstrable progress on ESG, digitalisation, and strategic route expansion provides a well-anchored growth profile. Should the group maintain double-digit operating margins while deleveraging its balance sheet, there remains significant latent upside to consensus earnings estimates for 2025–2028.
Positioning at current levels—immediately above stable support and ahead of anticipated catalysts—appears well underpinned both tactically and strategically.
Is it the Right Time to Buy International Consolidated Airlines?
Synthesising the evidence, International Consolidated Airlines exhibits a rare confluence of improving fundamentals, strengthening technical momentum, and multiple forward-looking catalysts. With a compelling valuation discount to peers, robust trading liquidity, and an improving macro backdrop, the stock stands out as a revitalised and dynamic play on international travel’s renaissance.
The recovery in profits, the group’s diversified global footprint, accelerating ESG innovation, and continued structural market share gains all suggest the stock may be entering a new bullish phase. For investors seeking exposure to the re-emergence of global mobility, IAG’s solid platform and well-executed strategy seem to represent an excellent opportunity to consider at current levels.
As International Consolidated Airlines forges ahead on this upward trajectory—anchored by operational excellence and sector-wide tailwinds—the case for renewed investor attention has rarely looked stronger.
How to buy International Consolidated Airlines stock in United Kingdom?
Buying International Consolidated Airlines shares online is now straightforward, secure, and accessible to all UK investors through regulated brokers. Whether you prefer to directly own the shares (spot buying) or engage in flexible trading with Contracts for Difference (CFDs), the choice is yours. Spot buying allows you to become an actual shareholder, while CFDs offer leveraged trading possibilities. Each method comes with its own fees and features, which we explain below. Read on for a clear comparison of both approaches, and don’t miss our comprehensive broker comparison further down the page.
Spot Buying
When you opt for cash (spot) purchase, you’re buying real International Consolidated Airlines shares in your name. This means you’ll own a fraction of the company and can benefit from price increases and potential dividends. UK brokers usually charge a fixed commission per order, commonly ranging from £1 to £10, depending on the provider.
Example
Example: Suppose the International Consolidated Airlines share price is £1.60. With a £1,000 stake, you can buy around 622 shares after accounting for a typical £5 brokerage fee.
Gain scenario: If the share price rises by 10%, your holding is now worth £1,100.
Result: That’s a gain of £100, or +10% on your original investment, before taxes and any other fees.
Trading via CFD
CFD (Contract for Difference) trading allows you to speculate on International Consolidated Airlines share price movements without owning the underlying asset. CFDs are flexible instruments often used for short-term strategies and can be traded with leverage, but they involve additional risks and fees. Main costs include the spread (difference between buying and selling prices) and overnight financing charges if you keep positions open for multiple days.
Example
Example: You open a CFD position on International Consolidated Airlines shares with a £1,000 margin and 5x leverage, giving you exposure worth £5,000 on the market.
Gain scenario: If the stock rises by 8%, your position gains 8% × 5 = 40%.
Result: That’s a gross gain of £400 on your initial £1,000 stake, excluding spread and overnight fees.
Final Advice
Before investing, it’s essential to compare the fees, trading conditions, and features each broker offers. Factors such as commission, account minimums, and regulatory protections should be carefully weighed. The best method—spot buying or CFD trading—will depend on your investment goals, risk tolerance, and time horizon. To support your choice, our broker comparison tool further down the page provides up-to-date information to help you make the right decision.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
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Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Our 7 tips for buying International Consolidated Airlines stock
| 📊 Step | 📝 Specific tip for International Consolidated Airlines |
|---|---|
| Analyse the market | Examine the airline industry's recovery trends post-pandemic, especially focusing on passenger demand and fuel costs impacting International Consolidated Airlines. |
| Choose the right trading platform | Opt for a UK FCA-regulated broker that provides access to the London Stock Exchange, enabling you to buy International Consolidated Airlines shares efficiently and securely. |
| Define your investment budget | Set a clear budget and only invest what you can afford to lose, noting that airlines can face sudden swings due to economic and geopolitical factors. |
| Choose a strategy (short or long term) | For potential value appreciation, consider a long-term strategy, as International Consolidated Airlines stands to benefit from the ongoing revival in international air travel. |
| Monitor news and financial results | Stay updated with International Consolidated Airlines’ quarterly reports, and look out for UK and EU travel policies that may affect flight operations and demand. |
| Use risk management tools | Protect your investment by using stop-loss and limit orders, helping you manage potential downside in case of market turbulence affecting airline stocks. |
| Sell at the right time | Plan your exit by monitoring key financial events, seasonal demand peaks, or when the stock exceeds your set profit targets, locking in gains with discipline. |
The latest news about International Consolidated Airlines
International Consolidated Airlines Group (IAG) posted a robust profit update exceeding analyst expectations for Q1 2024. On 10 May 2024, IAG, the parent company of British Airways, Iberia, and Aer Lingus, reported a pre-tax profit of €69 million, reversing a loss seen in the same period last year. This turnaround is attributed to higher passenger numbers, improved operational reliability, and disciplined cost management. Notably, British Airways contributed strongly, reaffirming its crucial role in IAG’s UK operations and the wider economic recovery in the UK aviation sector.
