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Air Canada (TSE:AC)
TSX:AC
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Air Canada (AC) Price & Analysis

4,081 Followers

AC Stock Chart & Stats

C$18.96
-C$0.35(-1.59%)
At close: 4:00 PM EST
C$18.96
-C$0.35(-1.59%)

Bulls Say, Bears Say

Bulls Say
Operating Cash GenerationAir Canada's large absolute operating cash flow and positive free cash flow provide a durable internal funding source. Over 2-6 months this supports capacity to service debt, fund maintenance capex, and sustain operations through cycles, improving financial resilience versus carriers with weaker cash generation.
Scale And Diversified Revenue StreamsThe company's broad route network, cargo operations and Aeroplan loyalty program create multiple durable revenue pillars. Network scale and loyalty-program economics strengthen demand capture, provide ancillary revenue, and help stabilize cash flows across markets and seasons over the medium term.
Normalized Profitability Post-pandemicReturning to sustained positive margins and meaningful revenue indicates the business model is operating profitably after pandemic disruption. Even with margin compression versus peaks, consistent EBITDA generation supports reinvestment and serviceability of obligations over coming quarters.
Bears Say
High LeverageElevated leverage materially limits financial flexibility in a cyclical industry. High absolute debt increases interest and refinancing risk, reduces room for strategic investments or temporary shocks, and makes the company more sensitive to rate moves and downturns over the medium term.
Thin Net Margins Vs Prior PeakA substantially lower net margin versus the recent peak reduces the earnings buffer to absorb cost shocks like fuel or labor. Persistently thin margins compress free cash available for deleveraging or growth, raising structural vulnerability over multiple quarters.
Weak Cash Conversion And VolatilityLow FCF-to-net-income and historical swings indicate working-capital and capex timing can materially affect liquidity. With high debt, weaker conversion raises refinancing and covenant risk and constrains consistent capital allocation over the medium term.

Air Canada News

AC FAQ

What was Air Canada’s price range in the past 12 months?
Air Canada lowest stock price was C$16.45 and its highest was C$24.95 in the past 12 months.
    What is Air Canada’s market cap?
    Air Canada’s market cap is C$6.93B.
      When is Air Canada’s upcoming earnings report date?
      Air Canada’s upcoming earnings report date is Aug 05, 2026 which is in 35 days.
        How were Air Canada’s earnings last quarter?
        Air Canada released its earnings results on Apr 30, 2026. The company reported -C$0.05 earnings per share for the quarter, beating the consensus estimate of -C$0.451 by C$0.401.
          Is Air Canada overvalued?
          According to Wall Street analysts Air Canada’s price is currently Undervalued. Get more investment ideas with TipRanks Premium
            Does Air Canada pay dividends?
            Air Canada does not currently pay dividends.
            What is Air Canada’s EPS estimate?
            Air Canada’s EPS estimate is 0.09.
              How many shares outstanding does Air Canada have?
              Air Canada has 280,052,340 shares outstanding.
                What happened to Air Canada’s price movement after its last earnings report?
                Air Canada reported an EPS of -C$0.05 in its last earnings report, beating expectations of -C$0.451. Following the earnings report the stock price went down -2.091%.
                  Which hedge fund is a major shareholder of Air Canada?
                  Currently, no hedge funds are holding shares in TSE:AC
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    Company Description

                    Air Canada

                    Air Canada functions as a full-service airline, providing an array of flights across Canada, over the U.S. border, and to various international destinations. The company delivers scheduled passenger services through its primary Air Canada brand, along with its Air Canada Vacations and Air Canada Rouge subsidiaries, serving domestic, Canada-U.S. transborder, and global routes from and to Canada. Additionally, it expands its network by utilizing capacity purchase agreements with other regional carriers. As of December 31, 2021, Air Canada maintained a significant fleet: its mainline operations comprised 175 aircraft (97 Boeing and Airbus narrow-body jets, and 78 Boeing and Airbus wide-body planes); the Air Canada Express division operated 123 aircraft (including 50 Mitsubishi regional jets, 48 De Havilland Dash-8 turboprops, and 25 Embraer 175s); and Air Canada Rouge employed 39 aircraft (specifically 14 Airbus A321s, 5 Airbus A320s, and 20 Airbus A319s). Beyond passenger transportation, the company also offers air cargo services on domestic, U.S. transborder, and international routes connecting Canada with markets in Europe, Asia, South America, and Australia. Furthermore, Air Canada is involved in the creation, promotion, and sale of vacation travel packages to popular regions such as the Caribbean, Mexico, the United States, Europe, Central and South America, the South Pacific, Australia, and Asia. It also arranges cruise packages across North America, Europe, and the Caribbean, and manages travel loyalty programs. Established in 1937, Air Canada's corporate headquarters are situated in Saint-Laurent, Canada.

                    Air Canada (AC) Earnings & Revenues

                    AC Company Deck

                    AC Earnings Call

                    Q1 2026
                    0:00 / 0:00
                    Earnings Call Sentiment|Positive
                    The call emphasized strong execution in 2025 with an exceptional Q4: record quarterly revenues and EBITDA, robust cash generation, improved operations, and diversified revenue streams (international, Sixth Freedom, cargo, Aeroplan). Management acknowledged notable near-term headwinds—higher CASM driven by labor and depreciation, the carryover impact of summer labor stoppages, a peak CapEx cycle and transitional fleet timing that will pressure 2026 free cash flow and unit costs. However, leadership presented clear mitigation plans (cost reduction programs, sale-and-leasebacks, fleet modernization, pricing/route strategy) and confidence in medium-term margin and cash generation improvement driven by network scale and new aircraft economics. Overall, the positive financial results, strong balance sheet and strategic positioning materially outweigh the transitional cost challenges described.View all TSE:AC earnings summaries

                    AC Stock 12 Month Forecast

                    Average Price Target

                    C$23.95
                    ▲(26.32% Upside)
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<span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 28,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 2, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":19.06,"date":1754006400000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 23,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 0, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":19.07,"date":1756684800000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 28,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 2, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":17.71,"date":1759276800000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 19,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 3, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":18.44,"date":1761955200000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 21,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 6, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":19.09,"date":1764547200000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 15,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 4, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":19.29,"date":1767225600000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 15,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 5, \t&nbsp;</span>\n    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