Air Canada will increase direct flights between China and Canada starting from December to help bolster economy and trade between the two countries and promote further recovery of China-Canada air transportation, CAAC news reported on Wednesday.
Air Canada (ACDVF) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Air Canada is undervalued compared to peers and historical multiples, presenting a compelling value opportunity supported by a detailed discounted cash flow model. The recent labor dispute resolution and potential economic recovery position Air Canada for significant price appreciation, with a price target of $21/share. Key risks include rising variable costs, particularly jet fuel prices, and economic slowdown, which could negatively impact operating margins and travel demand.
Air Canada reported 2Q24 revenues of $5.52 billion, reflecting a 2% year-on-year growth. However, margins have deteriorated due to price pressures on multiple fronts. Looking forward, the company continues to aggressively expand its fleet, adding a total of 90 aircraft to its operational fleet by 2029. Despite modest growth and deteriorating margins, the company can generate sustainable cashflows. Valuation analysis suggests that there is a potential upside of 179%, indicating a huge margin of safety.
Air Canada pilots have voted to ratify a new four-year labor deal with the country's largest carrier, the union said on Thursday, eliminating the risk of work stoppages despite concerns by some members about pay for entry level aviators.
Air Canada (TSX:AC.B) and the union representing its pilots have reached a tentative four-year collective agreement, averting a strike or lockout. The airline was preparing to start cancelling flights ahead of a total shutdown of its operations as early as September 18.
Air Canada said early on Sunday it had reached a tentative agreement with its pilots union over a new four-year collective agreement, in a deal that will avert a near-term strike or lockout.
Air Canada (TSX:AC.B) said the Canadian federal government should be prepared to intervene should the airline's pilots go on strike next week, impacting at least 110,000 travellers per day. A strike could start as early as Wednesday, September 18, however, some of Air Canada (TSX:AC.B)'s operations such as cargo and vacation packages are impacted starting Friday.
Around 100 business groups on Wednesday urged Ottawa to prevent a strike by Air Canada pilots, saying a stoppage would disrupt supply chains and spoil Canada's reputation as a reliable partner.
Air Canada is preparing to suspend most of its flights starting next Sunday as it faces a likely impasse in talks with its pilots over wage demands, the company said.
Air Canada is finalizing contingency plans to suspend most of its operations as talks with the pilot union are near an impasse, the airline said on Monday.
Canada is reluctant to force Air Canada's pilots back to work if they go on strike, a government source told Reuters this week, even though Ottawa took that step to end a work stoppage at the country's two railroads earlier this month.