IAG upgraded to Outperform from Sector Perform at RBC Capital

RBC Capital upgraded IAG to Outperform from Sector Perform with a price target of 220 GBp, up from 200 GBp. IAG now generates the second highest margins in the group behind Ryanair,, but by some metrics trades on the cheapest valuation among the airlines, the analyst tells investors in a research note. The firm says airline capacity data now suggests the North Atlantic capacity is set to be more of a tailwind rather than a headwind for IAG’s British Airways and Aer Lingus this summer.