Thu, Feb. 19, 9:48 AM
- Strong gains across the airline sector after oil prices move in the right direction after inventories increase.
- What to watch: The West Coast port slowdown is now a factor in the jet fuel market (Platts breakdown).
- Gainers: Republic Airways (NASDAQ:RJET) +4.7%, Delta Air Lines (NYSE:DAL) +4.1%, JetBlue (NASDAQ:JBLU) +3.9%, Southwest Airlines (NYSE:LUV) +2.6%, United Continental (NYSE:UAL) +2.8%, American Airlines Group (NASDAQ:AAL) +2.1%, United Continental (UAL) +2.5%, Spirit Airlines (NASDAQ:SAVE) +2.6%, Virgin America (NASDAQ:VA) +2.1%, Allegiant Travel (NASDAQ:ALGT) +1.8%, Hawaiian Holdings (NASDAQ:HA) +1.2%.
Tue, Feb. 17, 11:16 AM
- Winter weather has forced the cancellation of 1,812 flights in the U.S. today to follow up on yesterday's 2,690 cancellations and another 2,736 on Sunday.
- The carriers feeling the sharpest impact are ExpressJet (NYSE:DAL), Air Wisconsin, PSA Airlines (NASDAQ:AAL), JetBlue (NASDAQ:JBLU), Republic Airlines (NASDAQ:RJET), and Southwest Airlines (NYSE:LUV).
- Flight tracking heat map.
Thu, Feb. 12, 3:22 PM
- Southwest Airlines (LUV -0.8%) signs a new multi-year deal with Amadeus to broaden corporate booking tools.
- Amadeus serves the booking needs of thousands of companies in Europe and the U.S.
- International travel is becoming a bigger part of the story at Southwest . The carrier added seven destinations in five new countries in 2014.
Mon, Feb. 9, 10:37 AM
- It's an anxious time for airline stocks with a number of factors swaying sentiment to start the week.
- Oil prices continue to trek higher after OPEC issued an updated outlook on demand.
- Southwest Airlines (LUV -1.9%) showed a drop in load factor during January as its capacity outran passenger revenue miles.
- Another winter storm on the East Coast is also an operational complexity for the sector.
- Decliners: United Continental (NYSE:UAL) -4.7%, Alaska Air Group (NYSE:ALK) -4.2%, Republic Airways (NASDAQ:RJET) -4.1%, JetBlue Airways (NASDAQ:JBLU) -3.6%, American Airlines (NASDAQ:AAL) -3.4%, Delta Air Lines (NYSE:DAL) -3.2%, Hawaiian Holdings (NASDAQ:HA) -2.1%.
Mon, Feb. 9, 9:06 AM| Mon, Feb. 9, 9:06 AM | 2 Comments
Sat, Feb. 7, 7:00 AM
- Airline stocks have been on a tear over the last six months with plunging oil prices helping to lower costs for carriers.
- A SA scan within the sector of share price gain in relation to Q4 fuel expense declines (Y/Y) is one way to measure which stocks in the sector are getting the biggest boost from the energy market developments (jet fuel price chart).
- Four airlines saw a share price multiplier of over 4X their fuel cost drop-off percentage: Southwest Airlines (NYSE:LUV), Allegiant Travel (NASDAQ:ALGT), JetBlue (NASDAQ:JBLU), and Hawaiian Holdings (NASDAQ:HA).
- United Continental (NYSE:UAL) and Alaska Airlines (NYSE:ALK) were in the next group with a multiple of 3.907 and 3.169, respectively.
- Delta Air Lines (NYSE:DAL) lagged with a multiple of 1.893. Don't blame the company's Trainer refinery which earned a profit of $105M in Q4. Concerns on weak demand in Asia may be the culprit.
- American Airlines Group (NASDAQ:AAL) trailed the sector with a 1.786 multiple, despite a spot-on strategy of scrapping fuel hedging just ahead of the oil market collapse, as integration complexity remains in the background.
- Virgin America, Spirit Airlines, Republic Airways Holdings, and SkyWest Airlines haven't reported Q4 earnings yet, so they weren't included in the comparison.
Wed, Feb. 4, 3:09 PM
- The sharp move lower in crude oil prices isn't going unnoticed by airline investors.
- Wild daily gyrations in airline stocks have become the norm due to the lack of consensus over the direction of jet fuel prices from current levels and the implications on travel demand from a low oil price environment.
- Airline stocks making the most dramatic moves: United Continental (UAL +5.8%), American Airlines Group (AAL +4.3%), Spirit Airlines (SAVE +4.3%), Republic Airways (RJET +4.0%).
- Also rallying: Southwest Airlines (LUV +3.6%), JetBlue (JBLU +3.9%), Allegiant Travel (ALGT +3.6%), Hawaiian Holdings (HA +3%), Delta Air Lines (DAL +2.5%), Alaska Air Group (ALK +2.4%).
- Virgin American (VA +0.4%) is snoozing the news.
