Air Canada ACDVF is scheduled to report second-quarter 2023 results on Aug 11, before market open. The company has a disappointing earnings surprise history, having missed the Zacks Consensus Estimate in three of the preceding four quarters (beating once). The average miss is 241.51%. The Zacks Consensus Estimate for second-quarter earnings has been revised 2.7% upward over the past 60 days. Given this backdrop, let's delve deeper into the factors likely to have influenced ACDVF's second-quarter 2023 performance. We expect upbeat air-travel demand to have boosted Air Canada's top-line performance in the to-be-reported quarter. High passenger revenues are likely to have aided the results. Driven by upbeat traffic, load factor (percentage of seats filled by passengers) is likely to have been impressive in the June quarter. However, high fuel cost might have affected the bottom-line performance in the quarter under review. Even though fuel price has come down from the highs witnessed earlier, it still remains at an elevated level. Non-fuel unit costs are likely have been high in the quarter under discussion due to increased labor costs. Required If you were a follower of Peter Lynch, will you buy Air Canada or not? explain why ?

Answer rating: 100% (QA)

As a follower of Peter Lynch who emphasized the importance of thoroughly researching and understanding companies before investing in them the decision ... View the full answer