Air New Zealand Ltd
AIZ: XASX (AUS)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
A$9.73 | Flglx | Vgnfrqbb |
Despite a Troubled Near Term, Air New Zealand Will Fly Again
Business Strategy and Outlook
The COVID-19 pandemic continues to wreak havoc on the global airline industry. Lockdowns, border restrictions, and social distancing measures have clipped Air New Zealand's wings. Stringent New Zealand entry requirements for international arrivals and a ban on noncitizen, nonpermanent resident arrivals have decimated passenger revenues, and despite aggressive cost cuts, we expect operating deleverage to lead to aftertax losses in 2021.