Morgan Stanley has initiated coverage on Ryanair Holdings Plc (RYAAY) with an “Overweight” rating and a price target of EUR 30.7, citing its strong balance sheet, superior cost structure, and industry-leading profitability among European airlines.

The brokerage noted that Ryanair continues to outperform peers in capacity discipline, cost efficiency, and yield management, which positions it well to navigate volatility in fuel prices and competitive pressures. It also highlighted the company’s robust free cash flow generation and shareholder-friendly capital allocation, including ongoing buybacks.

According to Morgan Stanley, Ryanair’s network expansion, low-cost advantage, and operational reliability are expected to sustain margin leadership across the sector.

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