|Day's Range||0.7600 - 3.4500|
Southwest Airlines expects to see between a $10 million to $20 million bump in the second half of 2020 when improvements to corporate travel arm Southwest Business come online.
Is United Airlines stock ready to take flight? Here is what the fundamentals and technical analysis say about buying United stock now.
The new trading week didn't get started on a particularly impressive foot. Even with the intraday recovery effort, the S&P 500 still ended the day lower by 0.31%. Surging oil prices, thanks to an attack in the Middle East, sparked concern of a ripple effect.Source: Shutterstock Overstock.com (NASDAQ:OSTK) was the proverbial problem child, falling more than 20% to log a second day of losses following last week's big runup. Ford (NYSE:F) fell a more nominal 1.6%, with investors digesting the response to a recent UAW threat to go on strike, in addition to news that the company is recalling more than 300,000 Explorers due to dangerous seat edges. * 10 Recession-Resistant Services Stocks to Buy Headed into today's trading action, it's the stock charts of Southwest Airlines (NYSE:LUV), Visa (NYSE:V) and Coca-Cola (NYSE:KO) that have earned a closer inspection. Here's why, and what to look for.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Coca-Cola (KO)It has been one of the healthier trades this year, despite the drinking public's growing aversion to sugary beverages. In fact, Coca-Cola shares have rallied an amazing 20% since March's low, overcoming its February stumble with relative ease.The sheer speed and span of the move in an environment that doesn't favor most of the company's fare, however, has left KO stock vulnerable to some profit-taking. One more technical misstep could push Coca-Cola shares over that edge. * Click to EnlargeThe "edge" in question is the straight-line support that connects the bulk of the lows seen since March's pivot. It's plotted as a dashed blue line on both stock charts. * KO shares are no stranger to big swings. In fact, they make them on a rather reliable basis. All of the recent cases where the weekly chart's RSI line entered overbought territory led to major setbacks. * Although up for the past couple of months, take note of the fact that there's been more bearish volume than bullish volume. * The purple 50-day moving average line may also be a make-or-break support level at this time. It has been in the past. Southwest Airlines (LUV)Airline stocks are inherently erratic, impacted not just by the ebb and flow of demand for travel, but by the ebb and flow of oil prices. The two differing factors don't always behave with respect to one another as one might expect. Southwest Airlines has been no exception to this norm.There has been a method to the madness though. LUV stock has hammered out the formation of a familiar and telling shape. And, it has done so with a fairly predictable context that implies a breakout thrust could be brewing. * 7 Momentum Stocks to Buy On the Dip * Click to EnlargeThe bigger-picture pattern is a converging wedge shape, marked in blue lines on both stock charts. The lower edge of the wedge patterns, as can only be seen on the weekly chart, extends all the way back to 2015. * There's also something important but easy to overlook in the moving average lines plotted on both stock charts. They're all essentially converged now, setting the stage for a divergence from this point forward. * Tilting the scales in a bullish direction is the high-volume gains that started to materialize last week, and the subsequent push above a not entirely perfect upper boundary of the wedge shape. Visa (V)Finally, Visa has dished out some unexpectedly lengthy and sizable rallies since the beginning of 2017. In fact, the only real rough patch was the weakness most other stocks suffered in the final quarter of last year. And even then, V stock snapped back to an even stronger rally.As could be expected though, the weight of that eight-month gain is starting to prove unbearable. Visa shares have been hit hard a couple of times since last month, and while the advance hasn't been shattered yet, it's nearing that point. * Click to EnlargeThe weekly chart puts things in perspective. Last week's high had V shares more than 17% above the 200-day moving average line marked in white on both stock charts. That's the biggest divergence in years. * The line in the sand, so to speak, is the 100-day moving average line marked in gray. * Possible landing points include the $156.70 area marked in yellow on the daily chart, where V shares found support a couple of times in May, and then the 38.2% Fibonacci retracement line at $162.16, marked on the weekly chart.As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can learn more about him at his website jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Momentum Stocks to Buy On the Dip * 7 Dow Titans Breaking Higher * 5 Growth Stocks to Sell as Rates Move Higher The post 3 Big Stock Charts for Tuesday: Southwest Airlines, Visa and Coca-Cola appeared first on InvestorPlace.
