Air Canada (OTCMKTS:ACDVF) Receives Average Recommendation of "Hold" from Analysts

Key Points

• Analysts have a consensus recommendation of Hold on Air Canada from nine research firms—one sell, six holds and two buys—with several recent downgrades from firms including Scotiabank, Zacks and Raymond James.
• Air Canada beat Q1 estimates (EPS -$0.04 vs. -$0.29; revenue $4.16B vs. $3.96B), but the carrier carries high leverage (debt-to-equity 3.32) and trades around $13.79 with a $3.96B market cap and a P/E of 7.45.

Shares of Air Canada (OTCMKTS:ACDVF - Get Free Report) have received a consensus recommendation of "Hold" from the nine research firms that are covering the company, Marketbeat.com reports. One investment analyst has rated the stock with a sell recommendation, six have assigned a hold recommendation and two have given a buy recommendation to the company.

Several research firms have recently weighed in on ACDVF. Scotiabank lowered shares of Air Canada from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, March 10th. Zacks Research lowered shares of Air Canada from a "hold" rating to a "strong sell" rating in a research report on Monday, April 20th. Jefferies Financial Group restated a "hold" rating on shares of Air Canada in a research report on Sunday, February 15th. ATB Cormark Capital Markets lowered shares of Air Canada from a "strong-buy" rating to a "moderate buy" rating in a research report on Monday, February 16th. Finally, Raymond James Financial lowered shares of Air Canada from a "moderate buy" rating to a "hold" rating in a research report on Tuesday, February 17th.

Air Canada Stock Up 2.9%

Air Canada stock opened at $13.79 on Wednesday. The stock has a market cap of $3.96 billion, a price-to-earnings ratio of 7.45, a PEG ratio of 8.00 and a beta of 1.38. The company has a current ratio of 0.56, a quick ratio of 0.53 and a debt-to-equity ratio of 3.32. The company's 50-day moving average price is $13.45 and its two-hundred day moving average price is $13.70. Air Canada has a 52 week low of $10.79 and a 52 week high of $17.25.

Air Canada (OTCMKTS:ACDVF - Get Free Report) last released its earnings results on Thursday, April 30th. The company reported ($0.04) EPS for the quarter, beating the consensus estimate of ($0.29) by $0.25. Air Canada had a net margin of 3.45% and a return on equity of 27.71%. The firm had revenue of $4.16 billion for the quarter, compared to analysts' expectations of $3.96 billion. On average, analysts expect that Air Canada will post 0.05 EPS for the current fiscal year.

Air Canada Company Profile

Air Canada is the largest airline in Canada and one of the leading carriers in North America. Founded in 1937 as Trans-Canada Air Lines and rebranded as Air Canada in 1965, the company operates scheduled passenger and cargo services on six continents. The airline maintains membership in the Star Alliance network, offering seamless connections and coordinated loyalty benefits to travelers worldwide.

Through its mainline operations and subsidiaries—including Air Canada Rouge, Air Canada Cargo and Air Canada Vacations—the company provides a broad range of services.

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