Member Info for livepari4

Good thing from the Sean Boyle interview is that business travel would be back but will lag other two travel categories. Also he expects passenger numbers to be back pre Covid in 2-3 years time.

In my view SP would be £5-£6 in 2-3 years time when things are back to normal, for the medium to short term my personal opinion is somewhere between £3-£4 would be achievable. Please do your own research as I have often been wrong.

37 cases of blood clotting out of 17 Million who have taken the Oxford Astra Zeneca jab. That's approx 0.0002% occurrence of clotting. More likely to be hit by a bus.

It’s 125+ and moving up. Well done to all holding this. It will double at some point this year, imho.

About 27% rise in SP in 6-7 weeks. This is not doing too bad. 45p+ seems likely in March as it’s having some momentum now.

Slightly off topic. I’m thinking of investing some more in the Covid recovery sector and looking at HMSO and CARD which I don’t hold but think they might double on the back of pandemic recovery. Looks somewhat risky since they have already doubled in just a few weeks. Anyone has an opinion which of the two would be a better investment.

Think this is a good analysis from Motley fool, although I’ve seen them come up with opposite view the very next day. If I wait to invest when all risk factors are gone then it might be too late to get a decent return on investment. There is some amount of risk but equally an opportunity for solid gains.

It appears that by July end UK and US adults will be fully vaccinated. EU is projected to be 70% vaccinated. This will only get better with so much push to increase supplies. It would be wrong to write-off Europe travel for this year. A very busy summer travel is very much on the cards.
DYOR

Inferno

Many of the other travel stocks have recovered even though we are still in a lockdown. It’s likely IAG will catch up soon and be within 20-30% of pre-Covid price, like many other airlines. It’s one of the most undervalued stocks at the moment and there is plenty of upside to it.

I am a lth planning to hold for 2-3 years and see this at least doubling or even higher.
When travel is back to normal, IAG would likely see higher revenues. IAG had revenues of 25B in 2019. Add to it about 2.5B revenues from Air Europa, some out of 5B of Norwegian would find its way to IAG and some from reduced completion from Virgin, its only long haul UK competitor. Furthermore, there are cost savings due to restructuring which will improve its bottom line. It’s just a matter of time before IAG is back to its former glory days.

Please DYOR.

Correction - news was from 4 days back but we did 4-5% rise in US airlines yesterday.

News from US yesterday “Shares of major airlines are rising sharply at the start of the week as investors continue pricing a return to normality. At the moment, United Airlines Holdings Inc (UAL: NASDAQ) shares are up 6.5% on the day at $53.80. Moreover, Alaska Air Group Inc (ALK: NYSE) and Southwest Airlines Co (LUV: NYSE) stocks are both rising 6%, while American Airlines Group Inc (AAL: NASDAQ) was gaining 5.5% at $21.55.”
Similar rise will see us at 220+ next week.
DYOR

Looks like another slump in Nasdaq today as per the futures. This could bring down UK stocks later today. Strangely, when Nasdaq rises UK stocks are unaffected.

Also several of EU countries are pushing to relax ban on travel. It’s there in the news today.

Great to see a lot of positive news on travel and tourism. This can only get better from here.

Almost 4% up now and looks set for a steady progress upwards today.

A good day on the cards for all those who held

I don’t think anyone expects good results. Let’s see how the market reacts to it.

Well done all holding this. Due for a good rise tomorrow.

Just minor correction - shares outstanding would likely be 1/10th of the numbers 2B, 3B as each share represents nominal value of 10. But changed nothing in the ratio.

Canary

The formula to work out new price from old is
New price = old price x (shares outstanding before RI / new shared added)
Shares outstanding before RI = 2 B
New shares added = 3 B
The formula correctly explains all the new prices as we find on London stock exchange, IAG own website, Bloomberg etc. Old price is seen on yahoo finance. I tested few sample values and found these exactly as per the above formula.
Also fully agree with Robbyw - multiplying new by 1.5 is exactly the same as dividing old by 0.67.