AIR - Air NZ.

**Robomo** · 02-12-2015, 10:13 AM

I think you can be reassured about maintenance on AirNZ planes Marilyn.

Sales of AirNZ planes attract a premium price because of good maintenance, as do all the major legacy airlines. Problems are more likely to occur with smaller third world airlines flying old planes and skimping on maintenance simply to try and make a buck.

**Beagle** · 02-12-2015, 10:47 AM

And look Marilyn, AIR N.Z. beat out Etihad in those airline awards..maybe AIR should take over Etihad

Not too shabby for a little South Pacific majority Govt controlled airline is it

**Joshuatree** · 02-12-2015, 11:37 AM

From Craigs conviction list

Buy Air New Zealand (AIR)]AIR has marginally underperformed the New Zealand index since its inclusion on the HighConviction List. It is likely that its share price will be impacted by movements in the oil price, asthis is one of the drivers of its earnings via the cost of fuel. The low price of oil is currently asignificant tail wind for AIR. Analysts are forecasting a significant drop in earnings in FY17 forAIR, driven by an increase in the oil price, the roll off of beneficial exchange rate hedges andweaker yields as competition impacts its ability to fill its planes. We expect the oil price willremain low for longer and this alone will drive significant upgrades to FY17 earnings. Further, recent operating statistics have illustrated AIR’s ability to fill additional capacity and offset]increased competition by maintained flexibility in its network and introduce new routes. It isbenefitting from strong air travel trends, but we believe effective management is also playing itspart.
AIR is trading on an FY16 price to earnings multiple of only 5.3x, significantly below its long runaverage of over 11x, and offers an attractive gross dividend yield of more than 10%. It has astrong balance sheet and a relatively new fleet, reducing future capital requirements andproviding the potential for AIR to return capital to shareholders. We expect AIR will outperform asFY17 earnings forecasts are upgraded.

Pathetic s/p performance for a stock with so many "tailwinds" get [/COLOR]a move on or i put the inverter on those wide bodies

**winner69** · 02-12-2015, 12:03 PM

Once the brokers start touting higher earnings share price will zoom past $3 and beyond

That'll stuff the $2.40'ers up big time - That'll learn them to be knockers and advising punters to be careful, they will have got it well and truly wrong

**Zaphod** · 02-12-2015, 12:19 PM

Much of the reason for investment in this particular share has been the consistent incorrect projections made by brokers. I haven't yet seen anything to change my mind, based on the evidence they've presented thus far.

**Beagle** · 02-12-2015, 12:33 PM

Originally Posted by Joshuatree

From Craigs conviction list

Buy Air New Zealand (AIR)]AIR has marginally underperformed the New Zealand index since its inclusion on the HighConviction List. It is likely that its share price will be impacted by movements in the oil price, asthis is one of the drivers of its earnings via the cost of fuel. The low price of oil is currently asignificant tail wind for AIR. Analysts are forecasting a significant drop in earnings in FY17 forAIR, driven by an increase in the oil price, the roll off of beneficial exchange rate hedges andweaker yields as competition impacts its ability to fill its planes. We expect the oil price willremain low for longer and this alone will drive significant upgrades to FY17 earnings. Further, recent operating statistics have illustrated AIR’s ability to fill additional capacity and offset]increased competition by maintained flexibility in its network and introduce new routes. It isbenefitting from strong air travel trends, but we believe effective management is also playing itspart.
[FONT=Univers 45 Light]AIR is trading on an FY16 price to earnings multiple of only 5.3x, significantly below its long runaverage of over 11x, and offers an attractive gross dividend yield of more than 10%. It has astrong balance sheet and a relatively new fleet, reducing future capital requirements andproviding the potential for AIR to return capital to shareholders. We expect AIR will outperform asFY17 earnings forecasts are upgraded.

Sums the situation up well IMO. I see they made what looks like a very high calibre appointment as the new head of digital, http://www.nzherald.co.nz/air-new-ze...ectid=11554466

February isn't that far off and I'm looking forward to a cracker result and huge dividend. I continue to believe that N.Z. analysts are generally woefully pessimistic on FY17 and FY18 earnings and that big upgrades will be forthcoming in due course.

**Joshuatree** · 02-12-2015, 12:51 PM

Originally Posted by Zaphod

Much of the reason for investment in this particular share has been the consistent incorrect projections made by brokers. I haven't yet seen anything to change my mind, based on the evidence they've presented thus far.

The current s/p agrees with you there Zaphod. Its not ascending now so will it finally respond when results come in .Going on whats not happening now , who would want to predict a certain price in the future. Plenty of breathing space and profitable options with my re $2.40 entry.No way would i buy in at these levels until a decisive break upwards; look at the last two times, sheesh .