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How to Buy easyJet Shares UK for Beginners

Tobi Opeyemi Amure
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How to Buy easyJet Shares UK for Beginners

In a nutshell, to buy easyJet shares in the UK, start by selecting a reputable brokerage that offers access to the London Stock Exchange, where easyJet shares are listed. Open a trading account with the chosen broker, providing necessary personal and financial information. Once your account is set up and funded, search for easyJet’s ticker symbol ‘EZJ’ on the trading platform. Then, you can place an order to buy the desired number of easyJet shares, choosing between different types of orders based on your investment strategy.

In this guide on ‘How to Buy easyJet Shares UK’, I’ve outlined the essential steps and insights to guide you in investing in one of the UK’s leading airlines.

You’ll find clear, straightforward advice on selecting a broker and navigating the investment process to confidently make your first easyJet share purchase.

This article was reviewed by Tobi Opeyemi Amure, a trading expert and writer at InvestopediaInvesting.com, and Trading.biz.

How to Buy easyJet Shares in the UK – Step-by-Step Guide

Here’s a simple step-by-step guide to help you invest in easyJet shares.

1. Choose a broker

Select a reputable broker that offers access to the London Stock Exchange (LSE), where easyJet is listed. Compare brokers based on fees, ease of use, customer service, and the tools they offer.

2. Open a trading account

Register for an account with your chosen broker. This process typically involves providing personal details for identity verification, such as your name, address, National Insurance number, and banking information.

3. Deposit funds

Fund your trading account. Most brokers accept various funding methods, including bank transfers and debit/credit card payments. Ensure you deposit enough to cover your intended easyJet share purchase, accounting for any applicable fees.

4. Research easyJet shares

Before buying, conduct research on easyJet. Look into its recent share performance, financial health, market news, and analyst reports. This information will help you make an informed decision about your investment.

5. Place an order

Once your account is funded and you’ve done your research, navigate to the trading platform and search for easyJet’s ticker symbol, ‘EZJ’.

Decide on the number of shares you want to buy and select the type of order (e.g., market order, limit order). Review and confirm your order.

6. Monitor your investment

After purchasing easyJet shares, regularly monitor your investment. Keep an eye on easyJet’s performance and relevant market news that could impact the stock price.

Adjust your investment strategy as needed based on your financial goals and market conditions.

7. Selling your shares

If you decide to sell your easyJet shares in the future, you can do so through the same broker.

Simply enter the selling interface on the platform, specify the number of shares to sell, and execute the sale.

Best Place to Buy easyJet Shares UK

In 2023, around 2 in 5 Brits (42%) invest and trade, up from 36% in 20211.

Choosing the best trading platform for investing in easyJet shares is crucial for newcomers in the market.

Having worked in the retail investment sector in London over the last four years, I had the opportunity to experience the rise first-hand.

Additionally, in my role working for one of the UK’s leading financial companies, “a trustworthy and respected provider of news, education and market analysis for the everyday investor”, I was able to work with and test some of the biggest UK stock brokers in the market.

Using my experience in this field, I’ve picked two of the best places to buy easyJet shares in the UK.

Factors such as fees, commissions, usability, trading platforms available, research tools, educational materials, and additional features were considered.

Both of the platforms I’ve reviewed below are regulated by the UK’s financial watchdog, the Financial Conduct Authority (FCA) or similar.

1. eToro – Overall best place to buy easyJet stock UK

eToro – Overall best place to buy easyJet stock UK

eToro emerges as a top choice for UK investors looking to buy easyJet shares, blending user-friendliness with cost-effectiveness.

As a multi-asset investment platform, it offers 0% commission on real stocks, making it an economical option for trading shares.

Notably, eToro is regulated by the Financial Conduct Authority (FCA) and covered by the Financial Services Compensation Scheme (FSCS), ensuring a high level of safety and regulatory compliance for investments up to £85,000.

The platform is particularly accessible for beginners, featuring a straightforward account opening process and a minimum deposit requirement of just £50. Funding options are diverse, including debit/credit cards, e-wallets, and UK bank transfers.

Additionally, eToro stands out for its social trading aspect, allowing users to copy the trades of experienced investors in real time, which is especially beneficial for those new to trading.

eToro supports fractional ownership from as low as $10 per trade, enabling investors to start small.

The platform also offers a range of other investment opportunities, including ETFs, forex, and commodities, allowing for a diversified portfolio.

For convenience, eToro provides a user-friendly mobile app for iOS and Android, enabling trading on the go and efficient portfolio management.

Moreover, eToro offers additional tools and features, such as ProCharts for advanced technical analysis, various risk management tools, and a demo account for practice.

The platform caters to both beginner and experienced traders with its array of assets and trading tools.

eToro’s combination of regulatory safety, low fees, diverse trading options, and user-friendly interface makes it an excellent platform for UK investors to buy easyJet shares.

Whether you’re a beginner or an experienced trader, eToro’s features and services are designed to accommodate a wide range of trading needs and preferences.

