Street View: Australia's Qantas' loyalty program to soften potential earnings volatility
29/08/2024 22:25
** Qantas Airways QAN.AX reported a 16% drop in its annual
profit on Thursday, but announced an additional share buyback of
A$400 mln($271.88 mln)
** Shares of the airline rose as much as 1.6% during the day
** QAN did not announce dividend for a fifth straight year
LOYALTY THE KEY TO POTENTIAL PROFITS
** Morningstar maintains fair value estimate of A$6.10/shr
and expects QAN's loyalty program to "cushion earnings
volatility in the flying business"
** Jefferies raises PT to A$7.98/shr from A$7.85/shr; says
QAN remains well-positioned to adjust capacity between airline
and budget segment Jetstar, based on demand amongst corporates,
premium leisure and discount leisure
** Citi raises PT to A$6.60/shr from A$5.85/shr; waits to
see signs of stabilisation in the airline market before turning
more positive
($1 = 1.4712 Australian dollars)
(Reporting by Shivangi Lahiri in Bengaluru)
((shivangi.lahiri@thomsonreuters.com))