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Ryanair (RYAAY) to Face Strike Action by Cabin Crew in June

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Ryanair Holdings’ (RYAAY - Free Report) staff across various parts of Europe are planning to go on strike in late June as they seek improved pay and working conditions. This disruption during the peak summer travel period is a major blow to RYAAY, which has been seeing strengthening bookings and expects high summer fares and strong load factor.

Unions representing Ryanair’s cabin crew are planning to go on strike in Belgium and Portugal from Jun 24 to Jun 26, according to a Reuters report. In France, they plan a strike from Jun 25 to Jun 26 and in Italy on Jun 25.

Unions are also planning to go on strike in Spain on Jun 24, Jun 25, Jun 26, Jun 30, and Jul 1-Jul 2.


A Ryanair spokesperson said that unions should try to negotiate for yielding improvements rather than disrupt Belgian customers’ travel plans, the Reuters report stated. RYAAY CEO, Michael O'Leary, said that the union allegations were "complete rubbish." "We fully comply with Belgian law, we have labor agreements here with both the pilot unions and the cabin crew unions," O'Leary said at a news conference. During a strike in April, less than 40% of Ryanair's Belgian flights were affected, O'Leary added.

Zacks Rank & Key Picks

Ryanair carries a Zacks Rank #5 (Strong Sell).
 
Some better-ranked stocks within the broader Transportation sector are as follows:

Star Bulk Carriers (SBLK - Free Report) carries a Zacks Rank #2 (Buy). The company's earnings have surpassed the Zacks Consensus Estimate in three of the preceding four quarters and missed once, the average surprise being 7.1%. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

Shares of Star Bulk have gained more than 19% in a year.

Golar LNG Limited (GLNG - Free Report) carries a Zacks Rank #2. The company has an impressive earnings surprise history, having outperformed the Zacks Consensus Estimate in three of the preceding four quarters and missed once, the average surprise being 42.1%.

Shares of Golar LNG have rallied more than 64% in a year.