United Continental Holdings, Inc (UAL) - NYSE
  • Jan. 13, 2015, 7:58 AM
    • Cowen Research's Helane Becker takes a positive view on pricing in the airline sector for 2015 on her view domestic demand will stay strong enough to keep the pressure off of airlines to drop fares.
    • A gauge of recent comments by airline execs seems to indicate the analyst is correct and airfares will be held largely level - despite the sharp drop in oil prices.
    • Delta Air Lines CEO: "It’s wonderful that fuel has run down–we love it. There’s a $2 billion opportunity out there if we hold fare levels constant."
    • American Airlines Group CEO: "...we don’t have plans to go off and just proactively cut fares."
    • Southwest Airlines CEO: "What I would not want to do to customers is take them through the same volatile ride with fares [as 2008], lowered in one day, raised in the next day."
    • U.S. carriers: LUV, UAL, DAL, AAL, JBLU, ALK, HA, SAVE, ALGT, RJET, VA.
    | Jan. 13, 2015, 7:58 AM | 10 Comments
  • Jan. 13, 2015, 2:51 AM
    • United Airlines (NYSE:UAL) may again turn to outsourcing to slash expenses, helping the airline meet its goal of cutting costs by $2B annually.
    • United may now outsource another 2K workers across 28 airports, after outsourcing over 630 jobs in July of last year.
    • Other U.S. carriers have also kept costs low because many of its workers lack union representation, including Delta Air Lines (NYSE:DAL).
    | Jan. 13, 2015, 2:51 AM | 8 Comments
  • Jan. 7, 2015, 2:25 PM
    • Despite the brisk rally in airline stocks, Credit Suisse thinks there is plenty of upside still left.
    • "The market has been hesitant to fully price in benefits from the rapid fuel decline and consensus has yet to fully adjust for lower fuel," reads the optimistic CS note.
    • Analysts with the firm tap United Continental (NYSE:UAL) as their top sector pick.
    • Airline stocks: LUV, DAL, AAL, JBLU, ALK, HA, SAVE, ALGT, RJET, VA.
    | Jan. 7, 2015, 2:25 PM | 22 Comments
  • Jan. 5, 2015, 3:18 PM
    | Jan. 5, 2015, 3:18 PM | 15 Comments
  • Dec. 31, 2014, 5:26 PM
    • United (NYSE:UAL) and Orbitz (NYSE:OWW) have filed suit against Aktarer Zaman, a 22-year-old programmer who created a site (Skiplagged.com) that helps travelers save on airfare through a practice known as "hidden city" ticketing.
    • How it works: Travelers buy (cheaper) flights to cities other than their intended destinations, but which have a layover at their intended locales. The traveler flies to the layover destination, and doesn't bother with the rest of the flight.
    • If adopted on a larger scale - many frequent fliers are already well aware of the concept - the use of hidden ticketing could cost airlines (and their online travel agency partners) millions. United/Orbitz claim Skiplagged is promoting "strictly prohibited" travel. Zaman insists he's doing nothing illegal, and is simply exposing an "inefficiency" in airfare pricing.
    • A legal fund established by Zaman has received over $38K in donations.
    | Dec. 31, 2014, 5:26 PM | 7 Comments
  • Dec. 31, 2014, 10:07 AM
    • Airline stocks are in rally mode again off of momentum driven by the latest slide in oil prices.
    • Southwest Airlines (LUV +2.2%) is poised to end the year as the top performing stock of the S&P 500 Index with a +125% rip.
    • Though jet fuel hedging strategies vary widely throughout the sector, a prolonged period of lower oil prices will allow all carriers to realize a benefit.
    • Gainers: Republic Airways (NASDAQ:RJET) +4.4%, United Continental (NYSE:UAL) +2.4%, Virgin America (NASDAQ:VA) +1.9%, JetBlue (NASDAQ:JBLU) +1.8%, Alaska Air Group (NYSE:ALK) +1.7%, Allegiant Travel (NASDAQ:ALGT) +1.6%, Delta Air Lines (NYSE:DAL) +1.6%, SkyWest (NASDAQ:SKYW) +1.4%.
    • Previous: Hedging strategies by airline
    | Dec. 31, 2014, 10:07 AM | 2 Comments
  • Dec. 24, 2014, 2:40 PM
    | Dec. 24, 2014, 2:40 PM | 6 Comments
  • Dec. 23, 2014, 10:06 AM
    • The type of hedging strategies used by airliners will play a big part in profitability in the sector after the sharp drop in jet fuel prices.
    • Delta Airlines (NYSE:DAL) estimates it keeps about 65% of the drop in fuel costs, but will owe $800M to counterparties (the other side of the hedge) if oil is 20% lower on December 31, 2015 from where it stood on October 1, 2014. By Delta's estimation, a penny drop in oil prices is a net $40M to the good side.
