Very positive on airlines. He owns Delta instead. Southwest has always been one of the best run airline companies. Competition is limited with only 4 major airlines in the US, and they are very attractively priced. Thinks there is a place in your portfolio for one of these stocks.

The US airline space has had an enormous climb since Brexit.  It has to do with the price of oil.  This will be a headwind for the airlines.  They have traditionally been a low cost provider.  He would wait for a pullback, but be cautious that this could be very volatile.

He thinks you should be careful about valuing opportunities on whether Warren Buffet is buying them.  He has historically hated airlines, but is giving his managers more room these days.  LUV-N is expensive now in terms of fair market value and he does not see any upside.  It will go on sentiment, rather than value.

(A Top Pick May 21/15. Up 14.1%.) One of his favourite airlines. If the US$ starts to appreciate, this is a name that is going to start becoming important again. You want a name that is mostly domestic or US$ centric in terms of revenues. This has the best balance sheet out there. Very low debt to capital ratio.

This, along with the other airlines, dropped about 8%-10% yesterday, based on concerns about capacity and pricing pressures based on too much competition. That was well overdone. It oversold down to the 200 day moving average. All revenues are US domestic, so you don’t have to worry about the US$ tailwinds. Very healthy balance sheet. Dividend yield of 0.81%.

Fourth-largest US airline. Mainly short-haul type of flights. 100% of its revenues are from the US. They have the most conservative and probably the healthiest balance sheet in terms of debt to capital ratio. Feels recent fears about the spreading Ebola epidemic has moved the stock downwards. Good valuation.