AC:CA:TSX-Air Canada Voting and Variable Voting Shares

EQUITY | Airlines | Toronto Stock Exchange

Last Closing

CAD 44.21

Change

+1.00 (+2.31)%

Market Cap

CAD 3.89B

Volume

1.45M

Analyst Target

CAD 48.42
Analyst Rating

Verdict

ducovest Verdict

Verdict

About

Air Canada provides scheduled passenger services in the Canadian market, the Canada- US transborder market as well as the international markets to and from Canada for leisure travelling.

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2019-08-21 )

Largest Industry Peers for Airlines

Symbol Name Price(Change) Market Cap
EIF:CA Exchange Income Corporation

+0.99 (+2.15%)

CAD 2.17B

ETFs Containing AC:CA

DIAL Columbia Diversified Fixe.. 0.00 % 0.24 %

+0.05 (+0.29%)

USD 0.42B

Market Performance

  Market Performance vs. Industry/Classification (Airlines) Market Performance vs. Exchange (Toronto Stock Exchange)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain 70.30% 75% C 97% N/A
Dividend Return N/A N/A N/A N/A F
Total Return 70.30% 75% C 97% N/A
Trailing 12 Months  
Capital Gain 65.09% 75% C 96% N/A
Dividend Return N/A N/A N/A N/A F
Total Return 65.09% 75% C 96% N/A
Trailing 5 Years  
Capital Gain 404.10% 100% F 99% N/A
Dividend Return N/A N/A N/A N/A F
Total Return 404.10% 100% F 99% N/A
Average Annual (5 Year Horizon)  
Capital Gain 38.76% 100% F 94% A
Dividend Return 38.76% 100% F 94% A
Total Return N/A N/A N/A N/A F
Risk Return Profile  
Volatility (Standard Deviation) 50.02% 25% F 15% F
Risk Adjusted Return 77.50% 75% C 80% B-
Market Capitalization 3.89B 100% F 92% A

Key Financial Ratios

  Ratio vs. Industry/Classification (Airlines) Ratio vs. Market (Toronto Stock Exchange)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 4.10 75% 73%
Price/Book Ratio 3.50 25% 18%
Price / Cash Flow Ratio 4.44 100% 64%
Price/Free Cash Flow Ratio 6.30 100% 45%
Management Effectiveness  
Return on Equity 31.90% 100% 98%
Return on Invested Capital 8.84% 75% 73%
Return on Assets 3.36% 50% 68%
Debt to Equity Ratio 150.21% 75% 17%

Annual Financials (CAD)

Quarterly Financials (CAD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Superior risk adjusted returns

This stock has performed well, on a risk adjusted basis, compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile.

Low debt

The company is less leveraged than its peers ,, and is among the top quartile, which makes it more flexible. However, do check the news and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on equity

The company management has delivered better return on equity in the most recent 4 quarters than its peers, placing it in the top quartile.

Underpriced on cashflow basis

The stock is trading low compared to its peers on a price to cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Underpriced compared to earnings

The stock is trading low compared to its peers on a price to earning basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Underpriced on free cash flow basis

The stock is trading low compared to its peers on a price to free cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Superior Earnings Growth

This stock has shown top quartile earnings growth in the previous 5 years compared to its sector.

What to not like:
Poor return on assets

The company management has delivered below median return on assets in the most recent 4 quarters compared to its peers.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

High volatility

The total returns for this company are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.