On CNBC's "Fast Money Halftime Report," Pete Najarian said he owns Southwest Airlines Co (NYSE: LUV). Sarat Sethi would buy Electronic Arts Inc. (NASDAQ: EA). Joe Terranova is a little bit nervous about McDonald's Corp (NYSE: MCD), but he would hold a long position.
Former American Airlines president Scott Kirby once derided fuel hedging as “a rigged game that enriches Wall Street.” It is a position that the company may want to reconsider after an attack on two key Saudi Arabian oil facilities sent crude prices soaring on Monday. Jet fuel, along with labour, is an airline's greatest cost item. During the oil price rally between 2011-2014, when Brent was averaging around $100 a barrel, the industry aggressively hedged fuel costs with swaps and other financial instruments.
One of 2018’s top airlines, United Airlines stock has struggled to gain altitude in 2019. UAL has returned ~9% YTD, lagging the broader market.
Texas Intermediate futures soared as much as 15.5% Sunday. U.S. crude oil prices climbed 11% to $60.98 Monday.
Southwest Airlines and American Airlines shares were down Monday morning after an attack on Saudi oil infrastructure over the weekend.
Ticket prices have steadily risen all summer in the airline industry after it began with a fare raise in which several carriers participated.
Massive growth at Sea-tac Airport has not come without challenges for the Transportation Security Administration and its passenger screening as more than 70,000 people go through Sea-Tac security lines in a single day.
Airline stocks have been all over the map this year, but Macquarie thinks that there’s more runway ahead for both one of the best performers in the group and one of the worst. Stock in (AAL) (AAL), another so-called legacy carrier, is firmly in the red. The shares have been hurt by lackluster earnings, debt worries, and the rescheduling headaches that have come from its reliance on the grounded Boeing planes.
Southwest Airlines announced a handful of leadership changes to its technology and marketing teams Thursday.
David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...
DALLAS, Sept. 12, 2019 /PRNewswire/ -- Southwest Airlines Co. (LUV) today announced several Leadership changes within the Company's Marketing and Technology Departments. Southwest has promoted Tony Roach to Managing Director Customer Experience. Roach most recently held the position of Senior Director Customer Experience, and in his new role he will continue to lead all of the Company's Customer Experience efforts.
Southwest Airlines has again expanded its options for nonstop flight service out of Louisville. The Dallas-based airline (NYSE: LUV) said Thursday that it is adding a seasonal weekly nonstop flight to Fort Lauderdale-Hollywood International Airport (FLL) on a 143-seat Boeing 737 aircraft. The flight will start on Saturday, Dec. 21, and you can buy tickets here. “We’re pleased that Southwest continues to expand service here in Louisville with Fort Lauderdale marking the third new nonstop destination they have added in the past 17 months,” Dan Mann, executive director of the Louisville Regional Airport Authority, said in a news release. “Southwest’s ongoing investment of new routes at SDF speaks highly of the strength of our market and our strong partnership with them.” This takes Southwest Airlines to 10 nonstop destinations at Louisville Muhammad Ali International Airport.
