Australian (ASX) Stock Market Forum

QAN - Qantas Airways

The very next day -
Qantas shares are taking a pounding today, off 5.2 per cent at $5.71.

JPMorgan analysts cut the stock to underperform from neutral saying that they estimate the airline will need domestic fares to rise 10 per cent in perpetuity to justify the current share price which they said "seems optimistic to us"

"Segmentally, Qantas Domestic was a highlight," the analysts wrote. They added "the biggest disappointment for investors was likely the 36.1 per cent decline in earnings from Qantas International."
 
Showed a fair bit of momentum strength whilst Fat Boy was tossing missile into the sea, whilst the rest of the market got a little jittery. People in general tend to not want to fly amidst missile and war threats.
So not really a lot backing the short from a trading perspective. I took profits when seeing that.
Fundamentally, however, despite their great hedge book against oil price rises, it's still very toppy.
 
I still hold but would say I'll get the signal soon to dump it if this sideways movement continues. I'm up about a buck a share plus the dividend; so far so good.
 
Bit of a buy recommendation from one of the Site sponsors Motley Fool:

"Recent data out of Australia’s Bureau of Infrastructure, Transport and Regional Economics revealed that there have been strong airfare rises across most routes and class types in December. In fact, December 2018 posted the highest ‘cheapest available’ average airfares since all the way back in January 2010. I think the combination of this, lower oil prices, and Qantas’ fuel hedging policy, has put Australia’s flag carrier airline in a great position to deliver another bumper profit this year."

https://www.fool.com.au/2018/12/26/where-i-would-invest-25000-in-asx-200-shares-in-january/
 
Its typical click bait from MF, but then I wouldn't consider investing in any of those 3 businesses.
(I must admit I wrote for MF for a while a couple of years ago, until my conscience got the better of me!)
 
Its typical click bait from MF, but then I wouldn't consider investing in any of those 3 businesses.
(I must admit I wrote for MF for a while a couple of years ago, until my conscience got the better of me!)

Did you make decent coin as a contributor?
 
Its typical click bait from MF, but then I wouldn't consider investing in any of those 3 businesses.
(I must admit I wrote for MF for a while a couple of years ago, until my conscience got the better of me!)

Well you were wrong about WSI being a shelf company with no fundamentals. You were wrong about that PM you sent me. You were wrong in my thread about comparing gains. Let's see if you're wrong a fourth time.

QAN: $5.65 atm.
 
Its typical click bait from MF, but then I wouldn't consider investing in any of those 3 businesses.
(I must admit I wrote for MF for a while a couple of years ago, until my conscience got the better of me!)

You must be qualified to give General Advice then?
 
With Jetstar pilots voting shortly on whether to initiate industrial action anyone else see short term downside pressure on QAN share price?
 
https://karryon.com.au/industry-new...s-about-to-buy-some-or-all-of-luxury-escapes/

An article in the Australian Financial Review (AFR) ‘Street talk’ column suggests that Qantas Airways is considering a bid for disruptors Luxury Escapes as part of a wider push to diversify its group’s earnings.

The story goes on to say that it is understood “Qantas has tapped investment bank Citi for help with due diligence and financing considerations and is working towards putting an offer to Luxury Escapes’ owners.”

With more than 3 million subscribers globally on its database, the move would no doubt tie in with the Qantas Group’ wider airlines and loyalty businesses to become a win-win for selling through the line travel for Qantas and Jetstar.

Many of Luxury Escapes customers would likely already be Qantas Loyalty customers with both companies already having a partnership via Qantas’ Frequent Flyer program.

The AFR story stated that at this stage it is “not known whether the owners have put a full or partial stake in the business on the block – although there are known to be a handful of parties engaged in the process.”

Other apparent parties interested in Luxury Escapes are believed to include local and international players who are keen to get a foothold into the fast-growing south-east Asian travel segment.

Some other points to throw into the mix is Qantas’ impending taking back of the Qantas Holidays brand from Helloworld.

It’s expected that Luxury Escapes’ turnover will hit around $500 million in the 2020 financial year and its earnings have been growing at 50 per cent annually.

The company now has offices in Sydney, Melbourne, Bangalore, Singapore and San Francisco.

The AFR article went on to say that they anticipate a deal to be finalised “before beach season hits top gear,” though Qantas has declined to comment at this stage.
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bought Qantas yesterday

Qantas would love for Virgin and Tiger airways to reduce number of scheduled flights for a big boost in Qantas earnings next year!!

212
 
I am not sure why sentiment is so bullish so placed a short trade on this and will see how I go.

Qantas announced an off market buy back today so Punters can offer their shares to the Co for Market Value minus 14% ….

The record date is not till the 11th May however ….

Not sure what bearing that could have on the SP movement in the mean time. Lots of possible scenarios.
 
Well didn't get as much as I thought but $91 bucks is better than nothing

Trade Details

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Have noticed that most Qantas staff seem to be of a more mature age.
Which seems to work well generally... exception is a few of the hostess's on the actual flights.
When a hostesses butt is that big that they can't walk down the aisle without knocking passengers shoulders, spilling drinks in people's hands, things have to change...

Would you like a towel Sir?
No, but do you have a contact number for lost hippo's?...
 
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