Kip Powick Posted January 3, 2005 Share Posted January 3, 2005 TRANSAT A.T. Flight path clear for further elevation Okay, here's a head scratcher. Air Canada, all the big U.S. carriers and companies that supply the air travel industry like Bombardier Inc. won't stop whining about what shape the sector is in. Now let's take a look at Transat A.T. Inc. The company sells tour packages, runs travel agencies and operates planes -- in other words, it's completely exposed to the industry. And as rivals sang the blues, Transat churned out record profit and watched its stock soar to a record high of about $26, thanks to its streamlined operation. Just think, if you'd bought Transat when the industry was going belly up in 2002 and it was trading at about $4, you'd have made a pretty penny. One of the big drivers: Cash. According to its latest earnings report, it had $490-million in "cash and cash equivalents" in its bank account. The buzz has it either paying out a special dividend, buying back stock or snapping up a U.S. competitor -- all of which would keep this star soaring Link to comment Share on other sites More sharing options...
Guest rattler Posted January 3, 2005 Share Posted January 3, 2005 Their stock as doubled in value over the last year. Re list, you don't quote your source and I for one would be interested in taking a look at the complete list. Thx. Link to comment Share on other sites More sharing options...
Kip Powick Posted January 3, 2005 Author Share Posted January 3, 2005 Todays Globe and Mail.....Business Section Link to comment Share on other sites More sharing options...
Guest rattler Posted January 3, 2005 Share Posted January 3, 2005 Thanks. Link to comment Share on other sites More sharing options...
wizard Posted January 3, 2005 Share Posted January 3, 2005 I would never buy airline stock as too many things can go wrong. I think you are just silly to buy any airline stock as you can put your money into other places. Link to comment Share on other sites More sharing options...
Guest ^o_o^ Posted January 3, 2005 Share Posted January 3, 2005 Edited by a Forum Administrator in accordance with "forum posting" rules. When you have great airline examples, like Southwest, and Jetblue down South, since their IPO they have always stayed profitable. Closer to Home, are you saying WS's track record hasent spoken for itself yet? Link to comment Share on other sites More sharing options...
wizard Posted January 3, 2005 Share Posted January 3, 2005 If I wanted any lip from you I would have rattled my zipper. Riddle me this batman how much have you made on the stock market with airline stocks in the last five years? Link to comment Share on other sites More sharing options...
Croc Dundee Posted January 3, 2005 Share Posted January 3, 2005 Airlines have generally been bad investments over the long term (except Southwest). However if a stock goes down and up, you can make money on it. If you know the industry well you can make money on airline stocks with medium risk. Link to comment Share on other sites More sharing options...
wizard Posted January 3, 2005 Share Posted January 3, 2005 Yes you can make money I would say high risk and you must watch everyday and be ready to dump the stock fast. Like I said it's not a stock you can buy and sit on for five to ten years. Link to comment Share on other sites More sharing options...
Croc Dundee Posted January 3, 2005 Share Posted January 3, 2005 Yes you can make money I would say high risk and you must watch everyday and be ready to dump the stock fast. Like I said it's not a stock you can buy and sit on for five to ten years. I agree, unless it is Southwest, and they haven't performed that well over the last few years either. Airlines are definitely short term investment vehicles. I only wish I had invested in AT a year ago or the guts to invest in AC a few months ago! Hindsight is always 20/20. There have been many opportunities to make money in the airline industry over the past 5 years, but not by buying and holding. Link to comment Share on other sites More sharing options...
Guest ^o_o^ Posted January 3, 2005 Share Posted January 3, 2005 poweradmin way to edit something harmless, or did wizard cast "report" spell. bashing wizards "places" of ivestment was rather humerous, or so I thought . Wiz how about that trip to Bunny Ranch , hear Air Canada flies to Vegas. Link to comment Share on other sites More sharing options...
Guest ^o_o^ Posted January 3, 2005 Share Posted January 3, 2005 Wizard to answer your question, I have only been involved with securities for the past 2 years. Since I am looking at a long term investment.....I am one of those who believes in holding, then selling at the right time. I am aware that my stock is taking a kick to the nuts at the moment, but even then? would I make money today if I sold? ABSOLUTELY. I'm also matched dollar for dollar, to the ammount I contribute.......but we shall see what the longterm has to show for it. Keep in mind unlike other airlines, the airline I invest with owns the majority of their aircraft. How many does the airline you've invested with in the past own? The fact is, wheather you invest with Telecom giant or a "happy little airline" that investment is always at risk. If you are not aware or concious of that, the intelligent thing for you to do, is not invest at all. Cheerio. Link to comment Share on other sites More sharing options...
Guest rattler Posted January 4, 2005 Share Posted January 4, 2005 Even Governments are coming to understand that owning airline shares is NOT SMART! French government sells Air France-KLM stake Shares valued at nearly $1 billion The Associated Press Updated: 9:47 a.m. ET Dec. 9, 2004 PARIS - The French government said Thursday it is selling a 17.7 percent stake in Air France-KLM, the world's largest airline, in a move that will help the state reduce its debt and scale back its influence on the Franco-Dutch carrier. A Finance Ministry spokeswoman said the government asked two banks, France's Societe General SA and the Netherlands' ABN Amro Holding NV, to handle the sale of the stake involving some 48 million shares. Using Wednesday's closing price as a benchmark, the stake would be worth about euro693 million ($930 million). Air France-KLM shares fell 1.6 percent in early trading Thursday. The French state lost majority control of Air France earlier this year as a result of the company's merger with KLM Royal Dutch Airlines. Before Thursday's sale, the state still owned 44 percent of the joint company; with the selloff, its stake will decline to about 26 percent. The government has indicated it eventually plans to cut its share to about 20 percent, and Finance Minister Herve Gaymard said the latest selloff came Thursday "because we felt the market conditions were right." The sale was the latest in an ongoing effort by the French government to sell off assets to reduce its debt. Earlier this year, it sold stakes in state-owned jet engine maker Snecma and in France Telecom, and the government has said it plans to sell holdings in the Electricite de France utility and nuclear engineering group Areva next year. Copyright 2004 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. URL: http://www.msnbc.msn.com/id/6685603/ Link to comment Share on other sites More sharing options...
wizard Posted January 4, 2005 Share Posted January 4, 2005 Wizard to answer your question, I have only been involved with securities for the past 2 years. Since I am looking at a long term investment.....I am one of those who believes in holding, then selling at the right time. I am aware that my stock is taking a kick to the nuts at the moment, but even then? would I make money today if I sold? ABSOLUTELY. I'm also matched dollar for dollar, to the ammount I contribute.......but we shall see what the longterm has to show for it. Keep in mind unlike other airlines, the airline I invest with owns the majority of their aircraft. How many does the airline you've invested with in the past own? The fact is, wheather you invest with Telecom giant or a "happy little airline" that investment is always at risk. If you are not aware or concious of that, the intelligent thing for you to do, is not invest at all. Cheerio. We will see how much you make dollar for dollar when Westjet takes it in the nuts in the court battle and the stock goes to penny stocks and Jetsgo and Jazz start eating your lunch in the west. You better think about dumping that stock before it takes the big nose dive. Link to comment Share on other sites More sharing options...
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