Air Canada: National Bank Raises Target on Updated Guidance

Air Canada: National Bank Raises Target on Updated Guidance

Air Canada (AC:CA) (ACDVF)

Analyst Update

Air Canada received a target price increase from National Bank of Canada, reflecting updated guidance and recent operational developments.  National Bank raised its 12-month target price to C$23 from C$22, signaling a moderately more positive outlook on the airline’s near-term performance.

Updated 2025 Guidance

Air Canada recently provided updated financial guidance for 2025, indicating expectations for improved revenue and operating performance compared with prior forecasts. This likely reflects strong passenger demand, higher load factors, and continued recovery in international travel as global air traffic rebounds.

Air Canada’s recent flight attendants’ strike temporarily disrupted operations and incurred short-term costs, which were factored into National Bank’s updated target. Analysts view the airline’s operations and finances as resilient despite labor challenges, while monitoring labor talks, fuel prices, and international travel trends as key profit drivers.

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