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China Galaxy International: Thai Airways’ outlook overshadowed by prolonged high fuel costs

China Galaxy International: Thai Airways’ outlook overshadowed by prolonged high fuel costs

老虎证券老虎证券2026/04/21 04:57
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According to data from S&P Global Commodity Insights, jet fuel prices surged to around $200 per barrel in March, while Thai Airways' average cost for 2025 is $96.50 per barrel. Since the airline only hedges at the crude oil price level, most of the increase in fuel prices has not actually been hedged. As Thai Airways has limited ability to fully pass on costs through higher ticket prices, the brokerage has lowered its earnings per share forecasts for 2026-2027 by 22%-36%. The agency downgraded the stock rating from "outperform" to "hold," and cut the target price from 7.80 baht to 6.40 baht.
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