RE: If all is rosy25 Apr 2025 10:42
SG2025:
Regarding looking at the balance sheet and understanding it. Analysts obviously know what they're looking at from a professional view, where as I probably haven't got enough knowledge even to call myself an amateur.
What I do have is long experience of working for Airlines, and looking back through my career, I can clearly recognise the Airlines that were going to do well and the ones that were going to fail. I didn't know it at the time because I was young and inexperienced.
For example, my first Airline was called British Air Ferries. I realise now that they ran a very inefficient operation, the scheduling of crew was terribly inefficient, their maintenance was poor, Pilots ended up working in the office because there wasn't enough work flying. They eventually became Astraus and failed.
I then worked for Channel Express Airways. This was a totally different story. They had a driven CEO ( Phillip Meeson), who you'd see in the office night and day. He made sure that everything, scheduling, Maintenance, contract negotiations etc etc all ran smoothly and efficiently. The share price back then was 60p. Channel Express became Jet2 and roll on 30 years the JET2 share price is £13.50. The black Swan events came and went. 9/11...the global financial crisis...covid, they survived and thrived because of good Airline management.
This is where Wizz Air is. Varadi is a Great Airline Manager, he's been hit by a string of black Swan events but Wizz will survive and thrive.
Prior to Covid Wizz Air's 90 aircraft generated a net income of €3m each. The Eastern European market has doubled since then, Wizz has No competitors and will not have any. That €3m net income per aircraft will be back.
To suggest that it's purely a matter of luck which way the share price will go in the long term is not correct. Some bets are much, much better than others.
Good luck to the believers.
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