Davy Morning Equity Briefing
May 18, 2026
Ryanair Holdings
Executing well through market turbulence after year of record profits
After a year of record net profits of €2.26bn (+40%), Ryanair is executing well through market turbulence. Marking to market for fuel, our estimates will come down to c.€1.92bn for FY2027. Ryanair continues to have the best balance sheet (soon to be effectively debt free) and a widening cost advantage on the competitor set (MAX-10 aircraft, engines/MRO shops, etc). CEO Michael O’Leary is extending his contract from 2028-2032.
Harworth Group
Progress continuing despite macroeconomic headwinds
Harworth Group grew its sales pipeline 12.5% since year-end 2025, with 1.8m sq ft of land now in letting or sales negotiations. However, the slowness in the residential land market (30% of portfolio value as of end FY 2025) was also flagged in addition to “some” supply chain cost inflation due to the conflict in the Middle East.
Economics weekly
A pivotal week ahead for the Bank of England
With a challenging political backdrop for gilts at present, we continue to see UK rate-hike expectations as overdone. If this week’s UK labour market and consumer prices data remain in a dovish direction as we expect, this could prompt some movement away from three hikes to Bank Rate currently priced by markets. Ireland’s Q1 labour force survey is likely to show a slowdown in employment growth. However, our read of last week’s employee payrolls data is that a pick-up in growth was evident in Q1.
