Topic: Growth Stocks

Stock Pickers Digest Hotline – Friday, August 6, 2010

Article Excerpt

WESTJET AIRLINES, $13.04, symbol WJA on Toronto, has reported higher revenue and earnings in the latest quarter. In the three months ended June 30, 2010, WestJet’s revenue rose 15.2%, to $612.1 million from $531.2 million a year earlier. Excluding one-time items, earnings jumped 154.3%, to $23.4 million, or $0.16 a share, from $9.2 million, or $0.07 a share. This was the company’s 21st consecutive quarter of profitability. The gains came mostly from improved demand for the company’s flights. WestJet has a new, fuel-efficient fleet and a low cost-structure. As well, it serves more cities than many of its competitors. It’s selectively adding to these destinations, and focusing on sunshine destinations where it can add to its earnings by selling customized vacation packages that include flights. These strengths put the company in a good position to profit from the economic recovery. WestJet’s long-term debt of $954.9 million is 53.1% of its $1.8-billion market cap. But the company holds cash of $1.1…