I disagree. I expect forward growth in travel demand in the foreseeable to be very strong driven off 1. The price for travel is incredibly cheap by any relative measure in the past. 2. The tsunami of baby boomers who have plenty of wealth to enjoy travel 3. Ultra low interest rates around the globe leaving substantial amounts of extra disposable income in people's pockets. 4. Continued real decreases in the price of travel as the efficiency of new generation aircraft is gradually passed on to customers. According to CNBC there's serious supply constraint with the average forward order time for new generation aircraft now out to eight years !!
AIR management some of the very best in the business. Profits for Qantas are not outrageous, especially in the context of them losing $2.8 billion last year :eek2:
Airline shareholders are sick of getting pummelled in bad times so have every right to make serious hay when the sun shines brightly :)
Disc I have a bigger stake in AIR, (my biggest position) than HNZ, second biggest.