Air Canada (TSX:AC) Heads To Morgan Stanley Conference, Is It Still 21% Undervalued?
Air Canada (TSX:AC) is scheduled to participate in Morgan Stanley's 14th Annual Laguna Conference on September 17, 2026. The event will offer investors updated insight into the airline's financial priorities and capital allocation strategy.
Recent trading has been choppy for Air Canada, with the share price slipping 1.95% on the day and down 4.76% over the past month. However, the 90 day share price return of 12.69% and year to date gain of 39.71% suggest momentum has been building. This is backed by a 1 year total shareholder return of 50.27% and 3 year total shareholder return of 46.29% as investors react to operational updates and events such as the upcoming Laguna conference and recognition for its Elevate leadership program.
Scan how Air Canada’s setup compares with other potential movers in the sector by reviewing a curated group of 6 high quality undervalued stocks that pair solid balance sheets with meaningful cash generation.
Bulls point to Air Canada’s recent 1 year and 3 year shareholder gains as evidence the market is still catching up. Bears highlight volatility and sector risk. Which story does the current valuation actually support?
Most Popular Narrative: 21% Undervalued
On the narrative numbers, Air Canada’s fair value sits at CA$34.89 against a last close of CA$27.62. This frames the current setup as discounted while still hinging on execution in a capital intensive airline business.
Fleet modernization and upcoming entry of next-gen fuel-efficient aircraft (A220s, 737 MAX, and A321XLRs) are expected to drive down per-seat costs and enhance operational efficiency, supporting margin expansion and improved long-term earnings.
See why 105 investors see Air Canada as 21% undervalued.
Result: Fair Value of CA$34.89 (UNDERVALUED)
Still, the Air Canada story can shift quickly if rising labor costs compress already thin profit margins or if weaker transborder demand continues to pressure unit revenues.
Find out about the key risks to this Air Canada narrative.
Next Steps
Mixed signals around Air Canada can make the story feel murky. Move quickly, review the full data, and weigh both sides through 2 key rewards and 2 important warning signs
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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