Tue, Aug. 30, 11:18 AM| Tue, Aug. 30, 11:18 AM
Fri, Aug. 12, 6:56 AM
Mon, Jul. 25, 12:16 PM
- LATAM Airlines (LFL -1.9%) agrees to pay a $12.75M fine as part of a settlement with the Department of Justice.
- The Chilean carrier's predecessor paid bribes to Argentinian officials by creating a fake third-party vendor in a case that dates back almost ten years.
- Shares of LFL are up 62% YTD.
- DOJ press release
Wed, Jul. 20, 7:14 AM
- Deutsche Bank upgrades LATAM Airlines Group (NYSE:LFL) to a Buy rating from Hold.
- Positive factors seen for LATAM include the general improvement in Latam economies and significant capacity cuts.
- The investment firm raises its price target by 57% to $11. Shares of LATAM are already up 65% YTD to $8.92.
Tue, Jul. 12, 9:58 AM
- Airline stocks are making strong gains on a flurry of positive news.
- The investment in LATAM Airlines (LFL +23.9%) by Qatar Airways is having a ripple effect across other global carriers. Copa Holdings (CPA +7.9%), Avianca Holdings (AVH +8.1%), and Go Linhas (GOL +7.8%) are all solidly higher.
- In the U.S., a stronger-than-anticipated report from United Continental (UAL +7.7%) on its key Q2 revenue metric is the highlight along with a sweeping upgrade from Deutsche Bank.
- The investment firm raises United, American Airlines Group (AAL +8.6%), and Delta Air Lines (DAL +4.7%) to Buy from Hold.
- "We are of the view that all known negatives (Brexit, tepid global economic growth, over-supplied markets, etc.) are more than fully discounted in the share prices which are, on average, trading at 6.4x our 2016 EPS estimates and 6.8x our 2017 EPS estimates," reads the note from DB.
- Alaska Air Group (ALK +4.3%), JetBlue Airways (JBLU +4%), Southwest Airlines (LUV +3.4%), and Spirit Airlines (SAVE +3.3%) are all higher as well.
- The U.S. Global Jets ETF (NYSEARCA:JETS) is up 3.86% on the day.
Tue, Jul. 12, 9:24 AM
Tue, Jul. 12, 7:46 AM
- Qatar Airways announces that it will take a 10% stake in LATAM Airlines (NYSE:LFL) with an investment of $618M. Latam will increase its capital by issuing new stock at $10 a share which will clear a path for Qatar Airways to sweep in.
- Qatar Airways is the state-owned carrier of the nation of Qatar.
- The deal was announced at the Farnborough Air Show.
- LATAM Airlines ADRs are inactive in the premarket session in the U.S.
Fri, Jun. 24, 3:02 PM
- In the rush to safety and away from cyclical stocks like airlines, Ryanar (RYAAY -5.1%), and the U.S. legacy carriers - American Airlines (AAL -10%), Delta (DAL -7.4%), and United (UAL -8.3%) - are most exposed to the Brexit, says Raymond James' Savanthi Syth.
- The Latin American airlines are also negatively exposed to the stronger U.S. dollar - Copa (CPA -4%), Gol (GOL +6%), and Latam (LFL -6.1%).
- For now, Allegiant (ALGT -1.5%), Spirit (SAVE -3.9%), and SkyWest (SKYW -5.1%) are best to hide out in, along with Alaska Air (ALK -4.3%) and Virgin America (VA -0.4%) to some extent.
Tue, Jun. 14, 8:26 AM
Tue, May 31, 2:24 AM
- Global demand for air travel may be "shifting down a gear," according to global aviation group IATA, which signaled a cautious outlook for passenger traffic after growth in April rose just 4.6% on year - the lowest pace since January 2015.
- While some of the slowdown could be attributed to the Brussels terror attacks, there are still signs that underlying traffic growth could be decelerating, Director General Tony Tyler said. "The stimulus from lower oil prices appears to be tapering off. And the global economic situation is subdued."
