SYDDF - Sydney Airport: The Time To Buy Is When There's Blood In The Streets
Sydney Airport Limited (ASX:SYD) is a monopoly asset which derives its revenue by charging passengers a fee for using the airport and participating in the profits generated from commerce that takes place in the airport: Duty-Free, Retail, Car Park, Hotel, Leasing offices. Sydney Airport provides consistent growth and downside protection through its (I) long-term contracts with airlines and tenants, (II) CPI or higher escalation on commercial revenues, and (III) growth initiatives in terminal 2/3.
Sydney Airport is indeed a dominant Australian infrastructure asset but is facing severe short-term challenges