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4300.0
2021-07-22 00:00:00 UTC
Will Southwest Airlines Report An Earnings Beat?
AAL
https://www.nasdaq.com/articles/will-southwest-airlines-report-an-earnings-beat-2021-07-22
nan
nan
[Updated 07/20/2021] The shares of Southwest Airlines (NYSE: LUV) have lost 20% in value since April as concerns of a new coronavirus wave lowered investor confidence in the airline and hotel industries. While the company is likely to report a net loss for the second quarter, government aid has been limiting cash burn during the pandemic. Despite the ongoing recovery in passenger traffic, Southwest’s second quarter revenues are likely to contract by 38% (y-o-y). Notably, the company’s high operating margin is key to superior returns in the airline industry. Trefis believes that the recent dip in the stock price is an opportunity for gains given just $1 billion operating cash outflow last year. We highlight the quarterly trends in revenues, earnings, stock price, and expectations for Q2 2020 in an interactive dashboard analysis, Southwest Airlines Earnings Preview. How did Southwest Airlines perform during the first quarter? In Q1, Southwest Airlines reported a 52% (y-o-y) contraction in net revenues and a 35% (y-o-y) reduction in capacity (available seat miles). The company reported net income of $116 million and $645 million of operating cash. Given the suspension of dividends and share buybacks, the operating cash supported $95 million of capital expenses and certain short-term investments. On the operational front, occupancy rate improved by 10-percentage-points (q-o-q) to 64% assisted by rising demand and efficient capacity utilization. Considering the ongoing improvement in passenger figures during the second quarter, the company is expected to post better financial and operational metrics. [Updated 05/14/2021] – Southwest Airlines Stock: Buy The Dip As It Comes Progress in mass vaccination and growing passenger numbers at TSA checkpoints have been a boon for the airline industry in recent months. However, newly recognized coronavirus variants of concern by the WHO and restricted international travel are still weighing on the tourism industry. The shares of Southwest Airlines (NYSE: LUV) have raced ahead to reach pre-Covid levels unlike its immediate competitors, United Airlines and Delta Air Lines. This can be largely attributed to the company’s significantly lower debt outstanding and higher operating margin. After two rounds of payroll support, the U.S. government initiated a third phase as huge salary costs can trigger involuntary furloughs. Notably, the PSP-3 requires airlines to suspend dividends and share repurchases until September 2022. Despite tepid air travel demand, which remains 50% below pre-Covid levels, and macroeconomic uncertainty triggered by new coronavirus variants, Trefis believes that LUV stock is a good value investment in the long term. We highlight the historical trends in the company’s revenues, margins, and valuation multiple in an interactive dashboard analysis, Southwest Airlines’ Valuation. Government aid strengthened Southwest’s balance sheet strength in 2020 In 2020, Southwest Airlines reported $9 billion of total revenues and just $1 billion of operating cash outflow due to $3.4 billion of relief funds under the CARES Act. In Q1 2021, the company received $1.7 billion of relief funds under PSP-2 and therefore reported $645 million of operating cash. Thus, government aid has been a key factor offsetting salary-related expenses (salary and wages account for 40% of operating expenses). Per recent filings, the company had $10.7 billion of long-term debt and $14.4 billion of cash and short-term investments – highlighting efficient capital and operations management during the pandemic. Given the company’s superior margins in comparison with peers, we believe that the stock will recoup short-term dips due to market forces. Lull in air travel business is likely to remain The company expects its second-quarter revenues to observe a 40% contraction from pre-Covid levels (Q2 2019). Growth in passenger figures led to a guidance revision by all airline companies with an expectation of positive cash generation during the latter half of the year. However, the resurgence in coronavirus cases in various countries continues to impact international and business travel demand. Also, the third round of payroll support indicates that the lull in the air travel business is likely to remain this year. The company will receive an aggregate of $1.9 billion to support salaries and wages for the second and third quarters. Is there a better investment over Southwest Airlines? Southwest Airlines Stock Comparison With Peers summarizes how LUV compares against peers on metrics that matter. You can find more such useful comparisons on Peer Comparisons. See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Despite tepid air travel demand, which remains 50% below pre-Covid levels, and macroeconomic uncertainty triggered by new coronavirus variants, Trefis believes that LUV stock is a good value investment in the long term. Lull in air travel business is likely to remain The company expects its second-quarter revenues to observe a 40% contraction from pre-Covid levels (Q2 2019). Growth in passenger figures led to a guidance revision by all airline companies with an expectation of positive cash generation during the latter half of the year.
We highlight the quarterly trends in revenues, earnings, stock price, and expectations for Q2 2020 in an interactive dashboard analysis, Southwest Airlines Earnings Preview. Despite tepid air travel demand, which remains 50% below pre-Covid levels, and macroeconomic uncertainty triggered by new coronavirus variants, Trefis believes that LUV stock is a good value investment in the long term. Government aid strengthened Southwest’s balance sheet strength in 2020 In 2020, Southwest Airlines reported $9 billion of total revenues and just $1 billion of operating cash outflow due to $3.4 billion of relief funds under the CARES Act.
[Updated 07/20/2021] The shares of Southwest Airlines (NYSE: LUV) have lost 20% in value since April as concerns of a new coronavirus wave lowered investor confidence in the airline and hotel industries. [Updated 05/14/2021] – Southwest Airlines Stock: Buy The Dip As It Comes Progress in mass vaccination and growing passenger numbers at TSA checkpoints have been a boon for the airline industry in recent months. Government aid strengthened Southwest’s balance sheet strength in 2020 In 2020, Southwest Airlines reported $9 billion of total revenues and just $1 billion of operating cash outflow due to $3.4 billion of relief funds under the CARES Act.
Considering the ongoing improvement in passenger figures during the second quarter, the company is expected to post better financial and operational metrics. Despite tepid air travel demand, which remains 50% below pre-Covid levels, and macroeconomic uncertainty triggered by new coronavirus variants, Trefis believes that LUV stock is a good value investment in the long term. Is there a better investment over Southwest Airlines?
4301.0
2021-07-22 00:00:00 UTC
After Guidance Update, Is AAL Stock A Buy?
AAL
https://www.nasdaq.com/articles/after-guidance-update-is-aal-stock-a-buy-2021-07-22
nan
nan
[Updated 07/20/2021] In a recent release, American Airlines (NASDAQ: AAL) guided for a 37.5% (y-o-y) decline in revenues and a 24.6% (y-o-y) reduction in capacity (available seat miles). While the company is likely to report a net loss of $35 million, the third round of payroll support has been limiting the operating cash burn rate. The broader airline and hotel industry has been observing a downtrend in recent weeks over concerns of a fourth coronavirus wave. However, AAL stock faces downside risk from $22 billion (deducting cash & cash equivalents) of long-term debt obligations apart from the current macroeconomic factors. Trefis highlights the quarterly trends in revenues, earnings, stock price, and expectations for Q2 2020 in an interactive dashboard analysis, American Airlines Earnings Preview. How did American Airlines perform during the first quarter? In Q1, American Airlines reported a 52% (y-o-y) contraction in net revenues and a 40% (y-o-y) reduction in capacity (available seat miles). The company reported a net loss of $1.2 billion and $174 million of operating cash. Given the suspension of dividends and share buybacks, the operating cash coupled with $7 billion of debt raises supported $7.2 billion of investing activities. On the operational front, occupancy rate remained fairly constant at 60% (q-o-q) assisted by rising demand and efficient capacity utilization. Considering the ongoing improvement in passenger figures during the second quarter, the company is expected to post better financial and operational metrics. [Updated 07/14/2021] – Is American Airlines Stock Expensive? The shares of American Airlines (NASDAQ: AAL) declined from $58 in 2017 to $27 in 2019, primarily due to mounting concerns of rising long-term debt obligations. The coronavirus pandemic further weighed on shareholder returns as the company reported $1.4 billion of operating cash outflow in 2020. Notably, the stock has a market capitalization of $13 billion, much lower than $22 billion of long-term debt obligations (deducting cash & cash equivalents). In 2019, the company reported $3.8 billion of cash from operations, invested $4.2 billion in capital expenses, and paid $1.2 billion in dividends & share repurchases. While shareholder returns of dividends and stock repurchases remain suspended till September 2022 due to a clause under the CARES Act, it would take more than 10 years for AAL to completely repay its debt without paying any dividends and minimum capex (considering surplus cash after deducting capital expenses ($1.8 billion = $3.8 billion – $2 billion)). Thus, the stock has a downside risk despite the ongoing recovery in air travel demand. We highlight the historical trends in revenues, earnings, and valuation multiple in an interactive dashboard analysis, American Airlines Valuation. [Updated 05/12/2021] – Are Odds In Favor Of American Airlines Stock? With the progress in mass vaccination, passenger numbers at TSA checkpoints have observed a strong uptick in recent months. However, the air travel demand remains 50% below pre-Covid levels – indicating a downside risk for American Airlines (NASDAQ: AAL). After two rounds of payroll support, the U.S. government initiated a third phase as the huge salary cost head can trigger involuntary furloughs. While government support programs have buoyed investor sentiments and pushed airline stocks higher, American Airlines’ low net margins due to sizable interest expenses are likely to impact long-term shareholder returns. Notably, the PSP-3 requirements include suspension of dividends and share repurchases until September 2022. Given the tepid air travel demand and a slow macroeconomic recovery, Trefis believes that AAL stock is a risky bet at current levels. We highlight the historical trends in the company’s revenues, margins, and valuation multiple in an interactive dashboard analysis, American Airlines Valuation. Second quarter expectations highlight the lull in air travel business Per Q1 earnings release, the company expects its second-quarter revenues to observe a 40% contraction from pre-Covid levels (Q2 2019). Growth in passenger figures led to a guidance revision by American’s peers including United and Delta with an expectation of positive cash generation during the latter half of the year. However, the resurgence in coronavirus cases in various countries continues to impact international and business travel demand. Also, the third round of payroll support indicates that the lull in air travel business is likely to remain this year. The company will receive $3.3 billion of aid under the third round as opposed to $2.1 billion in the previous quarter. Government support has offset huge fixed costs in the past four quarters In 2020, American Airlines reported $17 billion of total revenues and $6.5 billion of operating cash outflow – assisted by the $6 billion of PSP-1. Subsequently, the company’s reported $4 billion of revenues in Q1 2021 and operating cash turned positive to $174 million due to $2.1 billion of PSP-2. Thus, government aid has been a key factor offsetting AAL’s salary-related expenses (salary and wages are 30% of total revenues). Moreover, the $1 billion of annual interest expenses weighed on the company’s net margins even before the pandemic and are expected to impact the balance sheet de-leveraging prospects in the coming years. Is there a better investment over American Airlines? American Airlines Stock Comparison With Peers summarizes how AAL compares against peers on metrics that matter. You can find more such useful comparisons on Peer Comparisons. See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Given the tepid air travel demand and a slow macroeconomic recovery, Trefis believes that AAL stock is a risky bet at current levels. [Updated 07/20/2021] In a recent release, American Airlines (NASDAQ: AAL) guided for a 37.5% (y-o-y) decline in revenues and a 24.6% (y-o-y) reduction in capacity (available seat miles). However, AAL stock faces downside risk from $22 billion (deducting cash & cash equivalents) of long-term debt obligations apart from the current macroeconomic factors.
