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Air Canada (ACDVF) Advances But Underperforms Market: Key Facts

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Air Canada (ACDVF - Free Report) closed the latest trading day at $14.48, indicating a +0.63% change from the previous session's end. The stock's change was less than the S&P 500's daily gain of 0.86%. Elsewhere, the Dow saw an upswing of 1.22%, while the tech-heavy Nasdaq appreciated by 0.51%.

The company's stock has climbed by 5.28% in the past month, exceeding the Transportation sector's gain of 0.08% and the S&P 500's gain of 2.84%.

Market participants will be closely following the financial results of Air Canada in its upcoming release.

Investors should also note any recent changes to analyst estimates for Air Canada. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Air Canada is holding a Zacks Rank of #1 (Strong Buy) right now.

Looking at valuation, Air Canada is presently trading at a Forward P/E ratio of 4.32. This represents a discount compared to its industry's average Forward P/E of 8.62.

The Transportation - Airline industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 61, which puts it in the top 25% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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