Air Canada T.AC

Alternate Symbol(s): ACDVF

Industrials Airlines

Air Canada is an airline company. The Company is a provider of scheduled passenger services in the Canadian market, the Canada-United States (U.S.) transborder market and the international market to and from Canada. It provides scheduled service directly to more than 180 airports in Canada, the United States and internationally on six continents. The Company’s Aeroplan program is Canada's premier travel loyalty program, where members can earn or redeem points on the airline partner network of 45 airlines, plus through a range of merchandise, hotel and car rental rewards. Its freight division, Air Canada Cargo, provides air freight lift and connectivity to hundreds of destinations across six continents using its passenger and freighter aircraft. Its Air Canada Vacations is a tour operator, which is engaged in developing, marketing, and distributing vacation travel packages in the outbound/inbound leisure travel market. Air Canada Rouge is Air Canada's leisure carrier.

TSX:AC - Post by User

Air Canada > LCC

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Comment by Nordicoon Mar 15, 2024 11:16pm

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Post# 35936195

RE:LCC

Dumb.

givemeabreak1 wrote: I stated a few years ago this thing will hang around $15 to $20 forever and it anything it goes lower rather than higher. This is during the days when some were calling for $5 and The bones were stating $100 a share by now.

So where are they? Exactly where I said they would be! While not really ugly I have doubled the value of my portfolio in this same time frame so the opportunity lost has been the big issue!

So where do they go from here? Hard to say but I would be worried them and West Jet have lost a big percentage of the domestic market of late and that is where they had their dominance. Fortunately, the economy has not been bad but there are headwinds. One of the biggest is mortgage and debt defaults. During Covid Real Estate ran up big time but mortgages were record lows. Most of these mortgages were taken out in 2020 with most carrying a 5 year term. They come do soon and people are realizing their mortgage interest is about to double and as this happens they cannot pay their bills so travel is not going to happen!

If the downturn happens and even if it doesn't a good portion of the Canadian public will not be flying next year just because of debt. I know the bones will say but AC is making so much money on the International routes making up for lost domestic markets. Well firt the LLC are just starting to whack them so just wait. The other answer to that is that about 1/3 of all Canadians are born elsewhere so these 1/3 travel to see relatives as often as possible at the same many of these are new home or Condo owner so their debt is about to hit the fan!

Look for AC to see low teens this year so no rush to buy shares!