$CASS $ADES The "pick and shovel" model highlights an important distinction between betting on the success of an industry as a whole and betting on companies that derive direct profits from the industry's activities.

By providing essential infrastructure and services (ground handling, catering, maintenance, cargo), CASS captures value at a stable point in the aviation supply chain. Their revenue streams are more predictable because they are not directly tied to ticket prices or passenger load factors, but rather to flight volumes and airport operations themselves, regardless of which airline operates them. Post-COVID expansion, particularly from foreign airlines, has been a significant driver for CASS. As new players enter the market and legacy carriers like $GIAA rationalize their routes, CASS benefits from a diversified client base, reducing its reliance on the performance of any single airline.

If we identify the financial separation between these two business models, we will see that CASS demonstrates more stable EBITDA margins and higher Return on Invested Capital (ROIC) compared to GIAA's cyclical and often negative margins. Its capital structure also shows lower debt, reflecting a more stable business model.

Additionally, the barriers to entry for CASS services are often high, requiring significant capital investment in infrastructure, equipment, and licenses. This creates a competitive advantage (moat). The company has a long track record and established relationships with many airlines, making it a trusted partner and a difficult-to-replace vendor. These qualitative factors strengthen its position as a beneficiary of industry recovery, rather than a participant in its inherent risks.