BUZZ-European Airlines: MS values self help opportunities in uncertain 2019
** Morgan Stanley (Xetra: 885836 - news) sees many externalities weighing on sector in 2019 and looks to names where key earning deltas can be positive with self help
** Sees (Shanghai: 600481.SS - news) global macro momentum slowing, oil prices and USD movement providing challenging headwinds as Brexit and trade relations carry overhang in both business and leisure segments
** Upgrades Air France-KLM (Shanghai: 600686.SS - news) and Lufthansa to "overweight" from "equal weight" as the key self-help stories in 2019
** Cuts easyJet and Ryanair to "equal weight" from "overweight" to join Wizz Air (Frankfurt: WI2.F - news) as it prefers to await clearer outcomes on Brexit developments and summer capacity evolution
** Downgrades IAG to "underweight" from "equal weight" on growing concerns over top line momentum, costs headwinds and allocation of capital
** Sees IAG and Norwegian as the least preferred stocks at "underweight"