However, AAL stock faces downside risk from $22 billion (deducting cash & cash equivalents) of long-term debt obligations apart from the current macroeconomic factors. [Updated 07/20/2021] In a recent release, American Airlines (NASDAQ: AAL) guided for a 37.5% (y-o-y) decline in revenues and a 24.6% (y-o-y) reduction in capacity (available seat miles). The shares of American Airlines (NASDAQ: AAL) declined from $58 in 2017 to $27 in 2019, primarily due to mounting concerns of rising long-term debt obligations.
While shareholder returns of dividends and stock repurchases remain suspended till September 2022 due to a clause under the CARES Act, it would take more than 10 years for AAL to completely repay its debt without paying any dividends and minimum capex (considering surplus cash after deducting capital expenses ($1.8 billion = $3.8 billion – $2 billion)). [Updated 07/20/2021] In a recent release, American Airlines (NASDAQ: AAL) guided for a 37.5% (y-o-y) decline in revenues and a 24.6% (y-o-y) reduction in capacity (available seat miles). However, AAL stock faces downside risk from $22 billion (deducting cash & cash equivalents) of long-term debt obligations apart from the current macroeconomic factors.
[Updated 07/20/2021] In a recent release, American Airlines (NASDAQ: AAL) guided for a 37.5% (y-o-y) decline in revenues and a 24.6% (y-o-y) reduction in capacity (available seat miles). However, AAL stock faces downside risk from $22 billion (deducting cash & cash equivalents) of long-term debt obligations apart from the current macroeconomic factors. The shares of American Airlines (NASDAQ: AAL) declined from $58 in 2017 to $27 in 2019, primarily due to mounting concerns of rising long-term debt obligations.
4302.0
2021-07-22 00:00:00 UTC
US STOCKS-Wall Street ends higher, boosted by tech, growth stocks
AAL
https://www.nasdaq.com/articles/us-stocks-wall-street-ends-higher-boosted-by-tech-growth-stocks-2021-07-22
nan
nan
By Stephen Culp NEW YORK, July 22 (Reuters) - Big tech pushed Wall Street to a higher close on Thursday, modestly building on a two-day rally as lackluster economic data and mixed corporate earnings sent investors back to growth stocks. A pull-back in economically sensitive cyclicals kept the S&P 500's and the blue-chip Dow's gains muted, while small-caps .RUT underperformed their larger rivals. But megacap tech and tech-adjacent stocks such as Apple Inc AAPL.O, Amazon.com AMZN.O, Facebook Inc FB.O, Google-owner Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O rose ahead of their quarterly results next week, putting the Nasdaq out front. All three major U.S. stock indexes ended the session within 1% of their record closing highs. Growth stocks .IGX, which outperformed throughout the health crisis, were back in favor, while the value index .IVX slipped. "The market is flip-flopping between the view that economic growth has almost peaked so you need to buy stocks that manufacture their own growth like tech names, versus the view that economic growth will continue and you want to own cyclicals and value names," said David Carter, chief investment officer at Lenox Wealth Advisors in New York. The number of U.S. workers filing first-time applications for unemployment benefits USJOB=ECI spiked unexpectedly to 419,000 last week, a two-month high, according to the Labor Department. Market participants are closely watching labor market indicators for hints as to when the Federal Reserve, expected to convene next week for its two-day monetary policy meeting, will begin discussions about hiking key interest rates from near zero. "The jobless data today didn’t have a meaningful impact on markets or the economic outlook," Carter added. "It’s now all about how much longer the Fed will tolerate low rates. The Fed seems to be favoring its full employment mandate more than its price stability mandate." "Accordingly, the upcoming Fed meeting could be impactful," Carter said. Benchmark Treasury yields eased after the bid at the largest-ever TIPS auction touched a record low, pressuring rate sensitive banks. Unofficially, the Dow Jones Industrial Average .DJI rose 24.75 points, or 0.07%, to 34,822.75, the S&P 500 .SPX gained 8.79 points, or 0.20%, to 4,367.48 and the Nasdaq Composite .IXIC added 52.64 points, or 0.36%, to 14,684.60. The second-quarter reporting season barreled ahead at full-throttle, with 104 of the companies in the S&P 500 having reported. Of those, 88% have beaten consensus estimates, according to Refinitiv. Analysts currently see aggregate year-on-year S&P earnings growth of 76.5% for the April to June period, a substantial increase from the 54% projected at the beginning of the quarter. Drugmaker Biogen Inc BIIB.O rose after hiking its full-year revenue guidance, while Domino's Pizza Inc DPZ.N surged to an all-time high on the heels of its quarterly report. Southwest Airlines Co LUV.N posted a bigger-than-expected quarterly loss, sending its stock down, and American Airlines Group Inc AAL.O dipped even after reporting a quarterly profit. The S&P 1500 Airlines index .SPCOMAIR lost altitude on the day. Shares of Texas Instruments Inc TXN.O slid after its current-quarter revenue forecast cast concerns as to whether chipmaker will be able to meet spiking demand in the face of a global semiconductor shortage. The Philadelphia SE Semiconductor index was among the session's losers. (Reporting by Stephen Culp" Additonal reporting by Devik Jain and Shreyashi Sanyal in Bengaluru Editing by Marguerita Choy) ((stephen.culp@thomsonreuters.com; 646-223-6076;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Southwest Airlines Co LUV.N posted a bigger-than-expected quarterly loss, sending its stock down, and American Airlines Group Inc AAL.O dipped even after reporting a quarterly profit. By Stephen Culp NEW YORK, July 22 (Reuters) - Big tech pushed Wall Street to a higher close on Thursday, modestly building on a two-day rally as lackluster economic data and mixed corporate earnings sent investors back to growth stocks. But megacap tech and tech-adjacent stocks such as Apple Inc AAPL.O, Amazon.com AMZN.O, Facebook Inc FB.O, Google-owner Alphabet Inc GOOGL.O and Microsoft Corp MSFT.O rose ahead of their quarterly results next week, putting the Nasdaq out front.
Southwest Airlines Co LUV.N posted a bigger-than-expected quarterly loss, sending its stock down, and American Airlines Group Inc AAL.O dipped even after reporting a quarterly profit. All three major U.S. stock indexes ended the session within 1% of their record closing highs. "The market is flip-flopping between the view that economic growth has almost peaked so you need to buy stocks that manufacture their own growth like tech names, versus the view that economic growth will continue and you want to own cyclicals and value names," said David Carter, chief investment officer at Lenox Wealth Advisors in New York.
Southwest Airlines Co LUV.N posted a bigger-than-expected quarterly loss, sending its stock down, and American Airlines Group Inc AAL.O dipped even after reporting a quarterly profit. By Stephen Culp NEW YORK, July 22 (Reuters) - Big tech pushed Wall Street to a higher close on Thursday, modestly building on a two-day rally as lackluster economic data and mixed corporate earnings sent investors back to growth stocks. "The market is flip-flopping between the view that economic growth has almost peaked so you need to buy stocks that manufacture their own growth like tech names, versus the view that economic growth will continue and you want to own cyclicals and value names," said David Carter, chief investment officer at Lenox Wealth Advisors in New York.
Southwest Airlines Co LUV.N posted a bigger-than-expected quarterly loss, sending its stock down, and American Airlines Group Inc AAL.O dipped even after reporting a quarterly profit. Growth stocks .IGX, which outperformed throughout the health crisis, were back in favor, while the value index .IVX slipped. "The market is flip-flopping between the view that economic growth has almost peaked so you need to buy stocks that manufacture their own growth like tech names, versus the view that economic growth will continue and you want to own cyclicals and value names," said David Carter, chief investment officer at Lenox Wealth Advisors in New York.
