Bullish Buxton boosts BA stake despite strike uncertainty

Schroders' Richard Buxton, manager of the £1.85bn Schroder UK Alpha Plus fund, has been topping up holdings in British Airways during periods of weakness caused by uncertainty over the airline's industrial action.

Buxton says while the strike action and its pension deficit concerns have negatively impacted BA in recent months, he believes the aviation giant is being undervalued considering the potentially profitable tie-ups with Iberia and American Airlines. "If they can get through this with a resolution, as I am sure they will, then all the benefits of the Iberia and American Airlines should drive things favourably for BA. Especially as the front of the plane is beginning to come back again," the £1.85bn Schroder UK Alpha Plus manager says. "I have been buying the stock around the £2 level in...