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International Consolidated Airlines (IAG) (IAG.L)

Industrials Dividend payer

IAG is the parent company behind major airlines like British Airways, Iberia, and Aer Lingus, connecting passengers and cargo across the globe.

£4.32
≈ 432p · London-listed shares are usually quoted in pence (GBX) elsewhere; the Almanac shows pounds (£1 = 100p).

Is International Consolidated Airlines (IAG) a good stock for a UK beginner?

The honest version: There's no rating here and nothing for sale. In its favour: Strong portfolio of well-recognised airline brands. Worth weighing: High sensitivity to volatile fuel prices. Below, we lay out what it does, what its numbers mean, and the honest risks, so you can decide for yourself.

No rating · no target price · nothing for sale here
Price+160.5%
= past earnings-report date
52-week range+17% past year
£4.32
Low £3.33High £4.93
Where today's price sits versus its past year - context, not a signal.
If you had put £1,000 into International Consolidated Airlines (IAG)
£2,605+160%

Over about 2 years to 2026-07-31. This is the share price only - reinvesting the dividends would add to it. Past performance is not a guide to the future, and it could just as easily have fallen.

How much has International Consolidated Airlines (IAG) actually fallen?

−39%

Over the last 2 years of daily prices, International Consolidated Airlines (IAG) fell as much as −39% from a high to a later low. Drops of this size are a normal part of owning a share - worth knowing in advance, so a dip doesn't come as a shock.

Worst peak-to-trough fall in the daily closing price over the period we hold. Past falls are not a forecast - it can fall further, or recover.

Market cap: The company's total value on the stock market - share price times the number of shares. Big = 'large-cap', small = 'small-cap'.
£19.02B
Avg volume: How many shares change hands on a typical day. Higher means it's easy to buy or exit without moving the price.
19.47M
Day range: The lowest and highest price the shares traded at during the latest day.
£4.15 – £4.41
52-week range: The lowest and highest the shares have traded over the past year - a sense of how wide the swings have been.
£3.33 – £4.93
P/E ratio: Price-to-earnings: the share price divided by yearly profit per share. Lower can mean cheaper; higher often means investors expect fast growth.
7.9
Dividend yield: The yearly dividend as a percentage of the share price - roughly the income you'd earn from dividends alone.
2.0%
Beta: How bumpy the share price is versus the whole market. Above 1 swings more than the market; below 1 is calmer. It's about the ride, not whether it goes up or down.
1.33
How bumpy is it?Beta: How bumpy the share price is versus the whole market. Above 1 swings more than the market; below 1 is calmer. It's about the ride, not whether it goes up or down. 1.33
Calm
Wild
Bumpier than the market

Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.

Why has it been moving?▲ +1% past week · ▲ +17% past year

Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.

The bull case

Long-term expansion of routes and improved operational efficiency.

The bear case

Structural changes in travel habits or prolonged industry downturns.

What does International Consolidated Airlines (IAG) do?

IAG operates a collection of well-known airlines, making money primarily by selling tickets to travellers and shipping cargo. They focus on balancing the high costs of running a fleet of planes with the fluctuating demand for air travel. Keep tabs on how they manage fuel costs and debt while keeping their planes full of passengers.

VQGMI
Factor profile

On our factor screen it looks strongest on value and income, and weakest on quality.

Value: How cheap the stock looks versus profits, sales and assets (higher = cheaper). 67Quality: How profitable and financially healthy the company is (higher = stronger). 37Growth: How fast revenue and earnings are growing (higher = faster). 60Momentum: How the share price has been trending recently (higher = stronger recent run). 45Income: The dividend income on offer and how sustainable it looks (higher = more/steadier). 65
Quick checks
What's strong
  • Strong portfolio of well-recognised airline brands
  • Significant recent growth in earnings
  • Solid profit margins for the airline sector
What to watch
  • Geopolitical tensions disrupting flight paths
  • Potential for industrial action or staff strikes
  • Regulatory changes affecting aviation emissions and costs

What do International Consolidated Airlines (IAG)'s numbers mean?

P/E
7.3
This shows you are paying £7.30 for every £1 of the company's annual profit, which is a way to see how much the market is currently valuing those earnings.
Lower than most of the 106 Industrials shares we cover
P/S
0.6
This compares the company's total market value to its yearly sales, suggesting the market is currently valuing each pound of revenue at a discount.
Lower than most of the 123 Industrials shares we cover
Net margin
10.4%
This tells us that for every £100 of ticket sales, the company keeps about £10.40 as actual profit after all expenses are paid.
Around the middle of the 123 Industrials shares we cover
Beta
1.3
A number above 1 means the share price tends to be more jumpy or volatile than the wider stock market.

