Seeking Alpha

Malaysian Airline crash weighs on airline stocks

  • Airline stocks have fallen off more than broad market averages following the crash of a Malaysian Airlines flight in the eastern edge of Ukraine.
  • Several global carriers have halted flights over Ukraine.
  • Decliners: Delta Air Lines (NYSE:DAL-3.4%, United Continetnal (NYSE:UAL-3.9%, China Eastern Air (NYSE:CEA-2.2%, American Airlines (NASDAQ:AAL-3.3%, Malaysian Airlines (OTCPK:MLYAF-5.5%.
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Comments (14)
  • tarheelboy
    , contributor
    Comments (233) | Send Message
     
    Why in the heck are airline stocks down because of a completely unrelated incident where a plane was shot down. No airline problem, no engine problem, a perfectly good plane shot out of the air. This media and stock buying relationship gets more humorous every day. People lose billions by selling stocks that will start going back up almost right away, knee jerk. Inexperience is costly!!!!!!
    17 Jul 2014, 03:40 PM Reply Like
  • Lenovooutsider
    , contributor
    Comments (40) | Send Message
     
    So that means this is a great buying oppurtunity
    17 Jul 2014, 03:46 PM Reply Like
  • financeminister
    , contributor
    Comments (1004) | Send Message
     
    Investors are afraid that planes will now be shot down the sky. Big risk.
    17 Jul 2014, 04:00 PM Reply Like
  • Gnawkz
    , contributor
    Comments (110) | Send Message
     
    Guessing market is already pricing in all the losses from flying through that region. Airlines are all connected now.
    17 Jul 2014, 04:07 PM Reply Like
  • grepa
    , contributor
    Comments (36) | Send Message
     
    Not sure I understand the interconnectedness and how it can lop-off 4% from the valuation of a global airliner...
    17 Jul 2014, 04:36 PM Reply Like
  • forever5683
    , contributor
    Comments (120) | Send Message
     
    not just the airline, almost all stocks fell... SHORTS really like such this so they can have a reason to sell.
    17 Jul 2014, 05:04 PM Reply Like
  • grepa
    , contributor
    Comments (36) | Send Message
     
    Agreed, and participation was generally light. Expect to see much more selling pressure ahead of the weekend
    18 Jul 2014, 02:51 AM Reply Like
  • 25348853
    , contributor
    Comments (29) | Send Message
     
    One more day like this please i love a sale..... hmm more dal or aal. I dont think being shoot down will be a come enough problem to hurt this companies. But unfortunate about the plane. Be in peace Malaysian air flight.
    17 Jul 2014, 04:52 PM Reply Like
  • vpgama
    , contributor
    Comments (5) | Send Message
     
    Sell-off a week before AAL and DAL reports earnings? Justified by a MALASYAN plane accident in UKRAINE? Coincidence?
    I really do not see how this accident could have caused such negative impacts in America's Airline industry. What is the correlation? Anyone care to enlighten me?
    17 Jul 2014, 05:14 PM Reply Like
  • PaulDePace
    , contributor
    Comments (8) | Send Message
     
    Tired of this market... Becoming a crap shoot. Getting played by the big boys who dump, rebuy...whatever. Sane trading has gone out the window.
    17 Jul 2014, 05:14 PM Reply Like
  • DonAmp
    , contributor
    Comments (164) | Send Message
     
    It's Domino Effect, and only for few days.
    I saw some airlines stocks bounced back after hour trading today.
    I am long AAL.
    17 Jul 2014, 09:56 PM Reply Like
  • RWMostow
    , contributor
    Comments (1554) | Send Message
     
    It is not smart for any civilian passenger airliner to fly over a war zone; especially a zone capable of shooting down aircraft flying at 30,000 feet.

     

    Spend a little more on fuel and avoid taking risks. IMHO.

     

    Two events in less than 6 months displaying incompetence on the part of airline management.

     

    -rwm
    18 Jul 2014, 08:59 AM Reply Like
  • starcorral
    , contributor
    Comments (821) | Send Message
     
    Here is the damning fact that has been left unsaid by any responsible party other than myself. An airplane of any type flying at 33,000 feet at 400+ knots on a unchanging path to exit Ukrainian airspace in less than 4 minutes is probably not poised to threaten within Ukrainian borders.

     

    The parties who brought down this plane did so with absolutely no indication of hostile intent. No military mission imaginable would involve this vector above this point on the map. This was no case of "fog of war"; this was premeditated murderous target practice.

     

    Perhaps Malaysian Airlines should consult with Frank Borman about how to keep its doors open after two likely avoidable tragedies in a row.
    18 Jul 2014, 01:48 PM Reply Like
  • markcc
    , contributor
    Comments (1511) | Send Message
     
    This story proves that if you intend to be an investor in airlines, you better be prepared for sudden setbacks on the way.
    18 Jul 2014, 02:19 PM Reply Like
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