Air Canada’s Montreal-Naples Route: A Transatlantic Growth Play Ahead of the 2027 America’s Cup Surge

Montreal, May 16, 2025 — Air Canada’s new non-stop Montreal-Naples route, launched today, is more than a seasonal summer route. It’s a strategic move to capitalize on two underappreciated opportunities: the untapped potential of Southern Italy tourism and the looming economic windfall from the 2027 America’s Cup, which Naples will host. With its fuel-efficient Boeing 787-8 Dreamliner and a seat configuration optimized for both leisure and business travelers, Air Canada is positioning itself to dominate a market primed for explosive growth. Here’s why investors should pay close attention—and act now.

The Naples Opportunity: Southern Italy’s Underpenetrated Market

Naples, Campania’s economic hub, is a tourism powerhouse waiting to be unlocked. While Rome and Milan dominate Canada’s Italian travel itineraries, Naples—home to Pompeii, the Amalfi Coast, and a UNESCO World Heritage Site—is underserved by North American carriers. Air Canada’s route taps into this gap, offering 255 seats per flight (214 in Economy, 21 in Premium Economy, and 20 in Business Class) at a time when Southern Italy’s tourism infrastructure is undergoing a renaissance.

The airline’s choice of the Boeing 787-8 is no accident. Its long-range capability and 255-seat capacity allow Air Canada to operate non-stop between Montreal and Naples cost-effectively. With a 7% increase in total capacity to Italy this summer compared to 2024, the airline is signaling confidence in the region’s growth trajectory.

The 2027 America’s Cup: A Catalyst for Tourism and Revenue Surge

The 38th America’s Cup, to be held in Naples in 2027, is a game-changer. The event is projected to attract 1.5–1.7 million visitors, including 400,000–500,000 international sailing enthusiasts, generating over €690 million in economic activity for Campania. For Air Canada, this creates a two-year runway to build passenger momentum on its new route.

The timing is perfect. The Montreal-Naples route launches just as the America’s Cup’s preliminary events begin to draw global attention. By establishing itself as the go-to carrier to Naples before the 2027 frenzy, Air Canada can lock in early-mover advantages:

1. Pre-event demand: Sailing teams, journalists, and fans will need flights to Naples for training, regattas, and promotional events.
2. Post-event legacy: Infrastructure upgrades in Naples—including waterfront redevelopment in the Bagnoli district—will ensure the city remains a top destination post-2027.
3. Cultural ties: Canada’s large Italian-Canadian community (over 1.5 million) will drive demand for travel to their ancestral homeland.

The Investment Case: Undervalued Stock, Overlooked Catalysts

Air Canada’s stock is currently trading at a discount to its European growth potential. The Montreal-Naples route and the America’s Cup offer a clear path to revenue upside:

• Fleet efficiency: The Boeing 787-8’s fuel efficiency reduces per-seat costs, making the route profitable even during off-peak seasons.
• Premium-class upside: Business and Premium Economy seats command higher yields, especially as Naples becomes a luxury destination for yacht enthusiasts.
• Strategic hub leverage: Montreal’s status as a transatlantic gateway, with U.S. pre-clearance, allows Air Canada to connect Naples-bound passengers from across North America.

The 2027 Cup’s economic impact—€690 million in Naples—will amplify demand for flights, hotels, and services. Air Canada’s early presence ensures it captures a disproportionate share of this traffic.

Risks, but the Upside Outweighs Them

Critics will point to seasonality (the route runs only May–October) and competition from other carriers. But Air Canada’s first-mover advantage in Naples, combined with its 787 fleet’s flexibility, mitigates these risks. Even a 10% increase in load factors post-2027 could translate to millions in incremental revenue.

Conclusion: Act Now Before the Surge

The Montreal-Naples route isn’t just a flight; it’s Air Canada’s door to a Mediterranean goldmine. With the 2027 America’s Cup acting as a catalyst, this route sets the stage for sustained growth in transatlantic travel. Investors ignoring Air Canada’s valuation and strategic moves risk missing out on a rare opportunity to profit from both underpenetrated markets and a once-in-a-decade event.

The clock is ticking. The 2027 Cup is just two years away—and so is the payoff.