- Airline stocks: AAL, UAL, DAL, RYAAY, OTCPK:CPCAY, OTCPK:SINGY, CEA, ZNH, CPA, GOL, LFL, OTCQX:DLAKF, OTCPK:QUBSF, ALK, HA, OTCPK:AIRYY, OTCPK:MLYAF, OTCPK:AFLYY, VLRS, LUV, OTC:RYAOF, VA, LFL, SAVE, ALGT, CEA, OTC:EJTTF, OTCQX:ESYJY, AVH, OTC:AFRAF, OTCPK:ICAGY.
Thu, May 12, 4:03 AM
Wed, May 11, 2:12 PM
- The airline industry is focused on Phoenix today where the Phoenix Sky Harbor International Aviation Symposium is underway with an all-star roster of executives speaking.
- Aer Lingus (OTC:AIRXY) said it's using Dublin as a gateway to connect the U.S. and Europe.
- Ryanair's (NASDAQ:RYAAY) aggressive pricing is identified as a major factor in Europe that's unlikely to reverse anytime soon.
- A major theme has been industry consolidation with several execs pointing to more M&A opportunities in Europe and Asia. Foreign ownership of U.S. airlines is seen as opening up in the future, with today's joint ventures called a "precursor" to that evolution.
- Airline buzz H/T The Cranky Flier and the Associated Press.
- Related tickers: RYAAY, OTCPK:CPCAY, OTCPK:SINGY, CEA, ZNH, CPA, GOL, LFL, OTCQX:DLAKF, OTCPK:QUBSF, OTCPK:AIRYY, OTCPK:MLYAF, OTCPK:AFLYY, VLRS, AVH, OTCPK:JAPSY, OTC:AFRAF, OTC:EJTTF, OTC:WJAFF, OTC:WJAVF, OTCQX:ESYJY, OTCPK:ICAGY, VLRS, OTCPK:GRPAF, DAL, UAL, AAL, LUV, ALK.
Wed, Mar. 9, 11:35 AM
- LATAM Airlines Group S.A. (NYSE:LFL): Q4 net loss of $16.3M
- Revenue of $2.41B (-22.3% Y/Y) misses by $30M.
- Shares -2.8%.
Fri, Jan. 29, 7:31 AM
- IATA Chief Economist Brian Pearce expects the global airline industry to see the benefit of low oil prices this year and next.
- In another positive signal, Pearce noted that the economic turmoil in China hasn't crimped demand for flights in the region.
- The current forecast from IATA is for $36.3B industry profit in 2016 and a 8.6% return on capital.
- Related tickers: RYAAY, OTCPK:CPCAY, OTCPK:SINGY, CEA, ZNH, CPA, GOL, LFL, OTCQX:DLAKF, OTCPK:QUBSF, OTCPK:AIRYY, OTCPK:MLYAF, OTCPK:AFLYY, VLRS, AVH, OTCPK:JAPSY, OTC:AFRAF, OTC:EJTTF, OTC:WJAFF, OTC:WJAVF, OTCQX:ESYJY, OTCPK:ICAGY, VLRS, OTCPK:GRPAF
Thu, Jan. 28, 10:07 AM
- A warning from the World Health Organization on the Zika virus spreading rapidly in the Americas is creating a stir.
- "The level of alarm is extremely high," said WHO director general Dr. Margarat Chan.
- The outbreak is of a particular concern in Brazil where the Summer Olympics are due to be held in August. Some airlines (LFL, GOL) could be impacted negatively.
- If Zika spreads closer to the U.S., sales of mosquito-related products could soar at companies such as Spectrum Brands (SPB +1.3%), Home Depot (HD +0.1%), Lowe's (LOW), and S.C. Johnson (similar to how cases of Ebola in the U.S. led to big sales gains at Clorox an Grainger on disinfectants).
Thu, Jan. 28, 2:28 AM
- American Airlines (NASDAQ:AAL) has expanded its refunds for pregnant customers visiting areas impacted by the Zika virus to include Puerto Rico, Martinique and nine countries in the Americas and Caribbean.
- The move follows refund announcements by airlines such as United Continental (NYSE:UAL), Latam (NYSE:LFL) and others.
- Since there is no vaccine or specific drug to treat Zika, stopping travel to locations that have Aedes mosquitoes is the primary form of preventing the virus from spreading to the U.S.