4303.0
2021-07-21 00:00:00 UTC
American Airlines to ramp up pilot hiring -staff memo
AAL
https://www.nasdaq.com/articles/american-airlines-to-ramp-up-pilot-hiring-staff-memo-2021-07-21-0
nan
nan
Adds details and background CHICAGO, July 21 (Reuters) - America Airlines AAL.O is increasing the number of pilots it plans to hire this year and next as travel demand recovers and it positions the company for future growth, according to a staff memo reviewed by Reuters. U.S. airlines have moved from warning of furloughs to advertising jobs in the span of months as the negative impact of the coronavirus pandemic on U.S. travel subsides. "Though we were limited in pilot growth this past year, we are now moving full speed ahead with pans to continue recruiting, hiring and training the best and most diverse pilots in the business," American's vice president of flight operations Chip Long said in the memo. American now expects to hire 350 pilots this year, up from 300, and more than 1,000 additional pilots next year, up from about 600 previously planned, Long said. Last week, American said it had asked about 3,300 flight attendants on voluntary leave to return by the holiday travel season and would begin recruiting and hiring about 800 new flight attendants by March 2022. Other airlines have also announced plans to recall staff and begin hiring as they reposition their operations to meet a rise in demand. American said earlier this month that it could post a small profit when it releases second-quarter results on Thursday. U.S. airline shares were sharply higher in late trading .XAL. (Reporting by Tracy Rucinski, Editing by Nick Zieminski) ((tracy.rucinski@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Adds details and background CHICAGO, July 21 (Reuters) - America Airlines AAL.O is increasing the number of pilots it plans to hire this year and next as travel demand recovers and it positions the company for future growth, according to a staff memo reviewed by Reuters. U.S. airlines have moved from warning of furloughs to advertising jobs in the span of months as the negative impact of the coronavirus pandemic on U.S. travel subsides. Other airlines have also announced plans to recall staff and begin hiring as they reposition their operations to meet a rise in demand.
Adds details and background CHICAGO, July 21 (Reuters) - America Airlines AAL.O is increasing the number of pilots it plans to hire this year and next as travel demand recovers and it positions the company for future growth, according to a staff memo reviewed by Reuters. Last week, American said it had asked about 3,300 flight attendants on voluntary leave to return by the holiday travel season and would begin recruiting and hiring about 800 new flight attendants by March 2022. Other airlines have also announced plans to recall staff and begin hiring as they reposition their operations to meet a rise in demand.
Adds details and background CHICAGO, July 21 (Reuters) - America Airlines AAL.O is increasing the number of pilots it plans to hire this year and next as travel demand recovers and it positions the company for future growth, according to a staff memo reviewed by Reuters. "Though we were limited in pilot growth this past year, we are now moving full speed ahead with pans to continue recruiting, hiring and training the best and most diverse pilots in the business," American's vice president of flight operations Chip Long said in the memo. American now expects to hire 350 pilots this year, up from 300, and more than 1,000 additional pilots next year, up from about 600 previously planned, Long said.
Adds details and background CHICAGO, July 21 (Reuters) - America Airlines AAL.O is increasing the number of pilots it plans to hire this year and next as travel demand recovers and it positions the company for future growth, according to a staff memo reviewed by Reuters. U.S. airlines have moved from warning of furloughs to advertising jobs in the span of months as the negative impact of the coronavirus pandemic on U.S. travel subsides. "Though we were limited in pilot growth this past year, we are now moving full speed ahead with pans to continue recruiting, hiring and training the best and most diverse pilots in the business," American's vice president of flight operations Chip Long said in the memo.
4304.0
2021-07-21 00:00:00 UTC
Why Airline Shares Are Soaring Today
AAL
https://www.nasdaq.com/articles/why-airline-shares-are-soaring-today-2021-07-21
nan
nan
What happened United Airlines Holdings (NASDAQ: UAL) sees post-pandemic demand returning ahead of schedule, and the forecast is causing the entire airline industry to take flight. Shares of United traded up as much as 5.7% on Wednesday, while shares of American Airlines Group (NASDAQ: AAL), JetBlue Airways (NASDAQ: JBLU), and Spirit Airlines (NYSE: SAVE) are each up 5%. So what It has been a choppy week for airline stocks, with sector investors torn between hope that the post-pandemic recovery can continue and fear that new variants could lead to a new wave of travel restrictions and lockdowns. The stocks fell on Monday but recovered nicely on Tuesday, and today the bulls are getting a boost from United's earnings report. Image source: Getty Images. United lost $3.91 per share in the second quarter on revenue of $5.5 billion, beating analyst expectations for a $4.23-per-share loss on revenue of $5.25 billion. But the company said it expects adjusted pre-tax income to turn positive in the current quarter, and forecast business travel would return by 2022 with a "full recovery in demand anticipated by 2023." The loss was expected, but United's optimism about the future is what airline investors are focusing on. We know traffic has been strong during the summer months but United's optimism about the rest of the year, including post-summer vacation season, is encouraging. And, so far at least, the airline does not see the delta coronavirus variant as a threat to the pace of the recovery. American has the highest short interest among airlines and tends to move more than most of the industry. The company, though healthy enough to survive, is arguably the airline that most needs to avoid a second wave similar to what happened to travel demand in the spring of 2020. JetBlue and Spirit, meanwhile, are focused on leisure travelers and vacation destinations and should recover sooner than more complex operations like United or American should vacation demand remain strong. Now what I said earlier in the week that the airlines are safe, as the entire industry should have the wherewithal to survive whatever comes next, but the real question is how quick the recovery will be. There's nothing in United's results to suggest the comeback will be linear, and I expect we'll see plenty more turbulence in the weeks and months to come. But United, if nothing else, gave no reason to sound fresh alarm bells, and that has investors encouraged. 10 stocks we like better than United Airlines Holdings When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and United Airlines Holdings wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Spirit Airlines. The Motley Fool owns shares of and recommends Spirit Airlines. The Motley Fool recommends JetBlue Airways. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Shares of United traded up as much as 5.7% on Wednesday, while shares of American Airlines Group (NASDAQ: AAL), JetBlue Airways (NASDAQ: JBLU), and Spirit Airlines (NYSE: SAVE) are each up 5%. So what It has been a choppy week for airline stocks, with sector investors torn between hope that the post-pandemic recovery can continue and fear that new variants could lead to a new wave of travel restrictions and lockdowns. But the company said it expects adjusted pre-tax income to turn positive in the current quarter, and forecast business travel would return by 2022 with a "full recovery in demand anticipated by 2023."
Shares of United traded up as much as 5.7% on Wednesday, while shares of American Airlines Group (NASDAQ: AAL), JetBlue Airways (NASDAQ: JBLU), and Spirit Airlines (NYSE: SAVE) are each up 5%. What happened United Airlines Holdings (NASDAQ: UAL) sees post-pandemic demand returning ahead of schedule, and the forecast is causing the entire airline industry to take flight. The Motley Fool owns shares of and recommends Spirit Airlines.
Shares of United traded up as much as 5.7% on Wednesday, while shares of American Airlines Group (NASDAQ: AAL), JetBlue Airways (NASDAQ: JBLU), and Spirit Airlines (NYSE: SAVE) are each up 5%. What happened United Airlines Holdings (NASDAQ: UAL) sees post-pandemic demand returning ahead of schedule, and the forecast is causing the entire airline industry to take flight. 10 stocks we like better than United Airlines Holdings When our award-winning analyst team has a stock tip, it can pay to listen.
Shares of United traded up as much as 5.7% on Wednesday, while shares of American Airlines Group (NASDAQ: AAL), JetBlue Airways (NASDAQ: JBLU), and Spirit Airlines (NYSE: SAVE) are each up 5%. What happened United Airlines Holdings (NASDAQ: UAL) sees post-pandemic demand returning ahead of schedule, and the forecast is causing the entire airline industry to take flight. The loss was expected, but United's optimism about the future is what airline investors are focusing on.
