easyJet, the UK’s largest airline, operates Europe's No. 1 air transport network with a leading presence on Europe's top 100 routes and at Europe's 50 largest airports.
On august 24, the company announced that a record breaking number of passengers were boarding its aircraft this day. Over 200,000 passengers were flying easyJet on its busiest day of the year.
On the basis of the current prices and the lastest earnings per share estimates from analysts, easyJet plc is part of the cheapest stock in the industry. This valuation of the company suggests the preservation of technical levels being tested.

According to Thomson Reuters consensus from the latest estimates of analysts, the share is trading, on the basis of the current price, 9.9 and 8.6 times the expected EPS for the current year and the following year. In terms of enterprise value, that is to say the capitalization of the group plus net debt, for a price of 531 GBp, the company is worth 0.54 times its sales. Except in case of strong downward revisions of earnings estimates, these low valuation levels theoretically limit the potential fall back.

The share has a bearish configuration below the GBp 573 resistance. Nevertheless, the potential drop is limited by the GBp 530 support area in daily data. This level is tested for several weeks and has contained the downward trend, which reinforce their technical significance.

Considering these elements, the timing seems appropriate to buy the share. We will benefit from the support to anticipate a return at GBp 573. This position will be reduced near the first goal but partially preserved because in case of crossing of this resistance, it would help to set more ambitious targets. A stop order can be fixed below GBp 522 (100-day moving average).