This report is the updated version of the report published on January 09, 2026, 12:08 PM GMT.

Wizz Air’s Ultra-Low Cost Bet Faces Turbulence — Is The Ascent Still Intact?

Wizz Air Holdings PLC (LSE: WIZZ)

Wizz Air Holdings PLC (LSE: WIZZ) is a FTSE 250-listed one of the most sustainable European airlines, operating a fleet of over 220 Airbus A320 and A321 aircraft. A team of dedicated aviation professionals delivers superior service and very low fares, making Wizz Air the preferred choice of 62 million passengers in the financial year ending 31 March 2024. Wizz Air is listed on the London Stock Exchange under the ticker WIZZ. The company was recently named the World's Top 5 Safest Low-Cost Airlines 2024 by airlineratings.com, the world's only safety and product rating agency, and named Airline of the Year by Air Transport Awards in 2019 and in 2023.

This Report covers the Key Recommendation Rationale, Conclusion, and Recommendation on the stock.  

Key Recommendation Rationale – Sell at GBX 1,321.00

• Cost Pressures Set to Return: H1 margin improvement was helped by temporary factors, while management guides to renewed ex-fuel cost inflation in H2 and FY26. Network restructuring and base closures may deliver savings over time, but near-term transition costs reduce visibility on sustainable margin expansion.
• GTF Engine Issues Remain a Drag: Although grounded aircraft numbers have improved, 30–35 aircraft are still expected to remain unavailable through FY26. This ongoing operational constraint limits capacity flexibility, impacts reliability, and continues to weigh on earnings visibility until at least FY27.
• Slower Growth and High Leverage Cap Upside: The deferral of aircraft deliveries and asset sales signal a reset to lower, more defensive growth. With net debt still elevated and medium-term growth moderating to 10–12%, Wizz Air’s historical growth premium is weakening, reducing the scope for valuation re-rating.

Share Price Chart  

One Year Technical Price Chart (as of January 09, 2026). Source: Refinitiv 

Valuation Methodology: Price/ Earnings Approach

Conclusion

WIZZ is expected to trade at a discount, considering valuation downside and lack of revenue growth. For conducting the valuation, the following peers have been considered - Jet2 PLC (LSE: JET2), Easyjet PLC (LSE: EZJ) and others.

Given its current trading levels, cost pressures, slower growth, high leverage, recent rally in the share price, and associated risks, it is prudent to exit the stock at the current levels. A ‘Sell’ recommendation is given on the stock at the current market price of GBX 1,321.00 on 09th January 2026 at 10:33 AM, GMT.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is 09 January 2026. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Note 4: Target Price refers to a price level which the stock is expected to reach as per the relative valuation method and/or technical analysis taking into consideration both short-term and long-term scenario.

Note 5: ‘Kalkine reports are prepared based on the stock prices captured either from the London Stock Exchange (LSE) and/or REFINITIV. Typically, both sources (LSE and or REFINITIV) may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.’

Note 6: Dividend Yield may vary as per the stock price movement.