Breakeven load factor
Fundamental analysisThe share of seats an airline must sell to cover its costs at current fares.
The number to compare with the actual load factor; the closer the two, the thinner the airline’s cushion.
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
Showing 3 terms
The share of seats an airline must sell to cover its costs at current fares.
The number to compare with the actual load factor; the closer the two, the thinner the airline’s cushion.
Moving a stop to the entry price once a trade has gone a defined amount in your favour, so it can no longer lose.
Emotionally attractive and usually expensive — testing tends to show it cuts the average win by more than it cuts the average loss. If you use it, wait until 1.5 to 2R and anchor it to a structural level rather than the entry.
The share of an airline’s seats that were sold: RPK divided by ASK.
How full the planes were. It only tells you about profit when compared with the breakeven load factor.