Buxton 'vindicated' by BA profit return and sees further upside

Schroders' Richard Buxton believes today's return to profit for high conviction holding British Airways vindicates retaining the stock through the volatile last few years for the company.

British Airways posted a first profit in two years in Q3, with strong sales of business tickets driving net income to £229m. While the company had to deal with the major slowdown in passenger numbers due to the credit crisis, the aviation giant was also hit by the Icelandic volcano and industrial action from cabin crew. Buxton, the group's head of UK equities and manager of the £2.17bn Schroder UK Alpha Plus fund, has retained the position throughout the volatile period for the company. BA shares are currently trading at 273.8p, but dropped as low as 109p in October 2008. "Today's ...