4305.0
2021-07-21 00:00:00 UTC
Wall Street rises on earnings strength, recovery cheer
AAL
https://www.nasdaq.com/articles/wall-street-rises-on-earnings-strength-recovery-cheer-2021-07-21
nan
nan
By Devik Jain and Shreyashi Sanyal July 21 (Reuters) - U.S. stock indexes rose on Wednesday as upbeat quarterly results from companies including Verizon and Coca-Cola reignited optimism about the health of corporate America. Coca-Cola Co KO.N rose 1.4% after boosting its full-year sales forecast, while Verizon Communications Inc VZ.N added 1.3% as the wireless carrier beat estimates for quarterly results. "Everybody knows this is going to be the biggest year-over-year growth rate for earnings in the second quarter," said Tom Martin, senior portfolio manager at GLOBALT Investments. June-quarter profits for S&P 500 companies are expected to rise 75%, according to IBES data from Refinitiv. Investors are also closely watching the earnings season to justify current sky-high valuations. Wall Street rebounded from a sharp selloff on Monday after fears about a delayed economic reopening due to the spread of the Delta coronavirus variant drove a rally into bond markets and pushed the benchmark 10-year Treasury yield US10YT=RR to mid-February lows. "TINA and FOMO are driving the market higher. Every time there's a dip in the market, people think that's the opportunity to put more money to work," Martin said, referring to market acronyms for there-is-no-alternative and fear-of-missing-out. Eight of the 11 major S&P 500 sectors advanced, with economically sensitive industrials .SPLRCI, materials .SPLRCM, and energy .SPNY leading gains, while financials .SPSYand technology .SPLRCT offered the biggest boosts. For the year so far, the benchmark S&P 500 index .SPX has gained 15.8% on optimism about a stronger recovery due to vaccinations and favorable monetary policy. Investors were also watching out for President Joe Biden's $1.2 trillion bipartisan infrastructure bill, which faces a test on the Senate floor later in the day. "The country desperately needs proper infrastructure and if they can get anything passed, it would be helpful to the cyclical trade that has taken a breather in the last month and a half," said Thomas Hayes, chairman of Great Hill Capital LLC in New York. The S&P 500 value index .IVX is flat so far this month, as compared to a 2.3% rise in its growth counterpart .IGX. United Airlines UAL.O rose 3.6% and was the top boost to the S&P 1500 Airlines index .SPCOMAIR after its revenue quadrupled from a year ago and topped estimates, helped by a strong rebound in domestic travel. Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 3% each ahead of results on Thursday. However, a weak subscriber growth projection by Netflix Inc NFLX.O, which benefited from the stay-at-home environment last year, pushed its shares down 3.8%. At 12:49 p.m. ET, the Dow Jones Industrial Average .DJIwas up 257.53 points, or 0.75%, at 34,769.52 and the S&P 500 .SPXwas up 26.72 points, or 0.62%, at 4,349.78. The Nasdaq Composite .IXICwas up 80.04 points, or 0.55%, at 14,578.92. Chipotle Mexican Grill Inc CMG.N jumped 10.9% as brokerages raised their price targets on the burrito chain's stock after it beat estimates for earnings and comparable quarterly sales. Advancing issues outnumbered decliners by a 3.14-to-1 ratio on the NYSE and by a 3.50-to-1 ratio on the Nasdaq. The S&P index recorded 35 new 52-week highs and no new low, while the Nasdaq recorded 52 new highs and 29 new lows. U.S. stock market's rising valuationhttps://tmsnrt.rs/3BswcD2 (Reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; Editing by Maju Samuel) ((Shreyashi.Sanyal@thomsonreuters.com; +1 646 223 8780; +91 961 144 3740; Twitter: https://twitter.com/s_shreyashi;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 3% each ahead of results on Thursday. By Devik Jain and Shreyashi Sanyal July 21 (Reuters) - U.S. stock indexes rose on Wednesday as upbeat quarterly results from companies including Verizon and Coca-Cola reignited optimism about the health of corporate America. Wall Street rebounded from a sharp selloff on Monday after fears about a delayed economic reopening due to the spread of the Delta coronavirus variant drove a rally into bond markets and pushed the benchmark 10-year Treasury yield US10YT=RR to mid-February lows.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 3% each ahead of results on Thursday. By Devik Jain and Shreyashi Sanyal July 21 (Reuters) - U.S. stock indexes rose on Wednesday as upbeat quarterly results from companies including Verizon and Coca-Cola reignited optimism about the health of corporate America. Chipotle Mexican Grill Inc CMG.N jumped 10.9% as brokerages raised their price targets on the burrito chain's stock after it beat estimates for earnings and comparable quarterly sales.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 3% each ahead of results on Thursday. By Devik Jain and Shreyashi Sanyal July 21 (Reuters) - U.S. stock indexes rose on Wednesday as upbeat quarterly results from companies including Verizon and Coca-Cola reignited optimism about the health of corporate America. United Airlines UAL.O rose 3.6% and was the top boost to the S&P 1500 Airlines index .SPCOMAIR after its revenue quadrupled from a year ago and topped estimates, helped by a strong rebound in domestic travel.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 3% each ahead of results on Thursday. By Devik Jain and Shreyashi Sanyal July 21 (Reuters) - U.S. stock indexes rose on Wednesday as upbeat quarterly results from companies including Verizon and Coca-Cola reignited optimism about the health of corporate America. Coca-Cola Co KO.N rose 1.4% after boosting its full-year sales forecast, while Verizon Communications Inc VZ.N added 1.3% as the wireless carrier beat estimates for quarterly results.
4306.0
2021-07-21 00:00:00 UTC
How to Play American Airlines in Front of Earnings
AAL
https://www.nasdaq.com/articles/how-to-play-american-airlines-in-front-of-earnings-2021-07-21
nan
nan
InvestorPlace - Stock Market News, Stock Advice & Trading Tips It’s gone from worst-to-first with Wall Street in 2021. But is today’s American Airlines (NASDAQ:AAL) worth buying? Let’s look at what’s happening off and on the price chart of AAL stock, then offer a risk-adjusted determination aligned with those findings. AAL) airplane waiting on the tarmac. Represents airline stocks." width="300" height="169"> Source: GagliardiPhotography / Shutterstock.com AAL stock. It was one of the worst kind of “stay away” stocks as the novel coronavirus hit U.S. shores and then into a full-blown Covid-19 pandemic. And for good reason of course. The deadly outbreak was particularly ruthless on American Airlines given stay-at-home orders, other mandates and plain ol’ common sense dictated avoiding air travel. AAL Stock Had Company Of course, AAL stock was far from alone. The entire airline industry appeared at risk. And for good reason, as airline travel was down more than 90% during last year’s darkest days. From Delta (NYSE:DAL) to United Continental (NASDAQ:UAL), Southwest Airlines (NYSE:LUV) and others, none were immune. Covid’s wrath even looked grave enough for famed value investors like Warren Buffett to famously exit while warning “the world has changed” for airlines in early May 2020. But the Oracle of Omaha was wrong on AAL and Berkshire Hathaway’s (NYSE:BRK.B) other holdings. As with the Spanish Flu pandemic, the world is recovering. That’s particularly true in industrialized countries. Although in the United States, remaining intentionally unvaccinated has become a thing. This is despite far-flung tactics such as monetary prizes being offered to get American’s immunized. Are we out of the woods? In the U.S., the vaccinated most certainly are. Sure, there’s increased risk of getting Covid thanks to our unneighborly anti-vaxxing neighbors defying this past year’s chorused message we’re all in this together. But the chance of hospitalization, let alone death, is infinitesimally small for the vaccinated and younger, still unvaccinated populations. And mind you, this broader success comes in the face of a more lethal and easier-to-transmit U.K. variant. Today, the only togetherness that matters to investors is the unified action of others willing to pile in unison on headline fears promoting a repeat event. And Monday’s opening bell, crash-like drama tied to growing Covid cases played right into – and right out of – those worries. AAL Stock Weekly Price Chart Source: Charts by TradingView Since Covid’s bottom in March 2020 AAL stock has gone from the group’s most dogged worst-in-breed to 2021’s best-performing airliner. And there have been reasons behind the stock’s turnaround. At the worst of the crisis, a popular conversation was American’s debt crippling and even potentially bankrupting the company. And those risks did exist – if the pandemic raged on and continued to take its toll on AAL and the industry. But it didn’t. For investors betting on an industry rebound in 2020, the more popular wager allocated monies into blue-chip airlines DAL and LUV. These companies owned the financials to survive a prolonged bearish business cycle if conditions didn’t pan out as expected. Investors collective action led to relative strength out of the Covid-driven bear market for those outfits. DAL recaptured just over half of its Covid-related losses by year’s end. And LUV managed to retrace more than two-thirds of its decline. Compare this to AAL, which only reclaimed about one-third of its correction. The Emerging Pattern Today and amid a much healthier industry environment and quicker-than-expected push past Covid, AAL had obvious room to play catch-up and enjoy the role of technical leadership. Which it has. But the playing field hasn’t been leveled completely. And that could be good news for American Airline shareholders. Technically, a bullish high-level double-bottom pattern in AAL stock appears to be developing. At the moment, a second pivot low centered on American Airline’s 50% Covid bear market level and 38% retracement from March’s year-to-date high and the corrective base’s starting point are in play. A fully formed pivot confirmed next week offers investors a chance to purchase a decent-looking pattern entry with much greater upside potential than downside exposure. Well, maybe. Bottom line and with earnings on tap Thursday morning, participating near current prices requires booking a technically unconfirmed seat today. And with that also comes immediate and larger gap risk which may or may not work out favorably. If investors are committed to playing a dicier earnings event, in our observation a slightly out-of-the-money, short-term Weeklys ’30 July $22 call looks about right both off and on the price chart. On the date of publication, Chris Tyler did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Chris Tyler is a former floor-based, derivatives market maker on the American and Pacific exchanges. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits. The post How to Play American Airlines in Front of Earnings appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The Emerging Pattern Today and amid a much healthier industry environment and quicker-than-expected push past Covid, AAL had obvious room to play catch-up and enjoy the role of technical leadership. But is today’s American Airlines (NASDAQ:AAL) worth buying? Let’s look at what’s happening off and on the price chart of AAL stock, then offer a risk-adjusted determination aligned with those findings.
AAL Stock Weekly Price Chart But is today’s American Airlines (NASDAQ:AAL) worth buying? Let’s look at what’s happening off and on the price chart of AAL stock, then offer a risk-adjusted determination aligned with those findings.
AAL Stock Had Company Of course, AAL stock was far from alone. Source: Charts by TradingView Since Covid’s bottom in March 2020 AAL stock has gone from the group’s most dogged worst-in-breed to 2021’s best-performing airliner. But is today’s American Airlines (NASDAQ:AAL) worth buying?
AAL Stock Had Company Of course, AAL stock was far from alone. AAL Stock Weekly Price Chart But is today’s American Airlines (NASDAQ:AAL) worth buying?
