Originally Posted by
C2078
What you don’t state and a concerning number is volume, which is down a fair amount. The reason the stock dropped even after good numbers is because the street is worried pricing may not hold up, especially with declining volume. The street predicts revenue growth will most likely stall out or even decline a bit. The sky is most definitely not falling, but the era of prolonged, sustained growth, new net airplanes is probably over. Hiring going forward mostly for attrition.
I would argue the stock price is falling because the price to earnings ratio got seriously optimistic during the pandemic when we had customers over a barrel. We’ve returned to more rational valuations. Volume would be expected to decline some as we limit volume from very large shippers in order to ensure that we don’t have to say no to higher profit shippers (small to medium size businesses), There are things I don’t like about Tome, but I don’t see her strategy as hurting our (pilot) prospects. Growth may slow some, but I’m optimistic a new type that can be produced past 2027 will be introduced in the next year or so. The MD fleet is definitely going to shrink going forward and the 76F will no longer be available new after 2027. It will be an entertaining few years for sure. I’m more interested in our contract gyrations than our stock price, right now.