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Airline stocks lose altitude on renewed concerns

  • Another tough day for airline stocks as worries in the sector over business demand and capacity continue to crop up.
  • Delta roiled the sector last week with a cautious view on second-half profit.
  • The World Cup has put a bigger crimp in business travel to Latin America than expected, according to analysts.
  • Also in the news, both Delta and American Airlines say they will cut flights to Venezuela due to a dispute over cash trapped in the nation.
  • Decliners: Delta Air Lines (DAL) -3.0%, Republic Airways (RJET) -2.9%, American Airlines Group (AAL) -2.5%, United Continental (UAL) -2.0%, Hawaiian Holdings (HA) -1.9%.
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Comments (4)
  • tarheelboy
    , contributor
    Comments (193) | Send Message
     
    Delta DID NOT give any weak forecast; in fact delta's forecast was totally in line. Analysts said delta's international numbers were a little soft at this point from June and because of this they say delta reported such. Delta didn't and even went so far to say the numbers would improve and be exactly where they predicted before the year. Reports facts as they are not as you want them to be.
    7 Jul, 12:40 PM Reply Like
  • The Average Investor
    , contributor
    Comments (55) | Send Message
     
    Airline stocks, similar to tech stocks of last year, have had a great ride of recent and due to the market being shaky, people are just taking profit. The oil issue in Iraq has settled and once the negative airlines news calms over the next few days, the airline stocks will regain and continue to grow. If you believe that the continued monthly job growth reports going higher, it only reasons that business travel and family vacations will also increase providing higher revenues for the airlines. AAL long to $100 in 2017.
    7 Jul, 09:30 PM Reply Like
  • devlau20
    , contributor
    Comments (104) | Send Message
     
    Fuel prices have & will continue to dampen the May-June optimism. Going to be a tough year for airline stocks.
    8 Jul, 02:55 AM Reply Like
  • Day Trader001
    , contributor
    Comments (694) | Send Message
     
    A tuff year compared to what?
    look at the last 5-years, it is already a stellar year even if they stay flat....
    8 Jul, 09:06 AM Reply Like
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