AIR - Air NZ.

[Beagle]

That's just what I need, (NOT), to wrap up this forgettable first quarter of the financial year. The best thing about this first quarter is its over and its time for a drink or two.
Speaking of drinking...Just as well AIR start drinking cheap, (ostensibly unhedged) aviation fuel tomorrow...looks like they'll need that help in FY16.

[couta1]

That's just what I need, (NOT), to wrap up this forgettable first quarter of the financial year. The best thing about this first quarter is its over and its time for a drink or two.
Speaking of drinking...Just as well AIR start drinking cheap, (ostensibly unhedged) aviation fuel tomorrow...looks like they'll need that help in FY16.

Are you still $3.30 ish bullish on Air? Although none of this competition is going to affect the next set of results which should be excellent, I'm thinking breaking the $3 will be a tough ask now unless they can prove this time next year that profits can still be grown despite market share loss which looks inevitable now competition is heating up both regionally and internationally.

[Beagle]

Are you still $3.30 ish bullish on Air? Although none of this competition is going to affect the next set of results which should be excellent, I'm thinking breaking the $3 will be a tough ask now unless they can prove this time next year that profits can still be grown despite market share loss which looks inevitable now competition is heating up both regionally and internationally.

A few old Q300's domestically won't make a lot of difference but the China Eastern thing doesn't help. Factor in the lower currency and lower business confidence together with less optimism from consumers and I would have to concede that the tailwinds they'll enjoy from the lower oil price in FY16 are being somewhat mitigated by other factors. Stock currently trades on a super cheap FY 16 PE of 6.7 times forecast FY16 earnings of 38 cps and is growing various routes like Houston and South America and their recently recommenced Singapore flights so there's good in there too. Shareholders enjoy the services of an extremely capable senior management team with excellent governance support form a high calibre board. AIR is as good a stock as any to hold in this market and FAR better than most IMHO. Current price obviously includes a decent final divvy for FY15 that isn't all that far away and we have good earnings visibility for the year with their recent announcement. I think there's very few stocks that are better positioned to make SP headway in this tough market but who can say with any degree of certainty how long it might take to crack $3.00 again ? (You're a bit lucky to drag that out of me mate before I get into the much needed liquid refreshments after this sad quarter). I don't imagine very many people made too much if anything on the market since 1 April so I'm pretty sure I'm not the only one licking my wounds a bit. The Greek thing wasn't a great way to end the month / quarter was it !! The sharetrader competition thing is showing how tough it is to make money this year.

[neyney2010]

Rog, can you let me know when's it going back to three bucks again. I need to get my money back out.
To the nearest month is fine.

[couta1]

Roger I think my wounds are past licking, I'm thinking stitches are the only way to contain my six figured times two plus a bit current paper losses, amputation will only be considered as a last resort

[Baddarcy]

A few old Q300's domestically won't make a lot of difference but the China Eastern thing doesn't help.

Agree on the Q300's, thou it does give Jetstar a beachhead to build from which i think we are all assuming is their aim, but that is years into the future. The China Eastern thing isn't all bad, it may impact some of the long haul routes to China, but it does mean that there will be more passengers in NZ for AIR NZ to fiy around domestically, the Chinese are not going to just fly into Auckland and drive all over NZ.

[biker]

Agree on the Q300's, thou it does give Jetstar a beachhead to build from which i think we are all assuming is their aim, but that is years into the future. The China Eastern thing isn't all bad, it may impact some of the long haul routes to China, but it does mean that there will be more passengers in NZ for AIR NZ to fiy around domestically, the Chinese are not going to just fly into Auckland and drive all over NZ.

Maybe not AIR NZ to fly around domestically. More like Jet Star with the Qantas partnership.

...............The airline is the fifth biggest in the world by the number of passengers carried and is expanding quickly in this region. Zhang said it began with five services a week to Sydney five years ago but had built this to 30 a week and in partnership with Qantas had plans to expand even further...........

[sammiesmiles]

Agree on the Q300's, thou it does give Jetstar a beachhead to build from which i think we are all assuming is their aim, but that is years into the future. The China Eastern thing isn't all bad, it may impact some of the long haul routes to China, but it does mean that there will be more passengers in NZ for AIR NZ to fiy around domestically, the Chinese are not going to just fly into Auckland and drive all over NZ.

most of the grouped chinese tourist only travel to Rotorua by coach. Other groups that travel to southern island mostly take Jet Star since their tickets are cheaper

[brend]

A few old Q300's domestically won't make a lot of difference but the China Eastern thing doesn't help.

Sorry mate - anyway the China Eastern thing was well signaled in the media quite a few months ago.

[mayday]

Traveling to China for business in August. Don't think China Eastern is particular cheaper than others so personally I don't really believe it can deteriorate AIR. The Chinese currency is at the highest point against NZD which means more n' more Chinese tourists may be coming in near future. Market is getting greater as well.

Also as a gold member of star alliance, I wouldn't mind even if AIR is a bit more expensive than others (within range 0 ~ 15%) coz I can get free access to lounges.

http://english.ctrip.com/flights/auc...searchboxArg=t