KUALA LUMPUR (June 4): Shares of budget airline AirAsia Bhd (fundamental: 0.2; valuation: 0.8) rose this morning after it said it was in talks with Malaysia Airline Bhd (MAB) regarding collaboration on reducing cost and jobs creation between the two airlines.
At 10.22am, Airasia gained 1.89% or four sen to RM2.15 with 1.36 million shares done.
AirAsia Group chief executive officer Tan Sri Tony Fernandes yesterday said the management is getting excited as this is the first time in 15 years that MAB and Khazanah Nasional Bhd are focused in making the airline profitable.
He did not rule out the possibility that the collaboration would involve maintenance, repair and operations (MRO), but as the discussion is preliminary, he declined to unveil much details.
(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)