International Consolidat... Share Discussion Threads

[bookbroker] 08/1/2015 15:42

Have these been left behind like other airlines over the Paris attacks?

[rufio90210] 08/1/2015 14:10

Alan Oscroft views

In response, International Consolidated Airlines (LSE: IAG) shares have climbed by 51% since early October to 489p today, reversing 2014’s decline to provide a 12% gain over the past 12 months. But is there any further to go and are the shares worth considering today?

Well, the company’s turnaround is expected to come good this year, and third-quarter operating profit was up 30% to €900m. Fuel costs were down 7.5%, and that was before the great oil slump!

Forecasts put International on a P/E of only 7.9 for 2015, dropping to 6.5 for 2016 when dividend yields are expected to be back to 2.6%. I generally don’t like airlines as an investment, but this one is looking tempting.

[rufio90210] 08/1/2015 14:10

Alan Oscroft views

In response, International Consolidated Airlines (LSE: IAG) shares have climbed by 51% since early October to 489p today, reversing 2014’s decline to provide a 12% gain over the past 12 months. But is there any further to go and are the shares worth considering today?

Well, the company’s turnaround is expected to come good this year, and third-quarter operating profit was up 30% to €900m. Fuel costs were down 7.5%, and that was before the great oil slump!

Forecasts put International on a P/E of only 7.9 for 2015, dropping to 6.5 for 2016 when dividend yields are expected to be back to 2.6%. I generally don’t like airlines as an investment, but this one is looking tempting.

[skinny] 05/1/2015 08:30

New high @500p.

[skinny] 29/12/2014 07:02

From the

There are several reasons to think that shares in IAG, the parent group of British Airways, could take off next year.

Firstly, and most obviously, there is the plummeting oil price, which has nearly halved since June to around $60 (£39) a barrel. For airlines whose biggest cost is jet fuel, then the benefits are huge. They are built to profit at $120 barrel, so imagine how much money you can make at $60, or if oil falls much further, which some experts think it will. With shares in IAG only having risen by 18.7pc this year, it appears the market has yet to fully factor in this benefit.

Secondly, IAG is trying to buy Aer Lingus. It has had one approach rejected, but is expected to make a fresh approach. A deal won’t be easy to pull off but the City would like to see it happen and the chief executive Willie Walsh is capable of doing it. Aer Lingus has 23 valuable landing slots at Heathrow, a lucrative business flying passengers across the Atlantic, and hundreds of millions of euros sitting on its balance sheet.

Five years ago BA merged with Spain’s Iberia to form IAG. It has taken that long for the real benefits of the deal to filter through, but they are finally starting to show and analysts at Liberum reckon that the market has been slow to recognise that. The broker says there is potential for a re-rating of the shares and has slapped a buy recommendation on the stock with a 600p target price. They currently trade at 475.4p.

[dan158] 20/12/2014 14:19

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[smicker] 20/12/2014 13:54

Its Etihad that are being mooted as the main opposition here

hxxp://www.independent.ie/business/irish/no-etihad-approach-for-aer-lingus-as-market-awaits-higher-iag-offer-30850925.html?

Ryanair have tried before but couldnt pass the regulatory issues

[enami] 19/12/2014 15:21

Ryanair are the major shareholder of Aer lingus and they had a bid blocked in 2012 somehow (I am unclear of the details) the Irish government are the other major sharholder. I doubt if Mr O'Leary will allow BA to muscle in but you never can predict.

Shareholder Number of Shares Percentage
Ryanair Limited 159,231,025 29.82%
Minister for Finance of Ireland 134,109,026 25.11%
Others 240,700,039 45.07%

[skinny] 19/12/2014 13:50

19 Dec 14 Credit Suisse Outperform 471.80 654.00 654.00 Reiterates
19 Dec 14 Liberum Capital Buy 471.80 600.00 600.00 Reiterates
19 Dec 14 Cantor Fitzgerald Hold 471.80 470.00 470.00 Reiterates

[skinny] 19/12/2014 13:21

Worth a watch/listen -

[smicker] 19/12/2014 13:17

We'll see after he makes the new improved bid

[skinny] 19/12/2014 13:12

Well at the moment he isn't buying it.

"International Consolidated Airlines Group, S.A. (IAG) notes the recent movement in the share price of Aer Lingus and confirms it submitted a proposal to make an offer for the Company, which has been rejected by the Board of Aer Lingus.

There can be no certainty that any further proposal or offer will be forthcoming.

A further statement will be made if and when appropriate."

[smicker] 19/12/2014 13:08

I'm no fan of acquisitions but surely WW knows what he is buying here

[phillis] 19/12/2014 12:40

wonder how much we will ewnd up paying?

[enami] 19/12/2014 07:04

International Cons Airlines Group Statement on possible offer for Aer Lingus

I missed that RNS yesterday (no longer being a holder), heard it mentioned on Doomberg this morning.

[younasm] 18/12/2014 16:04

This has been an excellent trading share for 2014. I am all out now - made good profits being both long and short.Decent share price movements on a regular basis was the gift I needed.Merry Christmas and best wishes for 2015.

[younasm] 16/12/2014 13:03

Closed most of the shorts at 446p. Gone long for two weeks at same price.Still have a few shorts left .. But not really expecting much downside until we get some bad news.

[enami] 09/12/2014 15:19

Sold out completely, first time in many years I have not held BA/IAG shares, funds will be banked to make up for loss of the shareholder discount.

[younasm] 09/12/2014 12:43

Looking good to close the shorts - profit is being eaten up by reduced time value. Not that easy making money on these.

[skinny] 08/12/2014 06:53

Nomura Buy 486.70 486.70 465.00 550.00 Retains

[younasm] 06/12/2014 12:50

Had to pay to move short positions to march 2015, and 40p higher at 480p. Losses are protected, but net profit might be tiny due to costs incurred this week.I am all set for next lot of short positions - will open those nearer 500p

[enami] 05/12/2014 09:33

Jet Fuel Price down 27.1% over the last year.

[supermarky] 03/12/2014 20:23

Oil goes down airlines go up simples. Breaking out. Lovely. I'm long.