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Contrarian, macro, hedge fund manager, Emerging Markets
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Summary

  • Airline industry outperformed over the past 12 months, but it is still fundamentally unsound.
  • Low oil prices and a strong economy must occur concurrently for airlines to do well.
  • United is the weakest company amongst the airlines.

In this video, Nick discusses the structural problems of the airline industry and why United (NYSE:UAL) is the weakest amongst the group. He explains how airlines rely on low oil prices and a strong economy simultaneously. However, due to emerging market demand for energy, this scenario is no longer realistic.

Source: United Airlines Bullish Or Bearish?