Air France-KLM: in a 'complex situation' Oddo still neutral
(CercleFinance.com) - Despite the peak of the summer season, Air France-KLM has suffered a significant downturn since the end of August, Oddo says, with the broker also mentioning the low visibility over the winter season.
In Q4, the airline aims to reach 60% of the short- and medium-haul capacity offered in 2019 and 50% for long-haul.
In a cautious scenario, Oddo considers that cash levels should be enough to meet the financing needs of a financial year 2021, which would not see any significant improvement.
Due to the very high short-term volatility, Oddo is finally maintaining its neutral recommendation and has cut its target price for the share to 4 euros (vs. 4.2 euros previously).
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
In Q4, the airline aims to reach 60% of the short- and medium-haul capacity offered in 2019 and 50% for long-haul.
In a cautious scenario, Oddo considers that cash levels should be enough to meet the financing needs of a financial year 2021, which would not see any significant improvement.
Due to the very high short-term volatility, Oddo is finally maintaining its neutral recommendation and has cut its target price for the share to 4 euros (vs. 4.2 euros previously).
Copyright (c) 2020 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.