Jet2 issued a profit warning, causing UK-listed airlines’ shares to drop. This comes despite a travel boom benefiting European airlines. EasyJet, Wizz Air, and Ryanair experienced the biggest losses. Meanwhile, IAG shares fell modestly. EasyJet’s shares have been weak in 2025, while Ryanair and IAG have seen significant gains this year.

Morningstar finds EasyJet undervalued, trading at a 27% discount to its fair value estimate of 640p. The company posted a £44 million profit before tax in the first half of the year, up 42% year over year. EasyJet is undergoing cost-restructuring and fleet modernization, positioning itself as a more efficient player in the industry.

Read more at Morningstar: After the Selloff, Which UK-Listed Airline Stocks Are Attractive?