Update For Q2/F26 Fuel Impact Pre-Release

研报英文原文证据摘录

Update For Q2/F26 Fuel Impact Pre-Release

Transportation/Aerospace

Transat A.T. Inc.

TD SECURITIES INC. - CANADA ESTIMATE CHANGES

May 15, 2026

Price: C$2.70 (05/15/2026) Update For Q2/F26 Fuel Impact Pre-Release

Price Target: C$2.50

HOLD (2)

ESG SCORE: 50/100

Tim James, CFA^ THE TD COWEN INSIGHT

416 308 9773

The jet fuel and demand environment has created heightened uncertainty and volatility in

tim.james@tdsecurities.com

results. Cuba flight suspension, high leverage, narrow margins and greater exposure to jet

Jasroop S Bains, CFA, CPA^ fuel price fluctuations than previously forecast supports our view of caution with respect to

416 307 9422 an investment in Transat. Long-term/normalized conditions could eventually support upside.

jasroop.bains@tdsecurities.com

Maintaining HOLD and $2.50 target.

Key Data

Symbol TSX: TRZ-T Impact: Negative For Estimates

12-Month Div (Est.): C$0.00

We are adjusting our F2026 earnings estimates significantly lower due to higher jet fuel

Beta: 1.11

assumptions and a lower-than-expected offset from hedging. We assume some demand

12-Month Total

(7.4)% destruction in Q3 and Q4 as higher air fares sideline more budget-conscious travelers. BeyondReturn:

52-Week Range: C$3.25-C$1.63 F2026, we assume declining jet fuel costs and the marginal benefit of deferred travel demand

Market Cap: C$109.7MM from F2026 leads to relatively unchanged forecasts.

Net Debt (MM): C$1,270.0

We don't believe the share price is trading on near-term earnings multiples or other

Cash/Share: C$9.52

financially derived metrics, but on the assumption that Transat has sufficient liquidity and

Dil. Shares Out (MM): 40.5 government support to sustain itself through this challenging period to a time when earnings