Moody’s downgrades Senegal to Caa1 amid rising debt concerns
Investing.com - BMO Capital has lowered its price target on Air Canada (TSX:AC) stock to C$27.00 from C$28.00 while maintaining an Outperform rating.
The price target reduction follows Air Canada’s recently preannounced results and reflects updated foreign exchange and fuel assumptions, as well as a more cautious macroeconomic and consumer outlook.
BMO Capital noted that while Air Canada’s targets of C$5 billion in EBITDA and C$5 per share in free cash flow by 2028 appear "ambitious" given the current economic environment, the firm still sees growth potential in the airline’s highest-margin segments over the next two years.
The investment bank highlighted a "significant upside opportunity" for Air Canada stock from what it describes as "currently depressed valuation levels."
Air Canada shares also trade on U.S. markets under the ticker (OTC:ACDVF), providing American investors access to Canada’s largest airline.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.