Is there any? In perfect competition world, there's no market one can't touch.

Oil price might hit $150 that the problem you guys should worry. Airasia now currently trade at a very attractive price now, wonder will drop below Rm1

AA will be 80-90c in very near future, if oil price stayed at 135-140$

now price already at 1.01
less then RM1 is possible anytime.

it hit 0.995 yesterday. few hundred lots traded at 0.995

it stop falling..look TG at 1.00....

I'm thinking to grab AA at price below RM1 past few days, but due to i have no CDS account yet, so i missed it. Anyway, if u had read Friday, 30 May 08 news, AA net profit raised up to 85.6% for its business till 31 March 08.

However, if go for long term, high oil price definately will give big impact to the stock price. As long its business still growing, stake holders wouldn't really lost all money, perhaps

AirAsia is truly lucky as US regulators are investigating on commodity futures. This would serve as a knee jerk reaction to current oil prices. HOWEVER, i do hate to see the US government intervene to limit speculative positions for hedge funds, ETFs. ITS about time we find newer sources of energy to solve our current food and energy crisis.'

As for AirAsia, Tony Fernandes didn't impress me at all with his interview on European SquakBox yesterday.

Either way, he's very lucky man that many many many hedgefunds and ETFS are selling their positions due to the investigations.

AirAsia is a 10cents share wherelse MAS par value is RM1

Air Asia would be worth RM10 if it RM1 par value


On Earning side,

1Q2008
For every AirAsia share it is getting back 68% returns (4Q2008 - 104%)
But AirAsia has never give any dividend in its entire history

MAS is getting 7% on every dollar and maybe declining too

Unfortunately, AirAsia never explains its debt situation with Malaysian Airports nor how they can cope with the rising fuel. Its a creative accounting that entices buyers of the shares to keep averaging down. With rapid expansion undergoing in AirAsia, it's a matter of time it GOES down when the government decides to get its money back from AirAsia.

Airasia now...time to go in

By Salvatore_Dali aka Malaysiafinance blogspot

Dear Tony Fernandes

I like your entrepreneurial spirit and your business acumen. If you
look at my posting on Air Asia a few days back, I like the stock
despite the popular trend to sell airlines. You have managed to steer
brilliantly during even harder times such as during the SARs and the
tsunami - which hit air travel business a lot worse than now.

The aim of this open letter is to ask you to PLEASE STOP ACTING LIKE A
FUEL OIL TRADER. You are in the business of running a LCC.

One can try to be too smart by timing and trading fuel price,
especially since it has been so volatile.

Why You Should Stop Being An Oil Trader:

a) If you bet wrongly, it affects the prospects and valuations of AirAsia.

b) If you get the timing well, save the company a lot of money, it
WON'T be applauded by analysts or investors because these are "one-offs".

The jumps in earnings due to slick timing of fuel price will not
result in better valuation. In fact analysts will use that fact to
downgrade the stock to a discount to other LCCs and major carriers as
it remains an uncertainty.

Currently, AirAsia has hedged 30% of its fuel requirements for 1H08.
You have wisely covered the liability from the call options up to
3Q09. What must stop is the way AirAsia communicates its hedging
strategy: e.g. "the cost of ofsetting the call options was wholly
covered by the income from writing various puts".

Still, on the bright side, even if the price of oil goes to US$170,
AirAsia should still be profitable - a fact which escapes 99% of the
sellers currently.

Singapore Airlines start hedging today for 18 months in the future.
Whatever the date in the future is, they will build up 50% cover and
they will do it with fairly traditional hedging mechanisms. Cathay
Pacific's method as more convoluted. They have put in place a complex
structure of swaps, options and three-way options [selling put, buying
call and selling another call with a higher strike price]. And that
gives them a degree of protection. They are hedged about 30% for 2008
volumes. The head of commodities at one global investment bank names
Qantas, All Nippon Airways and Japan Airlines as committed fuel
hedgers. Malaysia Airlines, meanwhile, has a conservative policy of
benchmarking its fuel hedging ratio against the average hedge ratio of
regional airline peers. AirAsia takes a more directional bet as part
of its hedging policy.

Yes, Air Asia is not alone in they way it hedges fuel oil. The harder
it is, the more convoluted it is to understand, the worse it will be
for investors to rate the stock properly. The more conservative it is,
you will then take the fuel oil out of the equation. You have a solid
business model, solidified by having your own LCC terminal - don't put
so many variables into the equation. Final analysis- make it a
conservative hedge policy, make it known to all, make it easy to
understand and calculate, be transparent, don't make people guess or
hope n' pray. You are not paid to make money on fuel price, you are
not supposed to and people don't expect you to (even when you own the
company).

Although the stock looks tempting, it still have not break out of the 30% RSI. I would suggest caution. The support level looks to be at 0.985. Until the RSI breaks out 30% RSI, the trend don't look good yet.

All in all Airasia is still a good stock to keep an eye out for. But thats all my opinion.

i will buy more...it good company..

The charts for this company looks scary. Definitely in a downtrend.

Might be a good buy, but I don't see any reversal signals yet.

When there is evidence of accumulation, might be good time to buy.

i always look positive for airasia especially market now...recession

ANNOUNCEMENT ON PERCENTAGE OF FOREIGN SHAREHOLDING AS AT 28 MAY 2008

ANNOUNCEMENT ON PERCENTAGE OF FOREIGN SHAREHOLDING AS AT 28 MAY 2008
AirAsia Berhad ("AirAsia" or "the Company") wishes to announce for public
information that as at 28 May 2008, 47.87% of the issued and paid-up share
capital of the Company were held by foreigners.

The percentage of ownership of shares in the Company by foreigners has exceeded
the higher of the aggregate limit of 45% of the Company's total issued and
paid-up share capital in respect of ownership of shares in the Company by
foreigners ("Prescribed Limit") by 2.87%.

Pursuant to the Securities Industry (Central Depositories) (Foreign Ownership)
Regulations 1996, shares held by foreigners which are within the Prescribed
Limit shall be entitled to all rights and entitlements attached to the shares.
However, shares held by foreigners which have exceeded the Prescribed Limit
shall only be entitled to such rights, benefits,powers and privileges except
for the voting rights in respect thereof.

This announcement is dated 30 May 2008.


Is this good news for AirAsia?

Heavy selling as market reopens for the afternoon session today..

RM0.985 now.

2.40pm RM0.980

This post has been edited by sabrateur: Jun 3 2008, 02:41 PM

if oil price keeps increasing, the stocks will not be good for sure

All airline stocks will be affected too. There are better places to put your money.