Air Canada (AC.TO)

Travel stocks and airlines are very economically sensitive. Oil prices are spiking but Air Canada is better positioned due to Canada's energy supply. He likes it because it is building out a very strong global network with very unique routes that other carriers don't have. Trades at a discount to its US counterparts so there is lots of upside if the economy allows it. The next catalyst is bringing in a great CEO. Has a strong bench with a management team that has been there for a long time. Navigating the 2030's and beyond is the next big question for Air Canada.

Doesn't like airline stocks because of very high costs and unpredictable competition. No economic moat. Airlines are a lottery.

Its planes are fuller now and the balance sheet much better. The stock price had started to improve but war and higher oil prices are bringing the price back down. There is still upside since it is trading at a discount to its historical valuation and to its US counterparts. He feels a fairer price would be $25.

Likes it for a long-term play (eventually $40 stock). Current situation means it's not the time to buy. Wait till it's over. He had owned it, but tariffs plus strike plus Iran means he's out.

Lots of uncertainty. If it goes to $15, buy it (but accumulate slowly).

Airline stocks have been hit by energy prices as well as tariff effects. Definitely on her watchlist. Progress operationally since pandemic, execution has improved. Balance sheet healthier. Demand remains solid, especially internationally.

Cautious on capacity growth. Cyclical industry. Near-term costs moving higher. She's watching demand trends and price discipline.

#1 would probably be Telus. BCE is also in there. Names like AC, MFI, PRL, GSY, WFG, and TFII. All of these stocks are cheaper than they ought to be. All things being equal, those names should be higher in January than they are now.

You make a lot or lose a lot of money with AC. A great stock that should be higher, but has been his by the strike and geopolitical forces. Those are behind them. Business has picked up and will do will. This is a $30-40 stock.

He got rid of it due to the choppy chart. Airlines are labour-intensive, subject to strikes, have high fuel costs, sensitive to the economy. 

Chart's showing it's neither here nor there. If it broke a bit below where it is now, as part of a longer-term downtrend, could easily see $10 range and you'd be best to sell and redeploy $$ elsewhere. Reasonable dividend.

if there is a resolution of the strike it could bounce back, but when. It has bought back 18% of its shares so it could be a $25 stock with fewer shares. Over the last five years it has been range bound but with wide oscillations. He sees it as a trading opportunity.

He does not really take an interest in airlines. There may be an opportunity now for Air Canada with all the rhetoric around the strike. It's been around for some time. Settlement should not be a huge number for cost increases. It is looking to expand internationally. You could buy when the strike is settled and the price starts to rise.