You don't work against the herd if your holding at a higher price,just let them jump of the cliff while you sit back,relax and wait for a new herd of hill climbers to come along keen to get to the top.
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Agree 100%. Consensus analyst estimate for FY18 is 42 cps. Even if we assume it conservatively and gradually tails off after that to 30 cps in FY20, (I don't see it that conservatively) as the full effects of airline competition sets in and call that mid point in the cycle, put a PE of 11, which is the 10 year average and you get $3.30. I really think at this point the market is rather "fixated" with the increased competition and slightly softer consumer demand Qantas is experiencing. AIR's loads remain at the same robust level as last year which is better than any of the previous 5 years. P.S. AIR's balance sheet in far more robust state than QAN's. I always said that QAN SP was overdone relative to AIR and we're seeing that play out now with QAN getting absolutely thumped, down a full dollar since that most recent announcement of their's, (which actually didn't look as bad as some appear to think it did, by my interpretation).
QAN's thumping dragging AIR down in the downdraft, opportunity knocks ?
Only Aucklanders could ome up with this explanation of AIR appearing to be so cheap -,
A decent house in Remuera = FPH type valuations
Same decent house in Mangere = AIR type valuations
As a Wellingtonian, is Mangere not a desirable place for a decent house?
Guess i was wrong about the bounce.
There have certainly been alot of explanations for the drop(I wonder which ,if any are right)
The one who seems to have been closest so far has..well,.. been categorically quiet:)
Maybe some day they will change everything around so that the SP is automatically computed by the earnings of the company,like a profit shareing plan--ok theres dividends but ive been fleeced a few times on SP waiting for a dividend.
Now if Luxton had been purchasing AIR shares ,Im sure the SP would have benefited(it usually does) so a CEO selling is obviously the other side of the coin --we cant have our cake and eat it too.
Im surprised you are not all lining up for a subscription to Skids ''Gutometer''
Has anyone else noticed that the NZX has ''broken ranks'' the last few days?
The CEO's name is Luxon.
Air NZ eyeing Chengdu as next destination, report says
http://www.stuff.co.nz/travel/news/7...on-report-says
Just bought 16,000 at 2.67. I'm a sucker for a huge diividend and this one seems ridiculously huge. Still, as I found out with TTK, not all that glitters is gold.
What are the chances of a special dividend this year. I see one was paid in 2014.