Read my complete eToro review.

Zero commission means that no broker fee will be charged when opening or closing the position and does not apply to short or leveraged positions. Other fees apply including FX fees on non-USD deposits and withdrawals. Your capital is at risk. For more information, click here.

2. Plus500 – Good for trading easyJet CFDs

Plus500 – Good for trading easyJet CFDs

Plus500 stands out as an exceptional platform for trading easyJet stock CFDs in the UK.

It is a widely recognised CFD broker that is authorised and regulated by the FCA, ensuring a high level of security and compliance.

The platform is user-friendly and accessible, with native apps available for both iOS and Android devices. One of the key advantages of Plus500 is its commission-free trading across a wide range of markets.

This includes not only UK and US stocks but also a diverse selection from international markets, including stocks from South Africa, Hong Kong, and Australia.

For traders interested in more than just stocks, Plus500 offers various asset classes like indices, ETFs, forex, and commodities.

Plus500’s leverage options are notable, allowing traders to start with a minimum of £100 and gain the effect of £500 capital.

This amplifies both potential profits and losses, catering to traders who are comfortable with higher risk and reward scenarios.

Additionally, the platform offers advanced risk management tools like predefined Stops and Limits, and a Guaranteed Stop feature to help traders control their losses and secure profits.

Plus500 is a robust and reliable platform, ideal for UK traders looking to engage in CFD trading with easyJet stocks.

Its range of features, from advanced trading tools to commission-free trading and strong regulatory oversight, makes it a top choice for both novice and experienced traders seeking to capitalise on stock CFDs.

Read my Plus500 review.

Frequently Asked Questions About Buying easyJet Shares in the UK

Here are some answers to some of the most asked questions regarding purchasing easyJet stock in the UK.

Can I buy easyJet shares in the UK?

Yes, you can buy easyJet shares in the UK. To do so, you need to have an account with a broker that offers access to the London Stock Exchange, where easyJet is listed.

Many online trading platforms and brokers in the UK provide this service, with options for both traditional and online trading.

It’s important to research and choose a platform that suits your investment needs and preferences.

Should UK investors buy shares in easyJet?

When UK investors consider buying shares in easyJet, several factors need to be weighed. Firstly, the airline industry’s health, which easyJet is a part of, is crucial.

This sector is often affected by global events like economic shifts and travel trends. Investors should study these trends as they can impact easyJet’s performance.

Another key aspect is easyJet’s financial health. Examining the company’s earnings reports, debt levels, and revenue growth provides insight into its stability and potential for growth.

It’s also beneficial to compare easyJet with its competitors in the airline industry. This comparison can highlight easyJet’s market position and future prospects.

Additionally, investors should be aware of the inherent risks of stock market investments. The aviation sector, in particular, can be volatile.

It’s important to align any investment in easyJet with personal risk tolerance and investment goals.

Is it safe to invest in easyJet?

Investing in easyJet, like any stock, carries inherent risks and is subject to market fluctuations.

The safety of investing in easyJet depends on the company’s financial health, the stability of the airline industry, and broader economic conditions.

Investors should consider these factors along with their personal risk tolerance and investment goals. It is advisable to conduct thorough research or consult a financial advisor before making any investment decisions.

How to sell easyJet shares?

  1. Log in to your brokerage account where you hold easyJet shares.
  2. Navigate to the trading section and search for easyJet’s stock ticker, ‘EZJ‘.
  3. Enter the number of shares you wish to sell and choose the type of sell order (e.g., market, limit).
  4. Review and confirm the transaction details.
  5. Execute the sale order and monitor the execution status.

Why invest in easyJet?

Investing in easyJet can be an attractive option for several reasons. First, easyJet is a well-known brand in the low-cost airline sector, with a strong market presence in Europe.

This brand strength can be a key driver for the company’s financial success and stock value.

Second, easyJet’s business model focuses on cost efficiency, which can lead to robust profit margins in favorable market conditions.

The airline’s ability to maintain low operational costs while offering competitive pricing can be a significant advantage, especially in a recovering travel market post-pandemic.

Third, the airline industry’s growth potential post-COVID-19 is another factor. As travel restrictions ease and tourism rebounds, airlines like easyJet may experience increased demand.

This potential upswing in travel could positively impact easyJet’s revenue and stock price.

However, it is important to remember that the airline industry can be volatile, influenced by factors such as fuel prices, regulatory changes, and economic conditions.

Therefore, while there are compelling reasons to invest in easyJet, investors should also be aware of these risks.

Thorough research and consideration of personal investment goals and risk tolerance are crucial before investing in airline stocks like easyJet.

What to consider before investing in easyJet shares?

Investing in easyJet shares requires careful analysis.

First, examine easyJet’s financial health. Look at revenue trends, profit margins, and debt levels. These metrics show the company’s stability and growth potential.

Understand the airline industry’s market dynamics. Factors like fuel costs, travel demand, and regulatory changes impact easyJet’s operations. Stay informed about these trends.