4307.0
2021-07-21 00:00:00 UTC
US STOCKS-Wall Street rises on upbeat earnings, recovery optimism
AAL
https://www.nasdaq.com/articles/us-stocks-wall-street-rises-on-upbeat-earnings-recovery-optimism-2021-07-21
nan
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By Devik Jain and Shreyashi Sanyal July 21 (Reuters) - Wall Street's main indexes rose on Wednesday as upbeat quarterly results from companies including Verizon and Coca-Cola reignited optimism about the health of corporate America. Coca-Cola Co KO.N rose 1.9% after boosting its full-year sales forecast, while Verizon Communications Inc VZ.N added 1.1% after it beat estimates for quarterly results. "Everybody knows this is going to be the biggest year-over-year growth rate for earnings in the second quarter," said Tom Martin, senior portfolio manager at GLOBALT Investments. Wall Street ended sharply higher on Tuesday, rebounding from a multi-day losing streak, as a string of upbeat earnings reports and revived economic optimism fueled a risk-on rally. "There-is-no-alternative (TINA) and fear-of-missing-out (FOMO) are driving the market higher. Every time there's a dip in the market, people think that's the opportunity to put more money to work," Martin said. Ten of the 11 major S&P sectors advanced in early trading, with economically sensitive industrials .SPLRCI, materials .SPLRCM, financials .SPSY and energy .SPNY leading gains. The rate-sensitive banking sub-index .SPXBK added 1.9%, tracking Treasury yields. US/ Market participants are also closely watching the second-quarter earnings season to justify sky-high valuations at which the market trades right now. For the year so far, the benchmark S&P 500 index .SPX has gained 15.8% on optimism about a stronger recovery due to vaccinations and favorable monetary policy. United Airlines UAL.O rose 4.2% after its revenue quadrupled from a year ago and topped estimates with a strong domestic travel rebound. Rivals American Airlines AAL.O and Southwest Airlines LUV.N added more than 3.5% each ahead of their results on Thursday. However, a weak subscriber growth projection by Netflix Inc NFLX.O, which benefited from the stay-at-home environment last year, pushed its shares down 3.6%. At 10:07 a.m. ET, the Dow Jones Industrial Average .DJI was up 267.57 points, or 0.78%, at 34,779.56, the S&P 500 .SPX was up 25.89 points, or 0.60%, at 4,348.95 and the Nasdaq Composite .IXIC was up 59.54 points, or 0.41%, at 14,558.42. Chipotle Mexican Grill Inc CMG.N gained 9.2% as brokerages raised their price targets on the burrito chain's stock after it beat estimates for earnings and comparable quarterly sales. Interpublic Group of Companies IPG.N jumped 13.4% to the top of the S&P 500 index after the advertising firm posted an upbeat second-quarter profit. Johnson & Johnson JNJ.N edged 0.1% after the drugmaker forecast upbeat 2021 earnings, while Harley-Davidson Inc HOG.N fell 3.6% even as it reported a better-than-expected quarterly profit. Advancing issues outnumbered decliners by a 3.88-to-1 ratio on the NYSE and by a 3.20-to-1 ratio on the Nasdaq. The S&P index recorded 31 new 52-week highs and no new low, while the Nasdaq recorded 31 new highs and 19 new lows. U.S. stock market's rising valuationhttps://tmsnrt.rs/3BswcD2 (Reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; Editing by Maju Samuel) ((Shreyashi.Sanyal@thomsonreuters.com; +1 646 223 8780; +91 961 144 3740; Twitter: https://twitter.com/s_shreyashi;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added more than 3.5% each ahead of their results on Thursday. By Devik Jain and Shreyashi Sanyal July 21 (Reuters) - Wall Street's main indexes rose on Wednesday as upbeat quarterly results from companies including Verizon and Coca-Cola reignited optimism about the health of corporate America. Wall Street ended sharply higher on Tuesday, rebounding from a multi-day losing streak, as a string of upbeat earnings reports and revived economic optimism fueled a risk-on rally.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added more than 3.5% each ahead of their results on Thursday. By Devik Jain and Shreyashi Sanyal July 21 (Reuters) - Wall Street's main indexes rose on Wednesday as upbeat quarterly results from companies including Verizon and Coca-Cola reignited optimism about the health of corporate America. Coca-Cola Co KO.N rose 1.9% after boosting its full-year sales forecast, while Verizon Communications Inc VZ.N added 1.1% after it beat estimates for quarterly results.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added more than 3.5% each ahead of their results on Thursday. By Devik Jain and Shreyashi Sanyal July 21 (Reuters) - Wall Street's main indexes rose on Wednesday as upbeat quarterly results from companies including Verizon and Coca-Cola reignited optimism about the health of corporate America. Wall Street ended sharply higher on Tuesday, rebounding from a multi-day losing streak, as a string of upbeat earnings reports and revived economic optimism fueled a risk-on rally.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added more than 3.5% each ahead of their results on Thursday. By Devik Jain and Shreyashi Sanyal July 21 (Reuters) - Wall Street's main indexes rose on Wednesday as upbeat quarterly results from companies including Verizon and Coca-Cola reignited optimism about the health of corporate America. Coca-Cola Co KO.N rose 1.9% after boosting its full-year sales forecast, while Verizon Communications Inc VZ.N added 1.1% after it beat estimates for quarterly results.
4308.0
2021-07-21 00:00:00 UTC
US STOCKS-Upbeat earnings, recovery optimism set S&P 500, Dow for higher open
AAL
https://www.nasdaq.com/articles/us-stocks-upbeat-earnings-recovery-optimism-set-sp-500-dow-for-higher-open-2021-07-21
nan
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By Devik Jain July 21 (Reuters) - The S&P 500 and Dow indexes were set to rise on Wednesday as upbeat quarterly results from companies including Johnson & Johnson and Coca-Cola reignited optimism about the health of corporate America. Johnson & Johnson JNJ.N gained 1.2% in premarket trading after the drugmaker forecast upbeat 2021 earnings, while Harley-Davidson Inc HOG.N added 1.8% as it reported abetter-than-expected quarterly profit. Coca-Cola Co KO.N rose 2.6% after boosting its full-year sales forecast, while health insurer Anthem Inc ANTM.N added 1.3% on raising its 2021 earnings target. "Everybody knows this is going to be the biggest year-over-year growth rate for earnings in the second quarter," said Tom Martin, senior portfolio manager at GLOBALT Investments. Wall Street ended sharply higher on Tuesday, rebounding from a multi-day losing streak, as a string of upbeat earnings reports and revived economic optimism fueled a risk-on rally. "There-is-no-alternative (TINA) and fear-of-missing-out (FOMO) are driving the market higher. Every time there's a dip in the market, people think that's the opportunity to put more money to work," Martin said. Still, a weak subscriber growth projection by Netflix Inc NFLX.O, the first to report earnings from the FAANG group, pushed its shares down 0.7% and set the teach-heavy Nasdaq .IXIC for a lower open. Analysts expect annual S&P earnings growth of 72.9% for the April-June period, a significant improvement over the 54% growth seen at the beginning of the quarter, according to Refinitiv data. Market participants are also closely watching the second-quarter earnings season to justify sky-high valuations at which the market trades right now. For the year so far, the benchmark S&P 500 index .SPX has gained 15.1% on optimism about a stronger recovery due to vaccinations and favorable monetary policy. Energy stocks Chevron Corp CVX.N, Exxon Mobil XOM.N, Schlumberger NV SLB.N, Occidental Petroleum OXY.N, Marathon Oil MRO.N, and Halliburton HAL.N climbed between 1.2% and 3.2%, tracking higher oil prices. O/R United Airlines UAL.O rose 1.6% after its revenue quadrupled from a year ago and topped estimates with a strong domestic travel rebound. Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 1.2% and 1.4%, respectively, ahead of their results on Thursday. Rate-sensitive lenders Morgan Stanley MS.N, Wells Fargo & Co WFC.N, Citigroup C.N, Goldman Sachs GS.N, Bank of America Corp BAC.N and JPMorgan & Chase JPM.N were up over 1% each. US/ At 8:38 a.m. ET, Dow e-minis 1YMcv1 were up 142 points, or 0.41%, S&P 500 e-minis EScv1 were up 9.25 points, or 0.21%, and Nasdaq 100 e-minis NQcv1 were down 19.75 points, or 0.13%. Chipotle Mexican Grill Inc CMG.N jumped 4.6% as brokerages raised their price targets on the burrito chain's stock after it beat estimates for earnings and comparable quarterly sales. (Reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; editing by Uttaresh.V and Maju Samuel) ((Devik.Jain@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2062; ;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 1.2% and 1.4%, respectively, ahead of their results on Thursday. Wall Street ended sharply higher on Tuesday, rebounding from a multi-day losing streak, as a string of upbeat earnings reports and revived economic optimism fueled a risk-on rally. Still, a weak subscriber growth projection by Netflix Inc NFLX.O, the first to report earnings from the FAANG group, pushed its shares down 0.7% and set the teach-heavy Nasdaq .IXIC for a lower open.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 1.2% and 1.4%, respectively, ahead of their results on Thursday. By Devik Jain July 21 (Reuters) - The S&P 500 and Dow indexes were set to rise on Wednesday as upbeat quarterly results from companies including Johnson & Johnson and Coca-Cola reignited optimism about the health of corporate America. Johnson & Johnson JNJ.N gained 1.2% in premarket trading after the drugmaker forecast upbeat 2021 earnings, while Harley-Davidson Inc HOG.N added 1.8% as it reported abetter-than-expected quarterly profit.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 1.2% and 1.4%, respectively, ahead of their results on Thursday. By Devik Jain July 21 (Reuters) - The S&P 500 and Dow indexes were set to rise on Wednesday as upbeat quarterly results from companies including Johnson & Johnson and Coca-Cola reignited optimism about the health of corporate America. Johnson & Johnson JNJ.N gained 1.2% in premarket trading after the drugmaker forecast upbeat 2021 earnings, while Harley-Davidson Inc HOG.N added 1.8% as it reported abetter-than-expected quarterly profit.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 1.2% and 1.4%, respectively, ahead of their results on Thursday. Coca-Cola Co KO.N rose 2.6% after boosting its full-year sales forecast, while health insurer Anthem Inc ANTM.N added 1.3% on raising its 2021 earnings target. "Everybody knows this is going to be the biggest year-over-year growth rate for earnings in the second quarter," said Tom Martin, senior portfolio manager at GLOBALT Investments.
