sharetrader

Thread: AIR - Air NZ.

  1. #10831
    ShareTrader Legend Beagle's Avatar
    Join Date
    Jul 2010
    Location
    Auckland
    Posts
    21,362

    Default

    Based on $500m before tax and full 28% tax = $360m = 32 cps earnings this year. At $2.50 that puts the shares on a FY17 PE of just 7.8 which is considerably lower than QAN and other regional competitors. Management seemed confident at the conference call in conjunction with their half year report in February 2017 that yields look better going forward and I would say they have a better idea than any of the analysts or commentators on here including me.
    They are coming towards the latter part of their fleet replacement program and out on my walk today I got to thinking there is definitely some scope for special divvies in the medium term, (my thinking is not quite in line with Mod's thinking but there is definitely potential there probably in FY20 and FY21) as well as the expected 20 cps fully imputed giving them a gross dividend yield of (20 / 0.72) / 250 = 11.1%.

    I got to thinking this is still a very good hold. Technically, the SP looks to continue to be in a good solid recovery from October 2016. Trading well above MA100 and MA 200. Well managed companies on very undemanding multiples with a gross dividend yield like that are not exactly in over abundance on the NZX. Disc: Bought more this morning. Not expecting quick gains, just a good long term hold for really solid dividend yield.
    Last edited by Beagle; 26-04-2017 at 11:45 AM.
    Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.
    Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine

  2. #10832
    Senior Member
    Join Date
    May 2002
    Location
    ChCh, , .
    Posts
    1,358

    Default

    What bugs me about AIR is that they serve you chlorinated tap water...which smells and tastes awful....and I have flown on a few airlines.
    Last edited by troyvdh; 26-04-2017 at 07:57 PM.

  3. #10833
    ShareTrader Legend Beagle's Avatar
    Join Date
    Jul 2010
    Location
    Auckland
    Posts
    21,362

    Default

    Quote Originally Posted by troyvdh View Post
    What bugs me about AIR is that they serve you chlorinated tap water...which smells and tastes awful....and I have flown on a few airlines.
    Only ever seen them pour water from bottled sources or the little pre-packaged water. I've never been served chlorinated water on AIR and never had occasion to be disappointed with the water quality and I'm extremely fussy when it comes to the quality of the water I drink. I'll keep an eye out tomorrow, flying Auck - Wellington return to the SUM annual meeting, maybe things have changed very recently but I'd be very surprised if they had.
    Last edited by Beagle; 26-04-2017 at 08:16 PM.
    Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.
    Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine

  4. #10834
    Senior Member
    Join Date
    May 2002
    Location
    ChCh, , .
    Posts
    1,358

    Default

    I know this is trivial...in the past few years I have flown 4-5 times over seas..Hawaii/Houston/Oz...every time water came in cups...again I know this is trivial...but..

  5. #10835
    always learning ... BlackPeter's Avatar
    Join Date
    Aug 2007
    Posts
    9,497

    Default

    Quote Originally Posted by troyvdh View Post
    I know this is trivial...in the past few years I have flown 4-5 times over seas..Hawaii/Houston/Oz...every time water came in cups...again I know this is trivial...but..
    ... and you are right ... I remember as well getting chlorinated water on AIR long haul flights (i.e. when you really need the water to stay hydrated). Not so sure though, whether they still do that ... I now always take an empty water bottle with me and fill it at the airport (after the security check). I know - sad, but I resist to pay $5 or more for a simple bottle of water at the airport ...
    ----
    "Prediction is very difficult, especially about the future" (Niels Bohr)

  6. #10836
    Senior Member
    Join Date
    Jan 2015
    Posts
    512

    Default

    March stats is out.. what do you guys think?

  7. #10837
    Guru
    Join Date
    Feb 2005
    Location
    Auckland, , New Zealand.
    Posts
    3,227

    Default

    Water from bottles is one thing but all airlines pick up water from all ports of call and you get what is there. So water differences between airlines is imagination.

  8. #10838
    IMO
    Join Date
    Aug 2010
    Location
    Floating Anchor Shoals
    Posts
    9,696

    Default

    I just wear my recycling suit, don't even have to carry a bottle.
    Stillsuit | Dune | Fandom powered by Wikia

  9. #10839
    IMO
    Join Date
    Aug 2010
    Location
    Floating Anchor Shoals
    Posts
    9,696

    Default

    Looks like things are slowing down Quite a drop on shorthaul and long haul Rev compared with last year although numbers were higher?

  10. #10840
    ShareTrader Legend Beagle's Avatar
    Join Date
    Jul 2010
    Location
    Auckland
    Posts
    21,362

    Default

    Quote Originally Posted by Roger View Post
    Based on $500m before tax and full 28% tax = $360m = 32 cps earnings this year. At $2.50 that puts the shares on a FY17 PE of just 7.8 which is considerably lower than QAN and other regional competitors. Management seemed confident at the conference call in conjunction with their half year report in February 2017 that yields look better going forward and I would say they have a better idea than any of the analysts or commentators on here including me.
    They are coming towards the latter part of their fleet replacement program and out on my walk today I got to thinking there is definitely some scope for special divvies in the medium term, (my thinking is not quite in line with Mod's thinking but there is definitely potential there probably in FY20 and FY21) as well as the expected 20 cps fully imputed giving them a gross dividend yield of (20 / 0.72) / 250 = 11.1%.

    I got to thinking this is still a very good hold. Technically, the SP looks to continue to be in a good solid recovery from October 2016. Trading well above MA100 and MA 200. Well managed companies on very undemanding multiples with a gross dividend yield like that are not exactly in over abundance on the NZX. Disc: Bought more this morning. Not expecting quick gains, just a good long term hold for really solid dividend yield.
    Posted 26 April 2017. Market likes the operating stat's and I am not surprised. Sometimes the good news is buried deep inside the detail and such is the case with yesterday's operating stat's.
    Excerpt: Group wide yields for the year to date have deceased 6.6% on the same period last year. Last month the YTD yield for the eight month period YTD had fallen 7.3%.

    Think about how much yields must have improved in the single month of March 2017 to move the year to date needle from 7.3% to 6.6% and therein lies the good news as indicated by management's confidence at the recent conference call that yields had bottomed out.

    By the way - AIR served Kiwi Blue still spring water on both legs of AKL to Wellington return flight yesterday from a 1.5 liter bottle, exactly the same nice pure clean non floriated spring water I buy from the supermarket. I can't comment on what water their overseas catering suppliers supply from overseas airports.
    Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.
    Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine

Tags for this Thread

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •