Airbus: still a buyer, UBS welcomes the A350.
(CercleFinance.com) - UBS this morning confirmed its buy rating on the European aircraft manufacturer Airbus Group.
The Swiss broker also confirmed its target price of 88 euros, which represents upside potential of over 20%.
UBS' research paper is based on its own statistics for 57 A350 long-haul, twin-engine Airbus and 171 Boeing 787, its US rival, which are both powered by Rolls-Royce engines. UBS says that "June daily utilisation broadly aligned with 787 levels at c.12.5 hrs per day." At Qatar Airways, a major user of the plane, the figure even reached 15 hours/day "despite increased geopolitical turmoil," and it seems to have stabilised at 13.2 hours/day in July.
For Boeing 787s, this figure was 11.7 hours/day in June, compared with 10 hours/day in October.
UBS concludes that, "Airbus execution and delivery strategy on this programme is paying off."
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The Swiss broker also confirmed its target price of 88 euros, which represents upside potential of over 20%.
UBS' research paper is based on its own statistics for 57 A350 long-haul, twin-engine Airbus and 171 Boeing 787, its US rival, which are both powered by Rolls-Royce engines. UBS says that "June daily utilisation broadly aligned with 787 levels at c.12.5 hrs per day." At Qatar Airways, a major user of the plane, the figure even reached 15 hours/day "despite increased geopolitical turmoil," and it seems to have stabilised at 13.2 hours/day in July.
For Boeing 787s, this figure was 11.7 hours/day in June, compared with 10 hours/day in October.
UBS concludes that, "Airbus execution and delivery strategy on this programme is paying off."
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.