Tue, Feb. 3, 2:46 PM
- Another strong jump in oil prices has tripped up airline stocks again.
- The outlier in the group is Virgin America (NASDAQ:VA) which has managed a 0.2% gain.
- The sector is coming off a Q4 where most companies realized a double-digit decline in fuel expenses with no give back on airfares.
- Decliners: Republic Airways (NASDAQ:RJET) -1.1%, Delta Air Lines (NYSE:DAL) -1.1%, Hawaiian Holdings (NASDAQ:HA) -1.0%, Southwest Airlines (NYSE:LUV) -3.1%, Alaska Air Group (NYSE:ALK) -3.0%, American Airlines Group (NASDAQ:AAL) -2.4%, Allegiant Travel (NASDAQ:ALGT) -3.2%, JetBlue (NASDAQ:JBLU) -2.1%, United Continential (NYSE:UAL) -2.3%.
Mon, Feb. 2, 3:02 PM
- Airline stocks retreat after oil prices make a strong move higher.
- Despite the ups and downs in the sector as developments with the oil market dominates headlines, more analysts are jumping aboard the long-term story on airlines on earnings growth potential and cash flow allocation plans.
- Today it was Raymond James coming in with upgrades on Delta Air Lines , Spirit Airlines (SAVE +1%), and United Continental to a Strong Buy.
- Decliners: Republic Airways (NASDAQ:RJET) -3.8%, Delta Air Lines (NYSE:DAL) -3.0%, Hawaiian Holdings (NASDAQ:HA) -2.7%, Southwest Airlines (NYSE:LUV) -2.5%, Alaska Air Group (NYSE:ALK) -1.9%, American Airlines Group (NASDAQ:AAL) -1.7%, Allegiant Travel (NASDAQ:ALGT) -1.5%, JetBlue (NASDAQ:JBLU) -1.4%, United Continential (NYSE:UAL) -1.2%.
Fri, Jan. 30, 6:58 PM
- Airline stocks took a beating in late trading today as crude oil futures surged 8% to pass $48/bbl, caused by a big drop in U.S. working rigs in the past week and a spike in ISIS attacks on oil-rich northern Iraq.
- SKYW -7.8%, VA -7.6%, SAVE -7.1%, AAL -6%, DAL -5.8%, RJET -5.7%, UAL -5.6%, ALK -4.5%, LUV -3.8%, LFL -3.6%, JBLU -2.1%.
Fri, Jan. 30, 9:24 AM
- Airfares for flights out of Dallas Love Field and DFW are expected to increase this year, despite the lower fuel costs for airlines across the sector.
- Though the end of the protective Wright Amendment on October 13 brought in some promotional fares to Love Field, those deals are expected to fall by the wayside amid strong demand.
- DFW is the 3rd busiest airport in the U.S. and Love Field ranks in the top 40.
- Carriers impacted by the expected lift in Dallas fares include Virgin America (NASDAQ:VA), American Airlines (NASDAQ:AAL), Delta Air Lines (NYSE:DAL), Southwest Airlines (NYSE:LUV), United Continental (NYSE:UAL), and private SeaPort Airlines.
Thu, Jan. 29, 11:17 AM
Wed, Jan. 28, 7:50 AM
Mon, Jan. 26, 8:23 AM
- Winter Storm Juno is expected to cause widespread flight cancellations on the East Coast this week.
- JetBlue (NASDAQ:JBLU) has the highest number of cancellations today per FlightAware.com.
- United Continental (NYSE:UAL), Southwest (NYSE:LUV), SkyWest (NASDAQ:SKYW) through ExpressJet, Delta Air Line (NYSE:DAL), and American Airlines Group (NASDAQ:AAL) will also be affected.
- What to watch: The impact of major weather events on the bottom line of airlines can be complicated. Losses can be minimal in some cases as load factors actually improve, but if business travelers don't rebook trips, the loss of revenue can be a negative factor.
Thu, Jan. 22, 9:31 AM
- Airline stocks are set to rally as news from the sector continues to be favorable.
- Double-digit fuel cost declines. Check.
- Fares holding. Check.
- Passenger revenue miles outpacing capacity gains. Check.
- Analyst ratings and EPS upgrades. Check.
- Related stocks: LUV, UAL, DAL, AAL, JBLU, ALK, HA, SAVE, ALGT, RJET, VA.
Thu, Jan. 22, 9:08 AM
- Southwest Airlines (NYSE:LUV) reports passenger revenue rose 2.6% on a unit basis to 44.4B in Q4.
- The company's load factor improved 160 bps Y/Y to 82.0% as revenue passenger miles outpaced capacity gains.
- Average stage length +2.6% to 722 miles.
- Average airfare +1.3% to $158.06.
- Freight revenue +12.2% to $46M.
- Economic fuel costs fell 14.1% Y/Y to $2.62 per gallon inclusive of settled hedges.
- LUV +4.61% premarket to $43.76.
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