How much money does International Consolidated Airlines (IAG) make?

Revenue and profit by quarter, and how much of each sale turns into profit.

RevenueNet income
€0€2.33B€4.66B€7.00B€9.33BQ2 25Q3 25Q4 25Q1 26Q2 26
Gross margin
39.0%
Net margin
10.4%

Does International Consolidated Airlines (IAG) pay a dividend?

Yes - International Consolidated Airlines (IAG) currently pays a dividend of about 2.0% a year (the yearly payout as a share of the price). A dividend is a slice of profit handed to shareholders; the yield moves as the price moves, and a company can cut or stop it.

What do the numbers say about International Consolidated Airlines (IAG)'s dividend?

There's no rating here, and we don't judge whether the dividend will continue - that would be advice. Here are the figures income investors usually look at, and what each one means, so you can weigh it up yourself.

Dividend yield2.0%The yearly dividend as a percentage of today's price. A very high figure often means the price has fallen because the market expects a cut, so a big yield is a question to look into, not a prize.
Payout ratio15%The share of profit paid out as dividends. A lower figure leaves headroom; near or above 100% means most or all of the profit is going out as dividends.
Dividend cover6.6×Profit divided by the dividend (the payout ratio the other way up). As a rough convention many income investors like around 2× or more; below 1× means the company paid out more than it earned that year.

Figures are from the latest available data and can be distorted by one-off results. Past payments don't predict future ones, and a dividend can be cut at any time. This lays out the numbers to help you understand them - it is not a view on what will happen.

When does International Consolidated Airlines (IAG) report earnings, and how did recent quarters go?

International Consolidated Airlines (IAG) is next scheduled to report on about 2026-11-06 - dates can move, and we don't predict results; this just tells you when to look.

Each quarter a company reports its results against what analysts expected. ‘Beating’ or ‘missing’ is about that expectation, not whether the business is doing well in absolute terms.

International Consolidated Airlines (IAG): reported versus expected earnings per share, recent quarters
ReportedExpected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number.Actual EPSvs expected
2026-07-30£0.19£0.18Missed -8%
2026-05-08£0.03£0.06Beat +119%
2026-02-26£0.15£0.14Missed -9%
2025-11-07£0.30£0.29Missed -4%
2025-07-31£0.20£0.24Beat +21%
2025-05-09£0.02Beat +746%

Across the last 6 quarters here, International Consolidated Airlines (IAG) came in ahead of what analysts expected 3 times. One quarter is noise, not a trend.

See who else reports over the next two weeks →

Reported vs expected earnings per share (EPS) from published results; the expectation is the analyst consensus, not our view. Report dates are estimates that can move.

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What are the scenarios for International Consolidated Airlines (IAG)?

An illustrative range for the year ahead, with the assumption behind each case — not a prediction or a price target.

£5£4£3today · £4▲ Bull · £5• Base · £4▼ Bear · £4in 1 yearILLUSTRATIVE · NOT A PREDICTION OR PRICE TARGET
Bull
+5% to +10%Strong summer holiday travel demand boosts ticket prices.
Base
-2% to +2%Stable travel patterns continue with no major disruptions.
Bear
-5% to -10%Unexpected spikes in fuel costs eat into profit margins.

What are the pros and cons of International Consolidated Airlines (IAG)?

3bull points
6bear points

How many points the write-up makes each way — a balance check, not a score or verdict.

The bull case3
  • Strong portfolio of well-recognised airline brands
  • Significant recent growth in earnings
  • Solid profit margins for the airline sector
The catch3
  • High sensitivity to volatile fuel prices
  • Business is highly dependent on the health of the global economy
  • Historically capital-intensive industry with high debt levels
Key risks3
  • Geopolitical tensions disrupting flight paths
  • Potential for industrial action or staff strikes
  • Regulatory changes affecting aviation emissions and costs
What would flip the thesis

The write-up's own warning lights — if these start happening, the case above changes.

Confidence: medium · data: GBP · flags: roe · Charts by TradingView Lightweight Charts™
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Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →

This plain-English summary was auto-generated on 2026-08-02 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.

Figures as of 2026-08-02. Prices may be delayed and numbers can go stale - always double-check before acting.