With good reason, Singapore Airlines was the first customer to buy an A380 Airbus jet and this summer the airline has been renovating their long-distance fleet with an enormous purchase that has benefited a European manufacturer and Boeing. Singapore Airlines bought 15 model A330-300 planes and eight 777-300Rs. In total, the infrastructure investment exceeded 4 billion euros.
So what caused the analysts' consensus opinion of the airline (data compiled by FactSet) to change so drastically?
In the first place, the price of oil. While from February until now there has not been a significant increase, the fact that prices are at a sustained high is affecting the prediction change.
In the last six months brent crude has not dropped beneath $100 per barrel. In fact, the Bloomberg average is $113 per barrel, though the price has been dropping to nearly $107 since September.
