Anybody want to help buy a new plane?
Best Wishes
Paper Tiger
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Anybody want to help buy a new plane?
Best Wishes
Paper Tiger
Yes fair enough and its up from $2.00 in late 2014 at the time of the ASM. For those fortunate / wise enough to attend it was pretty obvious the company's profit growth was on a steep climb with or without the oil price tailwind.
The market world-wide is pricing in airline stocks like the oil price tailwind component of earnings isn't repeatable. I think from a competition and yield perspective AIR is better off with $70 oil anyway.
Much is made of AIR's high capex and they're paying out most of their cash flow to modernise and grow their fleet. Other companies on the NZX are rewarded for growth with or without, (usually without) contemporaneous EPS growth, often while incurring large losses, but those same people expect AIR to grow at its fastest rate in 75 year history without investing in new capex ?...go figure.
PE / cash flow are dirt cheap compared to other airlines and the growth in RPK is outstanding compared to other asia / pacific airlines, (double the industry rate) and yield compression with low oil prices has been modest.
Happy holder and unlike the vast majority of other airlines we're being paid well to enjoy future growth. I think patience will be rewarded.
Jetstar in the firing line I see.
This would never happen with a proper airline.
You read that Singapore Air Annual Report yet, Roger?
I think Airbus have confused me with either Tony Fernandes or Christoph Mueller.
Best Wishes
Paper Tiger
For years Emirates have wanted to be the first airline to fly around the world. The Aussies have blocked them to date. I wonder if this direct flight from Dubai to Auckland is intended to pressure Qantas, their code share partner into relaxing their position against a Syd - Lax service.
NZ has free skies policy and once the Dubai flights are here it won't be long before they operate Akl - Lax.
This might be why the share price took a significant hit after that announcement.
Thoughts???
Just as a side bar(although useless to the debate) we flew on a Pan Am ''round the world'' flight back in 1978---Well,maybe its not useless--look what happened to Pan Am.
It will be interesting to watch and see if that bollenger band breakout pans out--always happy to be in on a learning experience.
The TA vs FA always keeps this thread interesting
Jetstar's regional service is turning into a complete fiasco. No back-up planes when their ancient Q300's need unscheduled maintenance and no back-up staff when staff get sick, (something that inevitably happens from time to time).
Not yet on the Singapore report PT, been too busy having a great time socialising with other ST members :)