4309.0
2021-07-21 00:00:00 UTC
Pre-Market Most Active for Jul 21, 2021 : AMC, APRE, SOS, SQQQ, CCL, AZN, AAPL, CARR, AAL, QQQ, BP, F
AAL
https://www.nasdaq.com/articles/pre-market-most-active-for-jul-21-2021-%3A-amc-apre-sos-sqqq-ccl-azn-aapl-carr-aal-qqq-bp-f
nan
nan
The NASDAQ 100 Pre-Market Indicator is down -3.66 to 14,724.55. The total Pre-Market volume is currently 14,933,332 shares traded. The following are the most active stocks for the pre-market session: AMC Entertainment Holdings, Inc. (AMC) is -1.03 at $42.06, with 3,079,204 shares traded. AMC's current last sale is 560.8% of the target price of $7.5. Aprea Therapeutics, Inc. (APRE) is +0.4 at $5.47, with 1,727,384 shares traded. APRE's current last sale is 91.17% of the target price of $6. SOS Limited (SOS) is +0.32 at $2.77, with 1,557,447 shares traded. ProShares UltraPro Short QQQ (SQQQ) is +0.03 at $8.82, with 1,240,991 shares traded. This represents a 6.01% increase from its 52 Week Low. Carnival Corporation (CCL) is +0.5238 at $21.71, with 920,849 shares traded. CCL's current last sale is 72.38% of the target price of $30. Astrazeneca PLC (AZN) is +0.58 at $58.12, with 582,938 shares traded. As reported in the last short interest update the days to cover for AZN is 20.978746; this calculation is based on the average trading volume of the stock. Apple Inc. (AAPL) is -0.05 at $146.10, with 566,843 shares traded.AAPL is scheduled to provide an earnings report on 7/27/2021, for the fiscal quarter ending Jun2021. The consensus earnings per share forecast is 1 per share, which represents a 64 percent increase over the EPS one Year Ago Carrier Global Corporation (CARR) is unchanged at $49.90, with 548,079 shares traded., following a 52-week high recorded in prior regular session. American Airlines Group, Inc. (AAL) is +0.39 at $20.95, with 499,118 shares traded. Over the last four weeks they have had 5 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2021. The consensus EPS forecast is $-1.7. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. The consensus earnings per share forecast is -1.7 per share, which represents a -782 percent increase over the EPS one Year Ago Invesco QQQ Trust, Series 1 (QQQ) is -0.48 at $358.31, with 492,076 shares traded. This represents a 42.57% increase from its 52 Week Low. BP p.l.c. (BP) is +0.6 at $23.71, with 463,165 shares traded. BP's current last sale is 84.68% of the target price of $28. Ford Motor Company (F) is +0.18 at $14.09, with 402,225 shares traded. As reported by Zacks, the current mean recommendation for F is in the "buy range". The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines Group, Inc. (AAL) is +0.39 at $20.95, with 499,118 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. As reported in the last short interest update the days to cover for AZN is 20.978746; this calculation is based on the average trading volume of the stock.
American Airlines Group, Inc. (AAL) is +0.39 at $20.95, with 499,118 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. Apple Inc. (AAPL) is -0.05 at $146.10, with 566,843 shares traded.AAPL is scheduled to provide an earnings report on 7/27/2021, for the fiscal quarter ending Jun2021.
American Airlines Group, Inc. (AAL) is +0.39 at $20.95, with 499,118 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. The consensus earnings per share forecast is 1 per share, which represents a 64 percent increase over the EPS one Year Ago
American Airlines Group, Inc. (AAL) is +0.39 at $20.95, with 499,118 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. AMC's current last sale is 560.8% of the target price of $7.5.
4310.0
2021-07-21 00:00:00 UTC
Pre-Market Most Active for Jul 21, 2021 : AMC, APRE, SOS, SQQQ, CCL, AZN, AAPL, CARR, AAL, QQQ, BP, F
AAL
https://www.nasdaq.com/articles/pre-market-most-active-for-jul-21-2021-%3A-amc-apre-sos-sqqq-ccl-azn-aapl-carr-aal-qqq-bp-0
nan
nan
The NASDAQ 100 Pre-Market Indicator is down -3.66 to 14,724.55. The total Pre-Market volume is currently 14,933,332 shares traded. The following are the most active stocks for the pre-market session: AMC Entertainment Holdings, Inc. (AMC) is -1.03 at $42.06, with 3,079,204 shares traded. AMC's current last sale is 560.8% of the target price of $7.5. Aprea Therapeutics, Inc. (APRE) is +0.4 at $5.47, with 1,727,384 shares traded. APRE's current last sale is 91.17% of the target price of $6. SOS Limited (SOS) is +0.32 at $2.77, with 1,557,447 shares traded. ProShares UltraPro Short QQQ (SQQQ) is +0.03 at $8.82, with 1,240,991 shares traded. This represents a 6.01% increase from its 52 Week Low. Carnival Corporation (CCL) is +0.5238 at $21.71, with 920,849 shares traded. CCL's current last sale is 72.38% of the target price of $30. Astrazeneca PLC (AZN) is +0.58 at $58.12, with 582,938 shares traded. As reported in the last short interest update the days to cover for AZN is 20.978746; this calculation is based on the average trading volume of the stock. Apple Inc. (AAPL) is -0.05 at $146.10, with 566,843 shares traded.AAPL is scheduled to provide an earnings report on 7/27/2021, for the fiscal quarter ending Jun2021. The consensus earnings per share forecast is 1 per share, which represents a 64 percent increase over the EPS one Year Ago Carrier Global Corporation (CARR) is unchanged at $49.90, with 548,079 shares traded., following a 52-week high recorded in prior regular session. American Airlines Group, Inc. (AAL) is +0.39 at $20.95, with 499,118 shares traded. Over the last four weeks they have had 5 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2021. The consensus EPS forecast is $-1.7. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. The consensus earnings per share forecast is -1.7 per share, which represents a -782 percent increase over the EPS one Year Ago Invesco QQQ Trust, Series 1 (QQQ) is -0.48 at $358.31, with 492,076 shares traded. This represents a 42.57% increase from its 52 Week Low. BP p.l.c. (BP) is +0.6 at $23.71, with 463,165 shares traded. BP's current last sale is 84.68% of the target price of $28. Ford Motor Company (F) is +0.18 at $14.09, with 402,225 shares traded. As reported by Zacks, the current mean recommendation for F is in the "buy range". The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines Group, Inc. (AAL) is +0.39 at $20.95, with 499,118 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. As reported in the last short interest update the days to cover for AZN is 20.978746; this calculation is based on the average trading volume of the stock.
American Airlines Group, Inc. (AAL) is +0.39 at $20.95, with 499,118 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. Apple Inc. (AAPL) is -0.05 at $146.10, with 566,843 shares traded.AAPL is scheduled to provide an earnings report on 7/27/2021, for the fiscal quarter ending Jun2021.
American Airlines Group, Inc. (AAL) is +0.39 at $20.95, with 499,118 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. The consensus earnings per share forecast is 1 per share, which represents a 64 percent increase over the EPS one Year Ago
American Airlines Group, Inc. (AAL) is +0.39 at $20.95, with 499,118 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. AMC's current last sale is 560.8% of the target price of $7.5.
4311.0
2021-07-21 00:00:00 UTC
US STOCKS-Upbeat earnings, recovery optimism lift Wall St futures
AAL
https://www.nasdaq.com/articles/us-stocks-upbeat-earnings-recovery-optimism-lift-wall-st-futures-2021-07-21
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By Devik Jain July 21 (Reuters) - U.S. stock index futures rose on Wednesday, helped by upbeat quarterly results and forecasts from companies such as Johnson & Johnson and Harley Davidson, while shares linked to economic growth also climbed. Johnson & Johnson JNJ.N gained 1.2% in premarket trading after the drugmaker forecast upbeat 2021 earnings, while Harley-Davidson Inc HOG.N added 3.5% as it reported a second straight quarterly profit. Wall Street ended sharply higher on Tuesday, rebounding from a multi-day losing streak, as a string of upbeat earnings reports and revived economic optimism fueled a risk-on rally. Netflix Inc NFLX.O, the first to report earnings from the FAANG group, said it would make a deeper dive into video games as the movie and TV streaming service projected weak subscriber growth. Its shares fell 0.3%. Coca-Cola Co KO.N gained 3% after the world's largest soda maker raised its full-year sales forecast, as demand for its beverages rebounds due to re-opening of theaters, restaurants and stadiums. Analysts expect annual S&P earnings growth of 72.9% for the April-June period, a significant improvement over the 54% growth seen at the beginning of the quarter, according to Refinitiv data. Market participants are also closely watching the second-quarter earnings season to justify sky-high valuations at which the market trades right now. For the year so far, the benchmark S&P 500 index .SPX has gained 15.1% on optimism about a stronger recovery due to vaccinations and favorable monetary policy. Energy stocks Chevron Corp CVX.N, Exxon Mobil XOM.N, Schlumberger NV SLB.N, Occidental Petroleum OXY.N, Marathon Oil MRO.N, and Halliburton HAL.N climbed between 1.1% and 2.9%, tracking higher oil prices. O/R United Airlines UAL.O rose 1.6%, after its revenue quadrupled from a year ago and topped estimates with a strong domestic travel rebound. Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 0.8% and 1.4%, respectively, ahead of their results on Thursday. Rate-sensitive lenders Morgan Stanley MS.N, Wells Fargo & Co WFC.N, Citigroup C.N, Goldman Sachs GS.N, Bank of America Corp BAC.N, and JPMorgan & Chase JPM.N were up between 0.3% and 1.2%. US/ At 6:47 a.m. ET, Dow e-minis 1YMcv1 were up 173 points, or 0.5%, S&P 500 e-minis EScv1 were up 15.25 points, or 0.35%, and Nasdaq 100 e-minis NQcv1 were up 6.25 points, or 0.04%. Chipotle Mexican Grill Inc CMG.N jumped 5.3% as brokerages raised their price targets on the burrito chain's stock after it beat estimates for earnings and comparable quarterly sales. (Reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; editing by Uttaresh.V) ((Devik.Jain@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2062; ;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 0.8% and 1.4%, respectively, ahead of their results on Thursday. Wall Street ended sharply higher on Tuesday, rebounding from a multi-day losing streak, as a string of upbeat earnings reports and revived economic optimism fueled a risk-on rally. Netflix Inc NFLX.O, the first to report earnings from the FAANG group, said it would make a deeper dive into video games as the movie and TV streaming service projected weak subscriber growth.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 0.8% and 1.4%, respectively, ahead of their results on Thursday. By Devik Jain July 21 (Reuters) - U.S. stock index futures rose on Wednesday, helped by upbeat quarterly results and forecasts from companies such as Johnson & Johnson and Harley Davidson, while shares linked to economic growth also climbed. Johnson & Johnson JNJ.N gained 1.2% in premarket trading after the drugmaker forecast upbeat 2021 earnings, while Harley-Davidson Inc HOG.N added 3.5% as it reported a second straight quarterly profit.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 0.8% and 1.4%, respectively, ahead of their results on Thursday. By Devik Jain July 21 (Reuters) - U.S. stock index futures rose on Wednesday, helped by upbeat quarterly results and forecasts from companies such as Johnson & Johnson and Harley Davidson, while shares linked to economic growth also climbed. Johnson & Johnson JNJ.N gained 1.2% in premarket trading after the drugmaker forecast upbeat 2021 earnings, while Harley-Davidson Inc HOG.N added 3.5% as it reported a second straight quarterly profit.
