Air Canada impresses analysts but investors still keep away

Montreal

AIR Canada's turnaround plan has won over analysts. The airline has yet to get investors back on board.

The stock boasts the highest rating among North American airlines, according to data compiled by Bloomberg, and analysts are projecting a 48 per cent rally in the next 12 months. That's the best return among the 10 biggest carriers in the region.

Investors are showing less enthusiasm. Air Canada's 1.3 per cent gain this year through Monday trails Canada's benchmark stock index, signalling the big run-up may be over after a quintupling in the company's shares since chief executive officer Calin Rovinescu announced a cost-cutting strategy in June 2013.

"There's still room for the stock to rise, but a good chunk of the journey has been done," Marc-Andre Robitaille at AGF Investments sai…