DBS: Cargo To Be Key Rev. Driver For Cathay

The video discusses Cathy's performance in 2021, highlighting its better-than-expected results driven by cost-cutting and strong cargo yields. The investment recommendation is upgraded to hold, using a price to book valuation due to cyclical earnings. Market speculation about a takeover is addressed, with management assuring no change in shareholding. Concerns include rising fuel prices and cash burn, but Cathy is well-hedged and has sufficient liquidity. The impact of oil prices on airlines is significant, with Chinese airlines most affected. Singapore Airlines' recovery prospects are optimistic, pending travel restrictions.

What are the current concerns regarding Kathy's shareholding structure?

What is Kathy's current cash burn rate and how does it affect its liquidity?

How is Kathy positioned in relation to rising jet fuel prices compared to other airlines?