(CHR) Chorus Aviation - Ratings and Ratios

Chorus Aviation Inc. is a diversified aviation services company that operates through its subsidiaries, providing a range of services including contract flying, charter services, and specialized flying services for medical, logistical, and humanitarian missions. The company also offers aircraft leasing, maintenance, repair, and overhaul services, as well as parts sales and technical services, and pilot training. Additionally, Chorus Aviation provides aeronautical products and services, including component, sheet metal, and avionics repair, and in-house design and certification services for aircraft modifications and upgrades.

With a history dating back to 2005, Chorus Aviation has evolved from its former incarnation as Jazz Air Income Fund to become a comprehensive aviation services provider. The companys diverse revenue streams and broad customer base, which includes airlines, leasing companies, and aviation maintenance organizations, position it for long-term growth and stability. Chorus Aviations management team has a strong track record of delivering value to shareholders through strategic acquisitions and operational improvements.

Analyzing the technical data, the stocks current price of 21.75 CAD is above its 20-day and 50-day simple moving averages, indicating a positive short-term trend. The 200-day SMA at 20.49 CAD suggests a longer-term uptrend. The average true range (ATR) of 0.43 CAD, representing 1.96% of the current price, indicates relatively moderate volatility. Based on this technical analysis, and considering the fundamental data, including a forward P/E of 8.70 and a market capitalization of 535.71M CAD, a forecast for CHR is that it will continue its upward trend, potentially reaching 24.50 CAD in the near term, driven by its diversified services, improving operational metrics, and a favorable industry outlook.

From a fundamental perspective, Chorus Aviations financials indicate a company in a turnaround phase, with a negative return on equity (RoE) of -22.66% suggesting recent challenges. However, the forward P/E of 8.70 implies that analysts expect earnings to improve significantly in the coming periods. As the company continues to expand its services and improve operational efficiency, and with the aviation industry poised for recovery, CHR is likely to benefit from these positive trends. Our forecast is underpinned by the expectation of improving earnings and a stable industry outlook, supporting a potential price target of 26.00 CAD in the next 12-18 months.