Jet Airways Share Price Future

Overview:

Jet Airways is one of the leading airlines in India. The company has been struggling in recent years due to various financial issues. The airline was grounded in April 2019 due to its inability to pay its debts. However, the airline has shown signs of recovery and has been in discussions with potential investors. This article will analyze the current state of Jet Airways and explore the future prospects of its share price.

Current State of Jet Airways:

Jet Airways was founded in 1993 and quickly became one of the major airlines in India. However, the company has struggled in recent years due to increased competition and rising fuel prices. The airline was grounded in April 2019 after it failed to pay its debts. The company had accumulated debts of around Rs 8,000 crore at the time of its grounding. The airline had to cancel all its flights and lay off its employees. The airline has since been in discussions with potential investors to revive its operations.

Future prospects of Jet Airways Share Price:

The future of Jet Airways Share Price is uncertain at this time. The airline has been in discussions with potential investors that could lead to a revival of its operations. The company has received interest from various investors, including the UAE-based Etihad Airways, which already owns a 24% stake in the airline. Etihad Airways has said that it is willing to invest more money in the airline, but it is waiting for the Indian government to provide clearance for foreign investment in Jet Airways.

The other potential investors include the Hinduja Group, which has shown interest in acquiring a majority stake in the airline. Additionally, the founder of the airline, Naresh Goyal, has also expressed interest in investing in the airline. If the airline is revived, it could lead to an increase in the share price of Jet Airways.

However, there are also risks associated with investing in Jet Airways at this time. The airline has a massive debt burden, and it is unclear how the company will be able to pay off its debts. Additionally, there is intense competition in the Indian aviation industry, which could make it difficult for Jet Airways to regain its position in the market. Moreover, the Covid-19 pandemic has had a severe impact on the aviation industry, which has led to a significant decline in air travel.

Conclusion:

Overall, the future of Jet Airways and its share price is uncertain. The airline has been in discussions with potential investors, which could lead to a revival of its operations. If the airline is revived, it could lead to an increase in the share price of Jet Airways. However, there are also risks associated with investing in Jet Airways at this time. The airline has a massive debt burden, and it is unclear how the company will be able to pay off its debts. Additionally, there is intense competition in the Indian aviation industry, which could make it difficult for Jet Airways to regain its position in the market.