Why this fund manager believes Qantas (ASX:QAN) could emerge “larger and more valuable”

The Qantas Airways Limited (ASX: QAN) share price has shrugged off its morning losses to be up 1.65% in late afternoon trading.

At $5.56 per share, it’s still 22.8% down since 2 January, having yet to recover from the drubbing delivered by the global pandemic. As domestic and international air travel ground to a halt, Qantas share price plummeted 70% by 19 March.

Still, the 158% rally from the 19 March low is massive. For comparison, the broader S&P/ASX 200 Index (ASX: XJO) is up 45% from its own 23 March low.

But despite that strong rally, and numerous headwinds still facing the airline in the mid-term, Montgomery Investment Management director Tim Kelley says there are good reasons why the Qantas share price could run…