- Air Canada‘s fourth-quarter operating revenue was C$5.40 billion, beating the estimate of C$5.12 billion and showing a 4.4% increase year-over-year.
- The company reported an operating loss of C$254 million, compared to a profit of C$79 million the previous year, against an expected profit of C$183.8 million.
- Adjusted EBITDA was C$696 million, a 34% increase from the previous year, exceeding the estimate of C$633 million.
- Adjusted earnings per share (EPS) were C$0.25, compared to a loss of C$0.12 per share last year, and higher than the expected C$0.23 per share.
- The company reported a loss per share of C$1.81, compared to an EPS of C$0.41 the previous year.
- Available seat miles reached 24.95 billion, marking a 2.1% increase from the previous year and exceeding the estimate of 24.64 billion.
- Adjusted cost per available seat mile (CASM) rose by 6% year-over-year to C$0.1505.
- Analyst recommendations for Air Canada include 14 buy ratings, 3 hold ratings, and no sell ratings.
A look at Air Canada Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Air Canada shows a promising long-term outlook. With strong ratings in Growth and Momentum at 4 out of 5, the company indicates substantial potential for expansion and a positive market trend. This suggests that Air Canada is well-positioned to capitalize on growth opportunities and maintain its upward trajectory in the aviation industry.
Although the company’s Value and Resilience scores are moderate at 3 and 2 respectively, its low Dividend score of 1 may deter income-focused investors. However, the overall outlook for Air Canada appears favorable, especially for those seeking growth and capital appreciation in their investments.
Summary of Air Canada: Air Canada provides scheduled and charter air transportation services for passengers and cargo, catering to various destinations across Canada, the United States, Europe, Asia, the Middle East, and the Caribbean.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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