Rivals American Airlines AAL.O and Southwest Airlines LUV.N added 0.8% and 1.4%, respectively, ahead of their results on Thursday. By Devik Jain July 21 (Reuters) - U.S. stock index futures rose on Wednesday, helped by upbeat quarterly results and forecasts from companies such as Johnson & Johnson and Harley Davidson, while shares linked to economic growth also climbed. Wall Street ended sharply higher on Tuesday, rebounding from a multi-day losing streak, as a string of upbeat earnings reports and revived economic optimism fueled a risk-on rally.
4312.0
2021-07-20 00:00:00 UTC
Why Airline Stocks Are Higher Today
AAL
https://www.nasdaq.com/articles/why-airline-stocks-are-higher-today-2021-07-20
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What happened As always, Wall Street is a battle between fear and greed. A day after fears about the coronavirus delta variant caused airline stocks to tumble, bargain hunters have stepped in looking for opportunities, causing the shares to rally higher. JetBlue Airways (NASDAQ: JBLU) led the way on Tuesday, up as much as 6.8%, while American Airlines Group (NASDAQ: AAL), United Airlines Holdings (NASDAQ: UAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and Spirit Airlines (NYSE: SAVE) each gained 5% or more. Image source: Getty Images. So what Airline investors have had to buckle up and ride through a lot of turbulence over the past year-plus. The pandemic's initial surge caused equities to plummet and raised fears about solvency, but the industry survived and rallied into 2021 as vaccine deployment picked up pace and pent-up demand for vacations caused sales to rebound. We've been on the downswing of late, however, as investors fret about a resurgence in COVID-19 cases and look ahead to an uncertain fall travel season once summer vacations are in the past. Airline shares fell more than the market on Monday, a brutal day for equities, on reports that a growing number of cases could lead to new travel restrictions or border closings. But a day later, markets are back in rally mode and the airlines are going along for the ride. A number of Wall Street analysts who cover the airlines put out notes downplaying the risk of new restrictions, and the stocks have apparently fallen to levels where investors are willing to take a little more risk. Delta, for example, at its lows Monday was actually down for the year. That's compared to May, when the shares were up more than 20% year to date. Airline data by YCharts Now what Truth is, more than a year into the pandemic we still aren't entirely sure what we are up against or when it will be behind us. But we have seen enough to have a reasonable amount of confidence that the airlines can weather the storm. The question is how fast a recovery will happen, and how many more bumps we'll have along the way. Although dramatic swings like the ones that have happened over the last two days (hopefully) will not become the norm, investors should expect some turbulence up ahead. The stocks are going to move on sentiment and the latest headlines about the virus as well as what the pandemic might mean for the economy. We said back in March that airlines looked overvalued relative to their recovery progress. After the recent sell-off that is no longer the case, and investors who have the stomach for some choppy air and are willing to hold for the long haul will find decent value in industry leaders like Southwest and Delta. Others are likely to take longer than their peers to recover and should be avoided. If Monday was a brutal reminder that the pandemic still weighs heavily on investor sentiment, Tuesday would be an indication there are still optimists looking for opportunities to buy in. 10 stocks we like better than Southwest Airlines When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Southwest Airlines wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines and Spirit Airlines. The Motley Fool owns shares of and recommends Spirit Airlines. The Motley Fool recommends Delta Air Lines, JetBlue Airways, and Southwest Airlines. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
JetBlue Airways (NASDAQ: JBLU) led the way on Tuesday, up as much as 6.8%, while American Airlines Group (NASDAQ: AAL), United Airlines Holdings (NASDAQ: UAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and Spirit Airlines (NYSE: SAVE) each gained 5% or more. We've been on the downswing of late, however, as investors fret about a resurgence in COVID-19 cases and look ahead to an uncertain fall travel season once summer vacations are in the past. Airline shares fell more than the market on Monday, a brutal day for equities, on reports that a growing number of cases could lead to new travel restrictions or border closings.
JetBlue Airways (NASDAQ: JBLU) led the way on Tuesday, up as much as 6.8%, while American Airlines Group (NASDAQ: AAL), United Airlines Holdings (NASDAQ: UAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and Spirit Airlines (NYSE: SAVE) each gained 5% or more. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines and Spirit Airlines. The Motley Fool recommends Delta Air Lines, JetBlue Airways, and Southwest Airlines.
JetBlue Airways (NASDAQ: JBLU) led the way on Tuesday, up as much as 6.8%, while American Airlines Group (NASDAQ: AAL), United Airlines Holdings (NASDAQ: UAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and Spirit Airlines (NYSE: SAVE) each gained 5% or more. A day after fears about the coronavirus delta variant caused airline stocks to tumble, bargain hunters have stepped in looking for opportunities, causing the shares to rally higher. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines and Spirit Airlines.
JetBlue Airways (NASDAQ: JBLU) led the way on Tuesday, up as much as 6.8%, while American Airlines Group (NASDAQ: AAL), United Airlines Holdings (NASDAQ: UAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and Spirit Airlines (NYSE: SAVE) each gained 5% or more. If Monday was a brutal reminder that the pandemic still weighs heavily on investor sentiment, Tuesday would be an indication there are still optimists looking for opportunities to buy in. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines and Spirit Airlines.
4313.0
2021-07-20 00:00:00 UTC
The Only Options Strategy You Need For 1,000% Gains
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https://www.nasdaq.com/articles/the-only-options-strategy-you-need-for-1000-gains-2021-07-20
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips Have you ever bought anything used? It could be a car, a house or a $5 blender from a yard sale. They all have something in common: Source: Shutterstock The old owner usually knows more about what they’re selling than you do. This phenomenon is known as information asymmetry, a fact that has also long haunted stock investors. Current shareholders (whether insiders or public) often know more about the company than new buyers. And if they are selling shares to us, shouldn’t we be suspicious of why they’re letting go? But there’s one corner of the market that’s free from this bias: options. That’s because when we buy options on a stock (i.e., a bet whether the underlying stock will go up or down), we’re not transacting with a fellow shareholder. Instead, we’re buying it from a fully hedged market maker who doesn’t care which direction the stock goes. 7 Great Momentum Stocks to Buy Before July Ends Today, we’re going to look at how to use this insight to advantage by using long-dated call options, known as LEAPS. Rising Stars: LEAPS of Faith LEAPs, or Long-Term Equity AnticiPation Securities, are long-dated options, often with a year or more until expiration. (If you want to know more about options trading, you can learn from the InvestorPlace.com Options MasterClass here). And in the world of Moonshots, we’re going to focus on call options — the right (but not the obligation) to buy a stock at a specified price. That’s because LEAPS are unusually cheap for their unlimited upside. Today, you can buy $80 calls Exxon Mobil (NYSE:XOM) calls expiring in 2022 for 32 cents. And if XOM rises back to its pre-pandemic average of $83 before they lapse, the LEAPS would be worth 10x. The results can be staggering. $10,000 invested in AMC (NYSE:AMC) calls with a $30 August 2021 strike price would have turned into $188,000. If you have above-average insight into a stock, LEAPS are one of the best ways to capitalize on that knowledge. Ground Rules for LEAPS Better Information Market makers price the average option to earn a small profit. That means the only time we’ll bet is if we have better information than a 50-50 coin flip. Out-of-the-Money Only We’re going to focus on low-cost out-of-the-money options. When your option rises to $5, it helps if you had an entry price of 3 cents rather than $3. >2x Potential in the Underlying Asset Moonshot investing involves finding big winners. That means we want to find companies that are not only cheap but also have the potential to grow 2x to 5x in the next 12 months. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
7 Great Momentum Stocks to Buy Before July Ends Today, we’re going to look at how to use this insight to advantage by using long-dated call options, known as LEAPS. And in the world of Moonshots, we’re going to focus on call options — the right (but not the obligation) to buy a stock at a specified price. Ground Rules for LEAPS Better Information Market makers price the average option to earn a small profit.
Today, you can buy $80 calls Exxon Mobil (NYSE:XOM) calls expiring in 2022 for 32 cents. $10,000 invested in AMC (NYSE:AMC) calls with a $30 August 2021 strike price would have turned into $188,000. Ground Rules for LEAPS Better Information Market makers price the average option to earn a small profit.
That’s because when we buy options on a stock (i.e., a bet whether the underlying stock will go up or down), we’re not transacting with a fellow shareholder. 7 Great Momentum Stocks to Buy Before July Ends Today, we’re going to look at how to use this insight to advantage by using long-dated call options, known as LEAPS. And in the world of Moonshots, we’re going to focus on call options — the right (but not the obligation) to buy a stock at a specified price.
That’s because when we buy options on a stock (i.e., a bet whether the underlying stock will go up or down), we’re not transacting with a fellow shareholder. And in the world of Moonshots, we’re going to focus on call options — the right (but not the obligation) to buy a stock at a specified price. That means we want to find companies that are not only cheap but also have the potential to grow 2x to 5x in the next 12 months.
