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What drives Air Canada's stock price?

What drives Air Canada's stock price?

Old Feb 18, 2016, 9:17 am
  #181  
 
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Originally Posted by KenHamer

But Mr. Rovinescu had strong words when asked by analysts on a conference call about the airline’s decision to stop issuing monthly traffic figures and whether it considered offering more disclosure every month instead of less.

“To be very blunt, we’re not running this company for the benefit of short-term investors from a day-to-day basis or from a month-to-month basis,” said Mr. Rovinescu.


Until such time, of course, that there are again month to month increases in monthly traffic figures.

But I do stand corrected. Apparently executives can have a profound impact on share prices, at least in the downward direction.
The labour groups at AC should stick this "we're thinking long-term, not worried with monthly/quarterly blips" talk from Calin on their bulletin board. Might be useful to remind him of the "long term view" if/when he decides headcount reductions are required to deal with short term performance

Surely Calin will adopt the same long-term view on staffing decisions he expects from his investors. Sure
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Old Feb 18, 2016, 1:03 pm
  #182  
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AC should be in better position once the Liberals act on their pledge to remove the final restraints on AC which requires its HQ to be in Quebec, though this won't be a popular move in that province which is already reeling from the Bombardier layoffs, though that bumped that company's stock by 20%+ yesterday and another 10%+ today.
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Old Sep 30, 2016, 11:58 am
  #183  
 
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sorry (but happy) to bump this old thread

Today, 9/30
Can't believe it, AC reached $10.55 YTD high.. ($12.29 52w high)
That's like +10% this week ($9.34 low)
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Old Oct 3, 2016, 5:35 pm
  #184  
 
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Another +6.42% day today

Range 10.65 - 11.28
52 week 6.81 - 12.29

5 Day +17%
1 Month +24%

Finally we're catching up with WJA YTD (both around +11%)

https://www.google.ca/finance?q=TSE%3AAC
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Old Oct 3, 2016, 5:38 pm
  #185  
 
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Get them calls while they are hot
But wow, nice run since last week, Was it due to that Barrons hype piece and that 17 PT?
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Old Oct 3, 2016, 8:53 pm
  #186  
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So they're only down 8% from their 52 week high?

Time to buy high and sell low? Seems to me the last time AC had a run up like this, lots of people got burned.
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Old Oct 6, 2016, 2:54 pm
  #187  
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http://business.financialpost.com/in...debt-reduction

RBC Capital Markets believes its time for the Air Canada bears to go into hibernation.

The bank named Air Canada a top pick and raised its target price to $18 from $14, calling it by far the most interesting investment opportunity in our coverage universe.
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Old Oct 6, 2016, 3:07 pm
  #188  
 
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Originally Posted by tcook052
http://business.financialpost.com/in...debt-reduction

RBC Capital Markets believes its time for the Air Canada bears to go into hibernation.

The bank named Air Canada a top pick and raised its target price to $18 from $14, calling it by far the most interesting investment opportunity in our coverage universe.
If Deutche Bank has a Lehman Bros moment, that prediction will change fast.
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Old Oct 6, 2016, 3:08 pm
  #189  
 
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Sell on the hype
Buy on the doom
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Old Oct 6, 2016, 7:29 pm
  #190  
 
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Today = new 52w high of $12.59
No words for this crazy run... it's about time?

12.53 +0.65 (5.47%)
Oct 6 - Close
52 week 6.81 - 12.59

TD still has AC on its Action Buy, with $22 or $23 PT
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Old Oct 7, 2016, 11:51 am
  #191  
 
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Originally Posted by jerryhung
Today = new 52w high of $12.59
No words for this crazy run... it's about time?

12.53 +0.65 (5.47%)
Oct 6 - Close
52 week 6.81 - 12.59

TD still has AC on its Action Buy, with $22 or $23 PT
with all due respect, as a former investment banker, 'buy' recommendation from people who sell securities is mostly BS.
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Old Oct 13, 2016, 11:23 am
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http://www.theglobeandmail.com/globe...ticle32336739/

(Sorry, Globe Subscribers only).

"Investors may have been unprepared for Air Canadas recent liftoff. In 11 trading days since late September, its up by more than a third, hitting a new 52-week high of $12.70 late last week. The company has only provided an innocuous, but positive, announcement on debt restructuring during this time.

As it turns out, a fair amount of the gain may be coming because big investors, particularly in the United States, are warming to the Air Canada thesis."
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Old Oct 13, 2016, 8:02 pm
  #193  
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Originally Posted by fin 645
http://www.theglobeandmail.com/globe...ticle32336739/

(Sorry, Globe Subscribers only).

"Investors may have been unprepared for Air Canadas recent liftoff. In 11 trading days since late September, its up by more than a third, hitting a new 52-week high of $12.70 late last week. The company has only provided an innocuous, but positive, announcement on debt restructuring during this time.

As it turns out, a fair amount of the gain may be coming because big investors, particularly in the United States, are warming to the Air Canada thesis."
Read this today too. It implied AC stock was undervalued compared to the US big three: UA, AA and DL. All of these airlines trade in the U$30++ range and have been up recently, and IIRC both AA and DL are paying quarterly dividends. AC has never paid a dividend (figure those who bought <$2 a share have received plenty of rreturns) and it isn't slated to, which may be detrimental to a wider acceptance in the US.

I think AC's best years for investors are behind them...cannot see the stock rising into the $20s any time soon, though I won't complain if the shares do take off again.
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Old Oct 13, 2016, 8:14 pm
  #194  
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Originally Posted by Shareholder
Read this today too. It implied AC stock was undervalued compared to the US big three: UA, AA and DL. All of these airlines trade in the U$30++ range and have been up recently, and IIRC both AA and DL are paying quarterly dividends. AC has never paid a dividend (figure those who bought <$2 a share have received plenty of rreturns) and it isn't slated to, which may be detrimental to a wider acceptance in the US.

I think AC's best years for investors are behind them...cannot see the stock rising into the $20s any time soon, though I won't complain if the shares do take off again.
Let's look at my favorite number: the P/E ratio

AAL: 3.77
DAL: 6.51
UAL: 5.72
TSE:AC: 6.07

Either AA is undervalued, or DL and AC are overvalued.

I suppose the third option is that DL/AC are expected to suddenly start making a crapload more money. But that seems less likely.
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Old Oct 13, 2016, 9:17 pm
  #195  
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Originally Posted by Jumper Jack
Sell on the hype
Buy on the doom
I think Warren Buffet made his fortune doing exactly the opposite.

(I'd claim I was drunk, but I don't drink.)

Last edited by KenHamer; Oct 13, 2016 at 9:42 pm Reason: Because Buffet actually did exactly the same.
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