Thursday, February 18, 2010

Long Term View: Air New Zealand Ltd



In this series of posts I am going to be looking at stocks listed on the NZX in relation to their returns to shareholders over the life of their listing -what shareholders would now see in their back pockets if they had invested in the company IPO.

The calculation of returns includes dividends and tax credits.

Lets have a look at Air New Zealand Ltd [AIR.NZ] this time. Air NZ hasn't been a good investment for shareholders in terms of returns since its NZX recapitalisation in 2002. With 46 cents in net dividends (see chart above) paid and another 33% of that figure gained for those eligible for associated tax credits, an approx 6% return (see chart below for the share price percentage gain against the average of all NZX indexes) over the current 8 year listing gives an approx annual net return of 0.75%.

This is nearly 11 times worse than the return from the average of all NZX indexes over the same period.





Long Term View Series

Auckland International Airport
Air New Zealand
AMP Ltd
Briscoe Group Ltd
Contact Energy Ltd
Delegats Group Ltd
EBOS Group Ltd
Fletcher Building Ltd
Fisher & Paykel Appliances
Fisher & Paykel Healthcare
Freightways Ltd
Goodman Fielder Ltd
Hellaby Holdings Ltd
Mainfreight Ltd
Metlifecare Ltd
New Zealand Refining Ltd
Port Of Tauranga Ltd
Pumpkin Patch Ltd
Restaurant Brands Ltd
Ryman Healthcare Ltd
Sanford Ltd
Sky City Entertainment Group Ltd
Sky Network Television Ltd
Telecom NZ Ltd
Telstra Corp Ltd
The Warehouse Group Ltd


Air New Zealand @ Share Investor

Mike Pero and Air New Zealand: Capitalism vs Socialism
Rob Fyfe's "Environmental Extremism"
Reality Needs to Bite
Air New Zealand wants another taxpayer bailout

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