Stifel maintains its 'buy' recommendation on Air France-KLM, but lowers its target price from 18 to 13 euros, in the wake of a revision of its EBIT estimates for fiscal 2024 by -14%.

"The company has warned that the Olympic Games will be a (net) headwind, with an unforeseen negative impact of €160 to 180 million spread over the second and third quarters", notes the broker.

According to Stifel, this pre-announcement by Air France-KLM suggests broadly unchanged underlying unit cost and revenue trends. It estimates second-quarter EBIT at €490 million, down 33% year-on-year.

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