RE:RE:RE:RE:Too quick, too soon"I simply wonder, how does one value Air Canada's stock at $20? Is this just a day trading driven gamble?"
I think everyone pretty much agrees that within the airline group AC is the best choice - best liquidity, best financials, etc. So, if this turns out to be a fast recovery - AC will reward you well, if this turns out to be a slow recovery - AC will reward you well but it will take some time. If you want to be invested in travel/tourism/transportation - AC is one of the best choices but the real question is do you want to be invested in those sectors at all?
I did really well during the recovery to the 2008 GFC by investing in zinc mining stocks. Zinc is about as far away from the financial sector as you can get but zinc producers got decimated by a huge reduction in demand. I knew that, eventually, demand would come back. Didn't know how long it would take but knew eventually it would have to come back - took about 18 months and paid off huge.
So, IMO, that's what a person needs to do now - find an industry that's been beat down and will eventually recover, decide how much you can invest for a long term and then invest in the best player within that industry. I think AC meets the criteria - it's absolutely worth more than $20 - eventually. Will it fluctuate up and down from this price - IDK. Some people want to profit from the ups and downs (I might even be one of those people!) - I bought at 15, sold at 19, bought again at 16, sold at 19. Some time soon I will buy and hold because as soon as the numbers (of CV19) start dropping the price will surge. I'm not saying that a price surge is justified just that it will. IMO, eventually AC will be worth much more than $20 - how long that might take is anybody's guess.