    • Southwest Airlines (NYSE:LUV) forecasts it will reap $0.80 for every $1 drop in oil prices, but disclosed a $615M liability to creditors if crude oil prices stay below 25% from the level of September 30.
    • American Airlines Group (NASDAQ:AAL) will realize the full impact from the drop in fuel costs on its bottom line due to the decision by the company not to hedge at all.
    • Other airliners could also have some hedging exposure, although details are light on the strategies employed in the sector.
    • What to watch: Q1 reports and conference calls in the sector could be key in filling in some of the blanks.
    • Related stocks: UAL, JBLU, ALK, HA, SAVE, ALGT, RJET, VA.
    | Dec. 23, 2014, 10:06 AM | 23 Comments
  • Dec. 23, 2014, 8:26 AM
    • U.S. airliners as a group showed a 2.6% gain to 16.40 (cents) in fares earned per revenue passenger mile in November, according to data from Airlines for America.
    • A 4.0% Y/Y increase for the metric on domestic routes offset a 1.4% decline in international flights.
    • The YTD mark is up 2.3% to 16.53.
    • Related stocks: ALK, AAL, DAL, JBLU, LUV, UAL.
    | Dec. 23, 2014, 8:26 AM
  • Dec. 15, 2014, 3:14 PM
    | Dec. 15, 2014, 3:14 PM | 35 Comments
  • Dec. 15, 2014, 11:18 AM
    • United Airlines (NYSE:UAL) announces it will increase the number of routes to China next summer.
    • The carrier will move to two flights a day for the Shanghai-to-San Francisco route and three times a week for San Francisco to Chengdu.
    | Dec. 15, 2014, 11:18 AM
  • Dec. 10, 2014, 9:49 AM
    • Airline stocks rip a fresh set of gains after oil prices weaken again and the IATA issues a rosy forecast on 2015 profit for the sector.
    • There has also been a wave of analyst upgrades on airliners which has boosted sentiment.
    • Leading gainers: Southwest Airlines (NYSE:LUV) +3.1%, United Continental (NYSE:UAL) +3.1%, Spirit Airlines (NASDAQ:SAVE) +2.7%, American Airlines Group (NASDAQ:AAL) +2.6%, China Eastern Air (NYSE:CEA) +2.4%, Republic Airways (NASDAQ:RJET) +2.4%, Virgin America (NASDAQ:VA) +2.0%, China Southern Airlines (NYSE:ZNH) +1.9%.
    | Dec. 10, 2014, 9:49 AM | 7 Comments
  • Dec. 10, 2014, 8:36 AM
    | Dec. 10, 2014, 8:36 AM | 3 Comments
  • Dec. 8, 2014, 4:52 PM
    • United's (NYSE:UAL) consolidated traffic fell 0.3% Y/Y in November to 15.3B RPMs. A 3.7% drop in domestic traffic, and a 0.9% drop in regional traffic, offset a 3.6% international increase.
    • Consolidated capacity fell 0.4% to 19.1B available seat miles. Domestic -3.8%, international +3.3%, regional -0.8%.
    • Consolidated load factor rose 10 bps to 79.9%. Domestic load factor rose 20 bps to 82.3%, international rose 30 bps to 77.1%, and regional fell 10 bps to 81.1%.
    • UAL -0.4% AH.
    | Dec. 8, 2014, 4:52 PM
  • Dec. 8, 2014, 7:32 AM
    • Airline stocks are poised for gains as oil prices slip further.
    • So far, airfares have held steady despite the lower fuel expenses for companies light on hedges.
    • For a closer look at the jet fuel market, Platts has the breakdown.
    • U.S. carriers: LUV, UAL, DAL, AAL, JBLU, ALK, HA, SAVE, ALGT, RJET, VA.
    | Dec. 8, 2014, 7:32 AM | 7 Comments
  • Dec. 4, 2014, 10:02 AM
    • Another big day for airline stocks is setting up with oil prices losing their footing again.
    • A positive note from JPMorgan on sector capacity trends is also helping to boost sentiment.
    • Gainers: Delta Air Lines (NYSE:DAL) +2.8%, American Airlines Group (NASDAQ:AAL) +3.2%, Hawaiian Holdings (NASDAQ:HA) +6.5%, United Continental (NYSE:UAL) +5.4%, Alaska Air Group (NYSE:ALK) +2.9%, JetBlue (NASDAQ:JBLU) +2.9%, Southwest Airlines (NYSE:LUV) +2.2%, Spirit Airlines (NASDAQ:SAVE) +1.7%, Republix Airways (NASDAQ:RJET) +0.8%, Virgin America (NASDAQ:VA) +1.6%.
    | Dec. 4, 2014, 10:02 AM | 5 Comments
Company Description
United Continental Holdings, Inc. is a holding company and its principal, wholly-owned subsidiaries are United Airlines, Inc. It transport people and cargo through their mainline operations. The company offers satellite based Wi-Fi, including on long-haul overseas routes. United Continental... More
Sector: Services
Industry: Major Airlines
Country: United States