- Cathay Pacific experienced a 23.1% increase in passenger traffic during November.
- A total of 2.01 million passengers were recorded for the month.
- The passenger load factor was notably high at 83.5%.
- Cargo and mail operations saw a positive change of 15%.
- A total of 142,601 tons of cargo and mail were handled.
- The cargo and mail load factor reached 62.3%.
- Investment analysts rated the company’s stock with 11 buys, 2 holds, and 1 sell.
Cathay Pacific Airways on Smartkarma
Analysts on Smartkarma are bullish on Cathay Pacific Airways, with insights from Mohshin Aziz and Osbert Tang, CFA. Mohshin Aziz maintains a BUY rating with a target price of HK$9.90, citing respectable results and attractive valuations in 1HFY24. Despite a -15% YoY decline in net profit, the interim dividend and expected final dividend point towards positive prospects. The target price implies a 26% UPSIDE, positioning Cathay in line with competitors like Singapore Airlines.
Osbert Tang, CFA, highlights multiple positive developments for Cathay Pacific, including the benefit of increased transfer traffic as more countries gain visa-free access to China. With a recovery on track and capacity nearing pre-pandemic levels, Cathay is poised for growth. Passenger traffic has risen significantly, and despite being a laggard compared to global airlines, its valuation remains reasonable, indicating future potential for investors.
A look at Cathay Pacific Airways Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 4 | |
| Growth | 5 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.8 |
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 a positive long-term outlook. With strong scores in Growth and Momentum, the company is projected to experience significant expansion and market traction in the future. Additionally, the above-average score in Dividend indicates a commitment to rewarding shareholders, adding to the attractiveness of investing in the airline company.
While the Resilience score is relatively lower, suggesting some vulnerability to market fluctuations, Cathay Pacific Airways‘ overall outlook remains promising, especially considering its robust standing in key areas like Value and Dividend. By capitalizing on its strengths in growth and market momentum, the company is well-positioned to navigate challenges and capitalize on future opportunities in the aviation industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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