Investors have given Boeing (NYSE:BA) stock a long leash. Boeing stock has traded mostly sideways since March, despite the fact that news over that stretch hasn't seemed particularly positive.Source: Alex JW Robinson / Shutterstock.com Of course, Boeing stock fell sharply after the second 737 MAX crash in March. Since then, the company hasn't given investors much to be excited about.Boeing Co took a $5 billion charge with Q2 earnings. Management targets for the return of the 737 MAX to service seem hugely optimistic, and the 777X faces potential delays as well. The defense side of the business has come under criticism for performance under a key Air Force contract.InvestorPlace - Stock Market News, Stock Advice & Trading TipsAnd yet investors have shrugged off those worries. A brief dip in August reversed quickly. Wall Street remains reasonably supportive, with an average price target of $411 suggesting 12% upside.The willingness of investors and analysts to support Boeing Co stock does make some sense. As I wrote last month, Boeing Co probably gets back to earnings growth at some point. But it seemed then like investor patience with BA stock was starting to give way, and if Boeing keeps missing its targets, it may do so again. MAX Delays Hit Deliveries for Boeing CoAs noted, the grounding of the MAX fleet hit Q2 earnings -- and will continue to hit profits going forward. Boeing announced on Tuesday that it had delivered just 18 aircraft in August, less than 30% of what it did the year before. * 10 Battered Tech Stocks to Buy Now To be sure, that figure isn't necessarily surprising, though year-to-date deliveries are lagging analyst expectations. But deliveries aren't the only issue. As detailed on the Q2 conference call, Boeing is still producing 42 737s a month, even with the MAX fleet grounded. And CEO Dennis Muilenberg said on that call that if the MAX didn't return to service by the end of the year, production potentially could be suspended.Increasingly, that looks like it will be the case. Southwest Airlines (NYSE:LUV) has canceled MAX flights into 2020. American Airlines Group (NYSE:AAL) has pulled the MAX from its schedule through December. E.U. regulators are insisting on their own test flight.Meanwhile, Boeing still hasn't updated its prediction from the Q2 call for a return to service early in the fourth quarter. That doesn't inspire confidence. If the MAX slips into 2020, it will cost the company billions in dollars in airline reimbursements, storage fees and incremental production costs. It may also cost Boeing Co the confidence of investors. The 777X, the KC-46 and BA StockWhat is frustrating about BA stock at the moment is that the 737 MAX isn't the only issue. The 777X is facing delays as well. Issues with engines produced by General Electric (NYSE:GE) admittedly are the key problem. But Boeing had a failure with a so-called "load test" this week, which could further push its release into 2020.On the defense side, the company's KC-46 aerial refueling tanker continues to struggle. Debris continues to be left on planes, leading to increased inspections and delayed deliveries. Acting Secretary of the Air Force Matthew Donovan said this summer that Boeing Co management had referred to the issues as "embarrassing". * 7 Upcoming IPOs for September The problems, which truly come down to execution, color Boeing's ability to get future U.S. military contracts. With intense competition from the likes of Lockheed Martin (NYSE:LMT), the KC-46 only seems to add to the worries here. The Case for, and Against, Boeing StockBut, again, investors have largely shrugged off all of those concerns over the last six months. And there's one reason why: as an analyst put it earlier this year, Boeing is almost too big to fail.After all, worldwide demand for air travel is only going to rise going forward amid the rise of the middle class in developing nations. Backlogs at both Boeing and rival Airbus (OTCMKTS:EADSY) extend into the 2030s. And there simply is no competition, even though China is trying to break that duopoly.But even in the context of a roughly $200 billion market cap, a few billion dollars in penalties, fines and costs matter. So does pushing revenue -- and profits -- out a few quarters or a few years. Even if Boeing can avoid the worst-case scenario -- a permanent grounding of the MAX -- the costs are piling up. At some point, that's going to matter.As of this writing, Vince Martin did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Sell in Market-Cursed September * 7 of the Worst IPO Stocks in 2019 * 7 Best Stocks That Crushed It This Earnings Season The post When Does Patience Run Out for Boeing Stock? appeared first on InvestorPlace.
AAL stock has taken a hit on trade tensions with China and trouble with the Boeing 737 Max. But is American Airlines stock a good buy?
In August, Delta Air Lines had the lowest flight cancellation rate and the best on-time performance versus its top peers—Southwest, United, and American.
Due to the 737 MAX's grounding, Boeing (BA) has seen a massive decline in aircraft deliveries. BA shipped 18 commercial aircraft in August, down 72% YoY.
For Southwest Airlines, dealing with fallout from the Boeing 737 Max crisis has been a network planning headache. Southwest Airlines Co. (NYSE: LUV) had 34 Max aircraft in March when the aircraft was grounded after it crashed twice in five months, killing 346 people. The carrier was scheduled to end 2019 with 68 Max planes in its fleet but deliveries have been halted as the Federal Aviation Administration and Boeing work on fixes for the plane.
With colder months approaching, there’s a route shakeup coming to Raleigh-Durham International Airport as airlines execute seasonal adjustments to their schedules – impacting services to places such as Austin, San Diego and Cancun.