Evaluate easyJet’s standing against rivals. Consider factors like market share, route network, and customer loyalty. These elements define easyJet’s competitive edge.

Assess the strength of easyJet’s leadership team. Effective management can steer the company through challenges. Review their track record and strategy.

Consider risks outside easyJet’s control. These include economic downturns, geopolitical events, and health crises like pandemics. Such factors can affect airline performance.

How to buy easyJet shares UK for beginners?

  1. Research Brokerages: Find UK-based brokerages offering easyJet shares. Compare fees, services, and user reviews.
  2. Open an Account: Choose a brokerage and open a trading account. Provide personal and financial details as required.
  3. Deposit Funds: Transfer money into your brokerage account. Use bank transfer, credit card, or other methods offered by the broker.
  4. Understand easyJet’s Stock: Research easyJet’s stock symbol (EZJ). Study its performance history and market trends.
  5. Decide Investment Amount: Determine how much you want to invest in easyJet shares. Consider your budget and risk tolerance.
  6. Place an Order: Use your brokerage platform to buy easyJet shares. Select the number of shares or the amount of money you wish to invest.
  7. Review and Confirm: Double-check your order details. Confirm to complete the purchase.
  8. Monitor Your Investment: Regularly check the performance of your easyJet shares. Stay informed about company and market news.

What are the risks of investing in easyJet shares?

Investing in easyJet carries risks due to market volatility. The airline industry is sensitive to economic changes. Recessions can lower travel demand, impacting easyJet’s profits.

Fuel price changes also affect costs. High fuel prices can reduce profit margins.

easyJet faces stiff competition from other low-cost and traditional airlines. This competition can lead to price wars. Price wars can reduce profits. Increased competition from new market entrants is also a risk.

The airline industry is subject to strict regulations. Changes in aviation laws can impact operations. New safety rules or environmental laws can increase costs. These changes can affect easyJet’s profitability.

easyJet operates in multiple countries. This exposes the company to currency risks. Currency value changes can affect earnings. For example, a weaker pound can reduce profits from non-UK operations.

Operational risks include flight delays and cancellations. These can arise from technical issues or external factors like weather. Such disruptions can lead to customer dissatisfaction and financial losses.

Investors should consider these risks before investing in easyJet. Market volatility, competition, regulatory changes, currency fluctuations, and operational risks are key factors.

These elements can significantly impact easyJet’s financial performance.

What’s the best time to invest in easyJet stock?

To find the best time to invest in easyJet stock, analyse market trends. Look at the airline industry’s health. Check for signs of growth or decline. Note how economic conditions affect travel demand.

Strong economies often boost travel, benefiting airlines like easyJet.

Examine easyJet’s financial health. Look at its earnings reports. Check for steady profit growth or signs of trouble. Review how easyJet manages costs, like fuel and operations. Strong financial health can signal a good time to invest.

Airline stocks often show seasonal trends. Summer and holiday seasons can boost travel demand. This can lead to higher profits for easyJet. Consider investing before these peak times. Avoid times when travel demand is low, like the off-season.

External factors like oil prices and political events can impact airline stocks. High oil prices can raise costs, hurting profits. Political stability in key markets is important. Turmoil can reduce travel demand. Monitor these factors closely.

What’s the minimum required investment for easyJet?

The minimum investment in easyJet depends on its current stock price. The stock price is the smallest amount you pay for one share. This price changes based on market conditions. Check the latest price to know the minimum investment.

Your choice of brokerage also matters. Different brokers have different rules and fees. Some allow buying fractions of a share. This can lower the minimum investment.

Others might require buying whole shares. Check with your broker for specific details.

Consider extra costs like trading fees. Some brokers charge fees per trade. Others offer free trades. These fees can add to your investment cost. Always check for any extra charges before investing.

Final Thoughts

Buying easyJet shares in the UK involves several key steps.

Start by researching the company’s financial health and market position.

Choose a reputable brokerage that aligns with your investment goals and budget. Be aware of market trends, and consider the best time to invest based on these trends.

Remember to account for any associated fees and the minimum investment required, which depends on the current stock price and your broker’s policies.

Finally, stay informed about ongoing market and company-specific developments to make well-informed decisions.

By following these guidelines, you can navigate the process of buying easyJet shares in the UK with confidence.

FAQs

What’s the cheapest way to buy easyJet stock?

The cheapest way to buy easyJet stock is through platforms offering commission-free trading. eToro is a popular option for this, as it allows investors to buy stocks without paying commission fees. However, it’s important to consider other potential costs, like withdrawal or inactivity fees. Always review the full fee structure of any platform before investing.

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Sources:

  1. https://www.finder.com/uk/investment-statistics ↩︎

Will Fenton is the founder of Sterling Savvy. He is a personal finance expert and writes about trading, investing, budgeting, and other financial topics.

Along with his education in Economics & Finance, he has experience working in the financial services industry in London working for one of the UK’s leading financial companies, “a trustworthy and respected provider of news, education and market analysis for the everyday investor”.

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