One airline is set to announce next week that they are leaving the NZ market and taking their aircraft to a more profitable routing where they can sell bottoms on seats rather than cargo in the boot. Big hit for NZ importers/exporters.
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One airline is set to announce next week that they are leaving the NZ market and taking their aircraft to a more profitable routing where they can sell bottoms on seats rather than cargo in the boot. Big hit for NZ importers/exporters.
Seems some investors must be thinking that way currently. With all going on with AIR and Covid it seems surprising the SP has actually increased back into the 1.5 range. Is the power of the retail investors strong enough now to hold an SP up higher than what it should actually be, simply through the belief that Air NZ cant fail and will come back. Goes against all logics that SP is not still steadily falling with the looming deferred capital raise and ever increasing debt.
How has the SP gone back up to 1.55!?
It could be from a cargo perspective.. but what it does highlight is that NZ is getting left behind in the economic recovery due to our border policy and low vax rates. Our national carrier cant openly sell bums on seats, while the rest of the world is starting to.
just need to persuade our PM to share a view similar to her Singaporean and Australian counterpart that's all
Does it make any sense that AIR is rallying looking to test resistance of 1.60. With massive inevitable looming capital raise, and huge debt by then, how is the market rallying AIR currently?? By most analysts accounts AIR SP will be below $1 (possibly 0.75-0.85) by the time the capital raise comes around, so shouldn't we be seeing a gradual steady decline in SP?
Totally agree. I spoke with a mate who is still in and he believes they are worth close to $2 per share when things get up and running. Plus many of his mates who are tradies are into AIR. I mentioned to him to consider selling while the price is this high. I don't know why during a pandemic that you could "invest" in AIR
The incredible thing imo is that this is all written in the history of AIR, after the Ansett debacle in 2001 which in current times will be the Covid debacle. It's even published on NZX, the story of Covid for AIR will read very similarly to the second paragraph of the history. I recall the SP falling to $0.21 (from I think over $11 a year earlier) and existing holders were severely screwed and diluted to oblivion.