QAN is in Trouble..., page-2

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clacoste

9,046 Posts.

06/01/18

19:13

Post #: 30096365
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Originally posted by Fozza ↑

I can not help but share my view on QAN being

I would be SELLING.... SELLING

1. Airline profit is at record high

2. Profit is highly cyclical and will be trending down

3. Airlines only make $164 for every $16,400 they spend on the typical domestic flight, according to an analysis by Oliver Wyman at Wall Street Journal

That’s a ridiculously low 1% profit margin.

The rest of the money goes to fuel (29%), salaries (20%), ownership costs (16%), government fees and taxes (14%), maintenance (11%) and other (9%).

So if you have a 10% increase in fuel.... say GOODNIGHT !

If you have an interest in aviation, follow writings by Dr Rico Merkert, Lecturer at Sydney University. I nearly did my PhD in Aviation, worked extensively on the review of the Cost Benefit Analysis for the second Sydney Airport and from an Aviation perspective

Here is his research work - http://sydney.edu.au/business/staff/rico.merkert

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I do have a great interest in aviation.....and agree QAN is looking....downhill.....I would expect $2-2,5 AUD in the next year. Funny, given the cabin qualities and increasing routes - including codeshares.....I think VAH is one to watch...as it beats QAN ded in all cabins, and increasing codeshare routes......Note currently don't have either.....But may toss a few dollars at VAH....the dollars I don't spend flying on them......LOL....And love velocity....thanks for the BC flight to SEA coming up.....

QAN Price at posting: $4.89 Sentiment: None Disclosure: Not Held
2 Upvote

0 Great analysis

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