(CJT) Cargojet - Ratings and Ratios

Cargojet Inc. is a leading provider of time-sensitive overnight air cargo services in Canada, operating a comprehensive domestic air cargo network between major Canadian cities. The company also offers its aircraft to customers on an aircraft, crew, maintenance, and insurance basis, serving a diverse range of routes across North America, South America, Europe, and Asia. With a strong presence in the air cargo industry, Cargojet provides scheduled and ad hoc international routes for various cargo customers, connecting key markets such as the United States, Bermuda, the United Kingdom, Germany, and Mexico.

The companys diversified service offerings include domestic air cargo services for international airlines, aircraft charters for cargo and passengers, and ad hoc charter business for specialized cargo, including livestock shipments, military equipment, and emergency relief supplies. Additionally, Cargojet is involved in aircraft operation and maintenance, flight planning, crew training, ground handling, and commercial airline cargo management, further solidifying its position as a comprehensive air cargo solutions provider.

With a fleet of 41 aircraft, Cargojet has established itself as a significant player in the air freight and logistics industry. The companys expertise in handling a wide range of cargo, combined with its extensive network and operational capabilities, positions it for continued growth and success. As a publicly traded company listed on the Toronto Stock Exchange (TO:CJT), Cargojet is well-positioned to capitalize on emerging trends and opportunities in the global air cargo market.

Analyzing the technical data, we observe that the stock is currently trading near its 20-day Simple Moving Average (SMA20) of $93.92, indicating a relatively stable short-term trend. However, the stock is below its 200-day SMA of $109.09, suggesting a longer-term downtrend. The Average True Range (ATR) of 2.66 (2.86%) indicates moderate volatility. Considering the fundamental data, the companys Market Cap of $1.493 billion CAD and a Forward P/E ratio of 17.09 suggest a relatively stable and profitable business. With a Return on Equity (RoE) of 16.88%, Cargojet demonstrates a strong ability to generate returns for its shareholders.

Based on the technical and fundamental analysis, our forecast suggests that Cargojet Inc. may experience a moderate recovery in the short term, potentially driven by the companys strong operational performance and the growing demand for air cargo services. However, the longer-term trend remains uncertain, and the stock may face challenges in breaking above its 200-day SMA. We anticipate that the stock may trade in the range of $95-$115 in the next quarter, with potential upside driven by the companys continued growth and expansion into new markets.