Though up 139% this year, there's still room to run. The estimates are too long. Sales estimates for 2025 have not budged for the past 9 months. Makes no sense when you look at passenger volumes and increase in ticket prices. Meanwhile, jet fuel prices have fallen. Earnings must go higher than priced in now.
(A Top Pick Sep 18/19, Down 60%) A great lesson on how to manage money on the front end and back end. He owned it at the correct size and remain diversified in March. It hurt, but it didn't ruin someone's retirement. They sold immediately on the pandemic and took their lumps, because that's not what they bought. Anyone can make a good buy decision, but the sell decision is tougher. Portfolios are to create gain, but also to protect.
Second largest in US by market cap, most international-focused by operating revenue. As pace of vaccine rollout accelerates, strong pent-up demand will cause airline traffic to surge. No dividend. (Analysts’ price target is $54.20)
The market is overly fearful about the airlines, given war in the Middle East and a weak forecast by UAL today. They are highly profitable companies and are paying down their debt. Flight demand is hanging in there. These stocks consistently beat the estimates.
It reports Tuesday. He expects a huge beat, because UAL is benefiting from a lack of competition and planes, lifting ticket prices ever higher. It's one of the best performers of 2024.
Is was a momentum stock, which are now selling off. Is -24% the past month, but it's cheap and the travel outlook is strong. Buy some here and the rest at $70.
Though up 139% this year, there's still room to run. The estimates are too long. Sales estimates for 2025 have not budged for the past 9 months. Makes no sense when you look at passenger volumes and increase in ticket prices. Meanwhile, jet fuel prices have fallen. Earnings must go higher than priced in now.