Air Canada (TSE:AC) Share Price Crosses Above Fifty Day Moving Average - Here's What Happened

Key Points

• Air Canada's stock price recently crossed above its 50-day moving average, trading as high as C$22.20 before settling at C$21.87, with over 2.7 million shares exchanged.
• Several analysts have adjusted their price targets for Air Canada, with a consensus target of C$24.97, indicating a general sentiment of Moderate Buy, despite varying projections from different financial institutions.
• The company has a significant debt-to-equity ratio of 400.00 and a market cap of C$7.80 billion, reflecting its financial leverage and market position as Canada's largest airline.

Air Canada (TSE:AC - Get Free Report) shares passed above its 50-day moving average during trading on Thursday . The stock has a 50-day moving average of C$20.08 and traded as high as C$22.20. Air Canada shares last traded at C$21.87, with a volume of 2,787,678 shares changing hands.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on AC. Citigroup set a C$25.00 price objective on Air Canada and gave the stock a "buy" rating in a report on Monday, June 30th. BMO Capital Markets lowered their target price on shares of Air Canada from C$31.00 to C$29.00 and set an "outperform" rating on the stock in a research report on Thursday, April 3rd. Stifel Nicolaus increased their target price on shares of Air Canada from C$22.00 to C$23.00 in a research report on Monday, May 12th. Scotiabank lowered their target price on shares of Air Canada from C$25.00 to C$21.00 and set an "outperform" rating on the stock in a research report on Wednesday, April 9th. Finally, Jefferies Financial Group downgraded shares of Air Canada from a "hold" rating to an "underperform" rating and lowered their target price for the stock from C$18.00 to C$12.00 in a research report on Tuesday, April 1st. One equities research analyst has rated the stock with a sell rating, one has assigned a hold rating, nine have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat, Air Canada currently has a consensus rating of "Moderate Buy" and a consensus price target of C$24.97.

Air Canada Stock Performance

The stock has a market capitalization of C$6.73 billion, a P/E ratio of 2.66, a PEG ratio of 0.02 and a beta of 2.39. The company has a debt-to-equity ratio of 400.00, a quick ratio of 1.06 and a current ratio of 0.92. The company's fifty day simple moving average is C$20.21 and its two-hundred day simple moving average is C$17.78.

Air Canada Company Profile

Air Canada is Canada's largest airline, generally serving nearly 50 million passengers each year together with its regional partners. Air Canada is a sixth freedom airline, similar to Gulf carriers, which flies many U.S. nationals on long-haul trips with a layover in Canada. In 2019, the company generated CAD 19 billion in total revenue.