Are you sure you don't mean EBITDAR?

AC usually doesn't include minor expenses like aircraft in their earnings reports.

 

No the numbers I had was for EBITDA.

The point I was trying to make was just that an FTer used a silly argument to tell another FTer that they were making a silly argument. P/E is an 'ok' quick yardstick if you are considering non-cyclical low growth stocks. Mostly because if the stocks have high growth opportunities or are coming out of the lows of a cycle, they will have a very high P/E ratio, but a high P/E ratio given the axioms of P/E analysis means that the stock is overvalued. The inverse is also true (a stock coming out of a high cycle and with decreasing growth will have a low P/E, but is obviously poised for a decline). So it's actually just a really bad metric for most stocks. Like saying "this vegetable is bad for you because I don't like how it tastes".


But in know way I think AC is a good current investment (I haven't done proper homework on it, and I certainly wouldn't advertise it for free on FT), but just using EV/EBITDA can show how the analysis can go from one extreme to the other in about half a second.

 

I notice that Air Canada stock peeked below $10 this morning.

So can we finally agree that Air Canada's stock price has almost no relationship to the quality of Air Canada's management or management decisions?

 

Oh no not this thread again please I beg you.

 

I love the book value per share : -$0.18

 

http://www.fool.ca/2015/12/23/air-ca...rm-investment/

Wat.

 

This thread needs to die in a fire.

 

AC stock on track to crash through $9 floor, lower Dec LF YoY ........ All this capacity build-up against a backdrop of Economic uncertainty .........

Would be nice to see some Exec accountability instead of pats on the back if this aggressive position from AC turns out to be a mistake as many of us around here have long thought

http://finance.yahoo.com/news/air-ca...130000444.html

 

It's got a long way to go before it hits its original $1-$2 range.

 

Everything crashed today. I bought some AC stock.

 

The original price for this version of AC was $20.

 

Well I just bought 2 shares of DAL. If I can gain a couple dollars on each, I'll have made enough off Delta to buy a beer!

 

To answer this question without divulging anything that I shouldn't be divulging....after speaking to a senior director at AC today, one thing I was impressed with is how disciplined Air Canada is when it comes to their numbers. Costs/profits etc. No wonder their stock is doing much better. Like them or hate them, they run a tight ship when it comes to numbers.

 

Yep, the stock is doing brilliantly:

 

Ken, you know full well what I'm talking about. Take a look at the 5 year stock outlook. And plus, you know full well the markets have been doing crappily over the last year (inclusive of 2015). 5 years ago the price was $3.39.