European airlines have been facing their fair share of headwinds including Brexit, Boeing 737 Max delays and oil prices. Ryanair Holdings CEO Michael O’Leary has been consistent in his outlook that the airline industry is going to face further consolidation while unprofitable airlines will go into bankruptcy. “I think inexorably the market is moving towards consolidation. The bankruptcy of Thomas Cook was the latest … we clearly think the next failure will be that of Norwegian.” Looking at StarMine quantitative models and analytics, a challenging picture is painted for low-cost carrier Norwegian Air Shuttle: a secular decline in stock price

Shares of Boeing Co (BA.N) fell 6.79% on Friday upon reports the company may have mislead FAA about the 737 MAX’s safety system. Analysts have been increasingly bearish ahead of this report, making downward revisions to earnings estimates. The airplane maker is expected to see 19Q3 YoY earnings descend 41.9%, down 4.9 percentage points from the Oct. 1, 2019 outlook. Despite the drag from Boeing, the outlook for the S&P 500’s aerospace & defense industry’s YoY 19Q3 earnings have remained relatively constant and are currently expected to decline 9.9% vs. the anticipated 9.1% decrease on Oct. 1.