JeslinToh
2022-09-16

$SINGAPORE AIRLINES LTD(C6L.SI)$Time to buy?

Financials have definitely improved for SIA lately due to increased passenger traffic. But it is still having a negative free cash flow, all thanks to the weaker first half of fiscal year 2022. 

As a result, the likelihood of near term dividend payout is close to none and this will likely persist until the FCF turns positive at the very least.

Another factor weighing the business down is theimpact of inflation. High crude oil prices will affect operating costs adversely and inflation will likely reduce consumer discretionary spending eg. Travel if it persists.

Personally, I feel that near term improved financials will help in stock price but looking at the macro-economic factors such as inflation, I will be more cautious in my investments with SIA.

Invest safe!

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Comments

  • Ztradee
    2022-09-16
    Ztradee
    Totally. Airline is legendary anyway. Compared to the best of the best.
  • LeeCWI
    2022-09-16
    LeeCWI
    Long term investment is 😊
  • Ztradee
    2022-09-16
    Ztradee
    Still reckon it would be a safe bet in the longer term
  • alvinlau0203
    2022-09-16
    alvinlau0203
    airlines? [Speechless]
    • JeslinToh
      I Am personally still sitting on the sideline for this.
  • AMDidass
    2022-09-16
    AMDidass
    nice nice sharing
  • Novem678
    2022-09-16
    Novem678
    SQ best airline
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