The IAG share price has moved sideways recently as investors wait for the company’s financial results scheduled for Friday this week. The stock is trading at 145p, where it has been in the past few days. Other aviation companies have been in a tight range after publishing their results.
The global travelling industry is doing relatively well as the Covid-19 pandemic eases. For example, on Wednesday, Marriott, the global hotel company, said that it was seeing robust growth in the past few months. The same is true among other companies in the industry like TripAdvisor and Airbnb. Marriott said its revenue jumped to $4.2 billion, higher than the expected $4.17 billion. Likewise, Airbnb’s revenue rose by 70% as it made over 100 million bookings.
Airline companies also published strong quarterly results as demand rose. Indeed, companies like Southwest, American Airlines, and United Airlines beat consensus estimates. Nonetheless, these firms expressed worries about the rising cost of doing business. Another interesting fact is that business travel, which is important for IAG, bounces back.
Analysts expect that IAG had an operating loss of over 510 million euros. The highest estimate is that the firm lost 252 million euros in the quarter. However, analysts also expect that the company will offer a bullish outlook as demand rises.
IAG share price forecast
The four-hour chart shows that the UAG stock price has been in a tight range in the past few days. The shares are slightly above the 50% Fibonacci retracement level. It has also moved slightly above the 25-day and 50-day moving averages, while the Relative Strength Index has moved to the neutral level at 50. Further, the stock has formed an ascending channel pattern that is shown in purple.
Therefore, at this stage, the outlook of the coin is neutral. As such, the key support and resistance levels to watch will be at 151p and 140p. One of these points will be tested after the company publishes its earnings.