Even as coronavirus cases rise in some parts of the United States, American Airlines AAL has decided against keeping the middle seat empty on flights next month onward. In accordance with its policy, this Fort Worth, TX- based carrier will see its flights filled to capacity from Wednesday. The decision to sell every seat means that the practice of social distancing while aboard will no longer be followed. Moreover, per the latest announcement, the carrier’s policy (effective since April) of limiting bookings to 85% of a plane's capacity will stand invalid.
However, management at this presently Zacks Rank #3 (Hold) carrier stated that it will continue to inform passengers if their flights are already packed to capacity and let them change the same free of cost. Moreover, passengers will be allowed to change seats on the plane if there is an option. However, they can avail of this facility only if they stay in the same cabin. Moreover, American Airlines decided to waive change fees for travel until Sep 30, 2020. Also, the carrier will ask its customers to confirm during the check-in process that they have not displayed any COVID-19 symptoms in the past 14 days.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Although the carrier has a number of measures in place complying with anti-pandemic directives like cleaning and sanitizing planes with extra care and requiring passengers to wear face masks throughout their journey at most of its hub airports, its resolve to load the entire plane in the current scenario invited criticisms from many quarters. Evidently, travel analyst Henry Harteveldt expressed his displeasure and reportedly said that the carrier “is clearly putting its profitability ahead” of the health of both passengers and its own employees.
Notably, another Zacks #3 Ranked carrier, the Chicago-based United Airlines UAL, is booking flights to 100% capacity. However, airlines like Delta LUV and JetBlue JBLU are still sticking to the policy of restrictive seating capacity, thereby ensuring social distancing. Delta and JetBlue also carry a Zacks Rank #3.
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.
See these 7 breakthrough stocks now>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Southwest Airlines Co. (LUV) : Free Stock Analysis Report
JetBlue Airways Corporation (JBLU) : Free Stock Analysis Report
United Airlines Holdings Inc (UAL) : Free Stock Analysis Report
American Airlines Group Inc. (AAL) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research