Bombardier Inc. T.BBD.A

Bombardier has an excellent management

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Bombardier maintains its prices

Moreover , the fact that Bombardier failed to inflate his book orders for the CSeries as much as investors would like is a sign of good management will have a positive longer-term consequences , said a manager of equity portfolios that Quebec prefers to remain anonymous .

That means is that Bombardier is well disciplined and keeps its prices. " It could quickly fill its backlog by cutting prices, but she would have to deliver possibly equipment on which it would lose money ," he said.

For example, if Air Canada has decided not to buy the CSeries aircraft is that its Embraer fleet of aircraft still has a certain lifespan. To replace it would have taken very cheaply , that Bombardier was probably not ready to grant it , he said.

But the strategy makes it an unpopular now because investors have a short-term view and react badly to each announcement of a new production delay or a missed command.

Not be the first

This also slows the controls for the CSeries is that it is a brand new plane, the manager adds Quebec actions.

Manufacturing and testing lagging about a year . It annoys buyers who are reluctant to be the first to acquire new equipment.

Bombardier is not the only one to suffer production delays. "The newest Airbus aircraft and Boeing have suffered the same fate ," says the manager.

But not everything is black for Bombardier , he said. It conducts three joint projects, the Global for which she received a lot of orders , the CSeries and Learjet . In each case , large expenditures have been made . " Patient investors could be rewarded one day ," he says.

Reference in French :
https://www.lesaffaires.com/bourse/analyses-de-titres/bombardier-la-mal-aimee/569194