Air Canada (OTCMKTS:ACDVF) Given Consensus Recommendation of “Moderate Buy” by Brokerages

Air Canada (OTCMKTS:ACDVF) has earned an average recommendation of “Moderate Buy” from the ten ratings firms that are presently covering the stock, Marketbeat.com reports. Five analysts have rated the stock with a hold recommendation, four have given a buy recommendation and one has given a strong buy recommendation to the company.

Several analysts have issued reports on the stock. Scotiabank raised shares of Air Canada from a “hold” rating to a “strong-buy” rating in a research report on Tuesday. National Bank Financial reissued an “outperform” rating on shares of Air Canada in a research report on Wednesday. BMO Capital Markets restated an “outperform” rating on shares of Air Canada in a research note on Wednesday. Jefferies Financial Group reaffirmed a “hold” rating on shares of Air Canada in a report on Thursday. Finally, Zacks Research raised shares of Air Canada from a “strong sell” rating to a “hold” rating in a research note on Tuesday, May 19th.

Key Air Canada News

Here are the key news stories impacting Air Canada this week:

• Positive Sentiment: Air Canada agreed to sell a 25% stake in its Aeroplan loyalty program to Blackstone and Canadian pension funds for approximately C$2.5 billion. The transaction values Aeroplan at about C$10 billion and gives Air Canada cash to strengthen its balance sheet, reduce financial pressure and manage elevated fuel expenses. Blackstone strikes $1.8 billion deal for Air Canada division
• Positive Sentiment: Second-quarter adjusted earnings of C$0.29 per share exceeded the C$0.11 analyst consensus, while revenue of C$4.41 billion also topped expectations of C$4.34 billion. Strong travel demand remains a supportive factor for revenue. Air Canada Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: Scotiabank upgraded Air Canada from “hold” to “strong buy,” signaling increased confidence in the company’s valuation or recovery prospects. Scotiabank upgrades Air Canada
• Neutral Sentiment: Analyst opinions remain mixed, suggesting the Aeroplan proceeds and resilient demand are being balanced against fuel inflation, leverage and execution risks.
• Negative Sentiment: Jet-fuel costs rose approximately 49% year over year. The increase contributed to a significant net loss and prompted Air Canada to lower its financial guidance, overshadowing the earnings and revenue beats. Air Canada posts loss and lowers guidance as fuel costs soar
• Negative Sentiment: Although demand is holding up, the fuel-cost shock highlights Air Canada’s exposure to volatile operating expenses. The lower outlook may limit near-term upside unless fuel prices moderate or the Aeroplan cash infusion materially improves finances. Air Canada stock loses altitude as jet fuel costs rise

Air Canada Price Performance

Shares of OTCMKTS ACDVF opened at $21.80 on Friday. Air Canada has a 1-year low of $12.03 and a 1-year high of $22.52. The business has a 50-day moving average of $17.27 and a 200-day moving average of $15.18. The company has a debt-to-equity ratio of 3.32, a current ratio of 0.56 and a quick ratio of 0.53. The company has a market capitalization of $6.11 billion, a price-to-earnings ratio of 21.37, a PEG ratio of 0.67 and a beta of 1.42.

Air Canada (OTCMKTS:ACDVF) last released its quarterly earnings results on Tuesday, August 11th. The company reported $0.29 EPS for the quarter, topping the consensus estimate of $0.11 by $0.18. The firm had revenue of $4.41 billion for the quarter, compared to analyst estimates of $4.34 billion. Air Canada had a return on equity of 21.51% and a net margin of 1.82%. On average, equities analysts anticipate that Air Canada will post 0.93 EPS for the current fiscal year.

About Air Canada

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.