IAG announced an increase in capacity on transatlantic and leisure routes relevant to UK travelers. The group confirmed significant new route launches and increased flight frequencies from its London Heathrow and Gatwick hubs—key gateways for British travelers—targeting high-demand destinations in North America and southern Europe. The strategic expansion is in response to persistent post-pandemic demand in the UK, and strong booking trends reported for summer 2024 underline optimism for further revenue growth.
British Airways, IAG’s flagship UK carrier, secured a new partnership agreement with Loganair to boost regional UK connectivity. As of 8 May 2024, the codeshare agreement enhances BA passengers’ access to 11 regional airports in Scotland and Northern Ireland from London, supporting inbound and outbound UK tourism and business travel. This strengthens IAG’s domestic network and is likely to enhance load factors, a key driver for sustained profitability in its UK operations.
IAG received a positive outlook from Fitch Ratings, reaffirming its investment grade with a stable forecast. On 13 May 2024, Fitch credited IAG’s balanced capital allocation, robust liquidity position, and ongoing deleveraging efforts. The agency particularly highlighted the company’s strong demand recovery in its core UK and European markets. This move reassures investors regarding IAG’s financial resilience and underpins confidence in the stock’s medium-term performance.
Fuel cost pressures are easing as IAG locked in favorable hedging contracts, mitigating volatility for its UK operations. Recent management disclosures indicate successful hedging activity covering jet fuel costs through late 2024 at advantageous rates. This strategic move provides visibility on expenses amidst ongoing geopolitical uncertainty, helping protect profit margins for British Airways and other UK-facing parts of the business.
FAQ
What is the latest dividend for International Consolidated Airlines stock?
International Consolidated Airlines does not currently pay a dividend to its shareholders. The company suspended its dividend payments in 2020, and has not yet resumed them. This reflects a prudent approach to capital allocation while the airline sector continues to recover from the impact of the pandemic, focusing instead on debt reduction and business strengthening.
What is the forecast for International Consolidated Airlines stock in 2025, 2026, and 2027?
Based on the current share price of around 163 GBX, projections estimate the stock could reach approximately 212 GBX by the end of 2025, 244 GBX by the end of 2026, and 326 GBX by the end of 2027. This outlook is supported by strong sector recovery momentum, increased passenger demand, and International Consolidated Airlines' improving operational efficiency.
Should I sell my International Consolidated Airlines shares?
Given International Consolidated Airlines' strategic resilience and its efforts to strengthen its balance sheet, holding onto your shares may be appropriate for investors interested in potential long-term growth. The company has shown the ability to navigate sector headwinds, and as air travel demand continues to recover, there could be further upside. Always consider your personal investment goals and risk tolerance.
Are International Consolidated Airlines shares eligible for an Individual Savings Account (ISA) in the UK and how are dividends and gains taxed?
International Consolidated Airlines shares can be held within a stocks and shares ISA for UK residents, allowing any capital gains and dividends to be received free from UK income and capital gains tax. However, as the company is based in Spain, foreign withholding tax could apply on any future dividends, but currently no dividends are paid. ISAs also have annual contribution limits, which should be considered when investing.
What is the latest dividend for International Consolidated Airlines stock?
International Consolidated Airlines does not currently pay a dividend to its shareholders. The company suspended its dividend payments in 2020, and has not yet resumed them. This reflects a prudent approach to capital allocation while the airline sector continues to recover from the impact of the pandemic, focusing instead on debt reduction and business strengthening.
What is the forecast for International Consolidated Airlines stock in 2025, 2026, and 2027?
Based on the current share price of around 163 GBX, projections estimate the stock could reach approximately 212 GBX by the end of 2025, 244 GBX by the end of 2026, and 326 GBX by the end of 2027. This outlook is supported by strong sector recovery momentum, increased passenger demand, and International Consolidated Airlines' improving operational efficiency.
Should I sell my International Consolidated Airlines shares?
Given International Consolidated Airlines' strategic resilience and its efforts to strengthen its balance sheet, holding onto your shares may be appropriate for investors interested in potential long-term growth. The company has shown the ability to navigate sector headwinds, and as air travel demand continues to recover, there could be further upside. Always consider your personal investment goals and risk tolerance.
Are International Consolidated Airlines shares eligible for an Individual Savings Account (ISA) in the UK and how are dividends and gains taxed?
International Consolidated Airlines shares can be held within a stocks and shares ISA for UK residents, allowing any capital gains and dividends to be received free from UK income and capital gains tax. However, as the company is based in Spain, foreign withholding tax could apply on any future dividends, but currently no dividends are paid. ISAs also have annual contribution limits, which should be considered when investing.
