Air Canada Vacations Case Study

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0) Air Canada is the largest airline available of the Canadian market, founded in 1937. Air Canada is the world’s tenth largest airline with passenger revenues of $13.8 billion. Air Canada is a founding member of Star Alliance, providing the world 's most comprehensive air transportation network. 1c) Air Canada Cargo or Air Canada Vacations are some of unique services that Air Canada provide. Air Canada Cargo provides direct cargo service worldwide. Air Canada Vacations is part of Air Canada’s new integrated leisure group that offer packages that include accommodation or round trip airfare aboard Air Canada and its Star Alliance partners. Also Air Canada provide private Jets, and many can rent their own private jets. 2a) Air Canada is a very…show more content…
A whole section in the website dedicated to information about shares, investors, financial reports and investors FAQ. Investors can find any information about past years and different type of charts and graphs. 6c) Air Canada management decided to make some managerial changes in the system. On June, 2015 Air Canada announced a three years financial plan (2015-2018) that include: delivering permanently lower cost structure, profitably growing our business and expanded margins, increased adjusted net income, improved ROIC and achieved objectives restructuring our pension plans. 7) Many professional investors might want to invest in Air Canada stocks because it is possible to grow. Air Canada has a long-term plan to improve its cost structure, deleverage, and grow revenues/margins, this could double the price of shares over the next year. Analysts at TD Bank and RBC have price target of $17-$21 on the stock. Investing in Air Canada is a long-term investment and the growth will not be seen in near future because changing the cost structure is not a short-term change and need a lot of patient. I believe only the professional investors would want to hold Air Canada shares because it is very unstable and risky investment. Change in management and improvement of cost structure can boost the stock price, but also it is possible to fail. Also, it’s important to know that this growth can take years and investors can’t use their
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