Skip to content

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

Coronavirus crash: Ryanair share price slumps as outbreak impacts flights

Over the last six trading sessions, the low-cost airline has seen its stock lose close to a quarter of its value, with the company forced to cancel flights as a result of the coronavirus outbreak.

Ryanair Source: Bloomberg

Ryanair has seen its shares tumble by close to 25% over the last six days, with the low-cost airline forced to cancel up to a quarter of Italian short haul flights between 17 March to 8 April due to the coronavirus (Covid-19).

‘Over the past week, Ryanair has seen a significant drop in bookings over that late March/early April period, in response to the Covid-19 virus. There has also been a significant step up in passenger no-shows on flights, particularly from and within Italy,’ the company said in a statement on Monday.

Ryanair closed at €11.52 a share on Monday.

Looking to trade Ryanair and other UK stocks? Open a live or demo account with IG today.

‘While we are heavily booked over the next two weeks, there has been a notable drop in forward bookings towards the end of March, into early April,’ Ryanair chief executive officer (CEO) Michael O’Leary said.

‘It makes sense to selectively prune our schedule to and from those airports where travel has been most affected by the Covid-19 outbreak.’

‘This is a time for calm. We will make sensible cuts to our schedules over the comings weeks to reflect weaker bookings and changing travel patterns,’ he added.

Full-year guidance remains on track, says Ryanair

Despite the turmoil created by the Covid-19 outbreak, Ryanair does not expect flight cancellations to have a material impact on its full-year (FY) 2020 earnings.

However, the low-cost airline admitted that it was ‘far too early’ to speculate what impact the outbreak will have on its full-year 2021 earnings guidance.

You can go long or short Ryanair with IG using derivatives like CFDs.

‘Ryanair remains one of the strongest airlines in the industry with €4bn in cash on its balance sheet, industry leading unit costs, 90% of the fleet is owned, and is mainly debt free,’ Ryanair said.

‘We expect that this Covid-19 Virus will result in further EU airline failures over the coming weeks.’

Ryanair will unveil its FY 2020 results on 18 March.

This information has been prepared by IG, a trading name of IG Markets Ltd and IG Markets South Africa Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Seize a share opportunity today

Go long or short on thousands of international stocks.

  • Increase your market exposure with leverage
  • Get spreads from just 0.1% on major global shares
  • Trade CFDs straight into order books with direct market access

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only

Plan your trading week

Get the week’s market-moving news sent directly to your inbox every Monday. The Week Ahead gives you a full calendar of upcoming economic events, as well as commentary from our expert analysts on the key markets to watch.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.