Cathay Pacific Airways (293) Earnings: 1H Net Income Surges to HK$3.61 Billion

Cathay Pacific Airways on Smartkarma

Analysts on Smartkarma have varying sentiments on Cathay Pacific Airways. Mohshin Aziz recommends a BUY with a target price of HK$9.90, citing exceeding operations expectations and plans to buyback preference shares. Operations are on track, and with healthy loads and yields, the airline is considered a value buy with potential upside of 24%. On the other hand, Neil Glynn takes a bearish stance, highlighting rising inflationary pressure and expedited earnings normalization due to cost pressures.

Osbert Tang, CFA, presents a bullish outlook, noting multiple positive developments such as increasing passenger traffic and capacity recovery post-pandemic. As more countries gain visa-free access to China, Cathay Pacific stands to benefit from enhanced transfer traffic. However, Neil Glynn‘s bearish view includes concerns over historical margin challenges and structural disadvantages that have affected the airline’s performance relative to global peers.

A look at Cathay Pacific Airways Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on the Smartkarma Smart Scores, Cathay Pacific Airways is positioned for long-term growth. With a high score of 5 in Growth, the company is expected to expand and improve its operations over time. This suggests that Cathay Pacific Airways has the potential for significant development and is likely to increase its market presence in the future.

Although the company scores well in Growth, it faces challenges in terms of Resilience, with a score of 2. This indicates a moderate level of vulnerability to economic fluctuations or industry disruptions. However, with strong Momentum and average scores in Value and Dividend, Cathay Pacific Airways appears to be in a good position to capitalize on opportunities and navigate through uncertainties.

### Cathay Pacific Airways Limited operates scheduled airline services. The Company also provides related services, including airline catering, aircraft handling, and engineering. ###

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