After Qantas Airways’ recent announcement about fleet renewals and media speculation of a capital raise, Citi examines potential capital expenditure, including Project Sunrise, in more detail.
The broker concludes enough capex for fleet renewal and Project Sunrise has been factored-in.
Buy rating and $5.93 target price are unchanged.
Target price is $5.93.Current Price is $5.55. Difference: $0.38 – (brackets indicate current price is over target). If QAN meets the Citi target it will return approximately 6% (excluding dividends, fees and charges – negative figures indicate an expected loss).