Air Canada (AC:CA) — Canaccord Genuity maintained its Hold rating and lowered its 12 month price target to C$29.00 from C$33.00, a 12.1% reduction, reflecting a more cautious valuation outlook without a rating downgrade. Air Canada’s second-quarter revenue increased 11% to C$6.3 billion, supported by strong passenger demand, but fuel expense rose 49%, highlighting pressure on profitability. Management’s updated full-year guidance calls for adjusted EBITDA of C$2.9–C$3.2 billion and free cash flow of C$200–C$500 million. The investment outlook depends on maintaining ticket pricing and premium travel demand while controlling fuel, labour and operating costs.
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