4314.0
2021-07-20 00:00:00 UTC
Air Canada has enough pilots to meet demand as U.S. tourists return
AAL
https://www.nasdaq.com/articles/air-canada-has-enough-pilots-to-meet-demand-as-u.s.-tourists-return-2021-07-20-0
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Adds union and WestJet comment, closing price MONTREAL, July 20 (Reuters) - Canada's largest carrier Air Canada AC.TO said on Tuesday it has all the qualified pilots it needs to meet higher travel demand with the planned return of U.S. tourists to the country. Canada on Monday said it would allow fully vaccinated U.S. tourists to enter the country starting from Aug. 9, after the COVID-19 pandemic forced an unprecedented 16-month ban. A rapid return in traffic can create staffing headaches for carriers which cancelled thousands of flights during the COVID-19 pandemic when demand plummeted. Some U.S. airlines scrambled to re-train pilots whose flying credentials expired during the pandemic as the carriers raced to meet a surge in summer travel demand. American Airlines AAL.O, for example, trimmed its July flying due to overall labor shortages. Air Canada has 600, or around 15% of an estimated 4,000 pilots on furlough, according to the Air Canada Pilots Association. Montreal-based Air Canada said by email the carrier took steps during the pandemic to keep pilots in the air, such as by having three pilots instead of two on some flights. "We have all the fully qualified pilots we require as travel ramps back up," an Air Canada spokesperson said. Air Canada has 11 simulators and access to five more through aviation training specialist CAE CAE.TO. Montreal-based CAE has seen higher demand for its simulator services, with its pilot-training centers now operating at around 60% of capacity in the United States, a spokeswoman said. Air Canada shares closed up 6.48%. The carrier reports quarterly earnings on Friday. Air Canada's smaller rival WestJet Airlines said it continues to recall professionals, "who in many cases have been furloughed for many months." WestJet also said it is not actively "pursuing financial support" from the Canadian government, despite holding earlier talks. Air Canada (AC.TO) reached a deal in April for a government aid package. (Reporting by Allison Lampert in Montreal. Additional reporting by Tracy Rucinski in Chicago; Editing by Sandra Maler and Richard Pullin) ((Allison.Lampert@thomsonreuters.com; + 1 514-796-4212; Reuters Messaging: allison.lampert.reuters.com@reuters.net)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines AAL.O, for example, trimmed its July flying due to overall labor shortages. A rapid return in traffic can create staffing headaches for carriers which cancelled thousands of flights during the COVID-19 pandemic when demand plummeted. Some U.S. airlines scrambled to re-train pilots whose flying credentials expired during the pandemic as the carriers raced to meet a surge in summer travel demand.
American Airlines AAL.O, for example, trimmed its July flying due to overall labor shortages. Adds union and WestJet comment, closing price MONTREAL, July 20 (Reuters) - Canada's largest carrier Air Canada AC.TO said on Tuesday it has all the qualified pilots it needs to meet higher travel demand with the planned return of U.S. tourists to the country. Air Canada has 600, or around 15% of an estimated 4,000 pilots on furlough, according to the Air Canada Pilots Association.
American Airlines AAL.O, for example, trimmed its July flying due to overall labor shortages. Adds union and WestJet comment, closing price MONTREAL, July 20 (Reuters) - Canada's largest carrier Air Canada AC.TO said on Tuesday it has all the qualified pilots it needs to meet higher travel demand with the planned return of U.S. tourists to the country. Air Canada has 600, or around 15% of an estimated 4,000 pilots on furlough, according to the Air Canada Pilots Association.
American Airlines AAL.O, for example, trimmed its July flying due to overall labor shortages. Adds union and WestJet comment, closing price MONTREAL, July 20 (Reuters) - Canada's largest carrier Air Canada AC.TO said on Tuesday it has all the qualified pilots it needs to meet higher travel demand with the planned return of U.S. tourists to the country. Air Canada has 600, or around 15% of an estimated 4,000 pilots on furlough, according to the Air Canada Pilots Association.
4315.0
2021-07-20 00:00:00 UTC
Air Canada has enough pilots to meet demand as U.S. tourists return
AAL
https://www.nasdaq.com/articles/air-canada-has-enough-pilots-to-meet-demand-as-u.s.-tourists-return-2021-07-20
nan
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MONTREAL, July 20 (Reuters) - Canada's largest carrier Air Canada AC.TO said on Tuesday it has all the "fully qualified" pilots it needs to meet higher travel demand with the planned return of U.S. tourists to the country. Canada on Monday said it would allow fully vaccinated U.S. tourists to enter the country starting from Aug. 9, after the COVID-19 pandemic forced an unprecedented 16-month ban. A rapid return in traffic can create staffing headaches for carriers which cancelled thousands of flights during the COVID-19 pandemic when demand plummeted. Some U.S. airlines scrambled to re-train pilots whose flying credentials expired during the pandemic as the carriers raced to meet a surge in summer travel demand. American Airlines AAL.O, for example, trimmed its July flying due to overall labor shortages. As of April 13, Air Canada had 600 pilots on furlough, according to their union. The carrier had around 4,000 pilots before COVID-19, said a spokeswoman for the Air Canada Pilots Association. But Air Canada said by email the carrier took steps during the pandemic to keep pilots in the air, such as having three pilots instead of two, even on near-empty flights and converting larger aircraft to freighters. "We have all the fully qualified pilots we require as travel ramps back up," an Air Canada spokesperson said. Air Canada has 11 simulators and access to five more through aviation training specialist CAE CAE.TO. Montreal-based CAE has seen higher demand for its simulator services, with its pilot-training centers now operating at around 60% of capacity in the United States, a spokeswoman said. Air Canada shares were up 7% in afternoon trading. The carrier reports quarterly earnings on Friday. (Reporting by Allison Lampert in Montreal. Additional reporting by Tracy Rucinski in Chicago; Editing by Sandra Maler) ((Allison.Lampert@thomsonreuters.com; + 1 514-796-4212; Reuters Messaging: allison.lampert.reuters.com@reuters.net)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines AAL.O, for example, trimmed its July flying due to overall labor shortages. A rapid return in traffic can create staffing headaches for carriers which cancelled thousands of flights during the COVID-19 pandemic when demand plummeted. Some U.S. airlines scrambled to re-train pilots whose flying credentials expired during the pandemic as the carriers raced to meet a surge in summer travel demand.
American Airlines AAL.O, for example, trimmed its July flying due to overall labor shortages. MONTREAL, July 20 (Reuters) - Canada's largest carrier Air Canada AC.TO said on Tuesday it has all the "fully qualified" pilots it needs to meet higher travel demand with the planned return of U.S. tourists to the country. The carrier had around 4,000 pilots before COVID-19, said a spokeswoman for the Air Canada Pilots Association.
American Airlines AAL.O, for example, trimmed its July flying due to overall labor shortages. MONTREAL, July 20 (Reuters) - Canada's largest carrier Air Canada AC.TO said on Tuesday it has all the "fully qualified" pilots it needs to meet higher travel demand with the planned return of U.S. tourists to the country. The carrier had around 4,000 pilots before COVID-19, said a spokeswoman for the Air Canada Pilots Association.
American Airlines AAL.O, for example, trimmed its July flying due to overall labor shortages. MONTREAL, July 20 (Reuters) - Canada's largest carrier Air Canada AC.TO said on Tuesday it has all the "fully qualified" pilots it needs to meet higher travel demand with the planned return of U.S. tourists to the country. The carrier had around 4,000 pilots before COVID-19, said a spokeswoman for the Air Canada Pilots Association.
4316.0
2021-07-20 00:00:00 UTC
European stocks rebound after worst selloff of 2021
AAL
https://www.nasdaq.com/articles/european-stocks-rebound-after-worst-selloff-of-2021-2021-07-20-0
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By Sruthi Shankar July 20 (Reuters) - European stocks bounced back on Tuesday after their worst selloff this year in the previous session, helped by a handful of positive corporate earnings and production updates from miners. The pan-European STOXX 600 index .STOXX rose 0.8% after worries about the fast-spreading Delta variant and slowing economic growth knocked 2.3% off the index on Monday. Miners .SXPP, among the sectors that bore the brunt of the bruising selloff, rose 1.7% after BHP Group BHPB.L and Anglo American AAL.L provided upbeat production numbers. Swiss bank UBS UBSG.S climbed 4.6% after it posted a 63% jump in second-quarter net profit, helped by a booming wealth management business. Peers Credit Suisse CSGN.S and Julius Baer BAER.S also rose. "Although the U.S. economy is in a slowdown phase and we expect European growth to peak this summer, we continue to favour risk assets over a 12-month horizon," analysts at BCA Research wrote in a note. "The UK is a case in point — broad-based vaccinations are keeping hospitalisation rates there low despite the sharp jump in COVID-19 infections. Thus, the market impact of the Delta variant may ultimately prove fleeting in developed economies." British airline easyJet EZJ.L gained 1.9% after saying it plans to fly 60% of its pre-pandemic capacity in the July-September period. Europe's travel & leisure index .SXTP has fallen sharply from its April record highs, with travel-related stocks getting hit by soaring infections across the continent and last-minute changes to travel rules. The U.S. government on Monday issued the highest warning against travel to the United Kingdom. Among other stocks, Norwegian telecoms operator Telenor TEL.OL rose 2.6% after it raised its full-year revenue outlook. French spirits group Remy Cointreau RCOP.PA inched down 0.2% even as its first-quarter organic sales more than doubled after bars and restaurants reopened in Europe. Analysts expect profit at STOX 600 companies to jump 108.6% in the second quarter versus a year ago, as per Refinitiv IBES estimates, as COVID-19 restrictions eased across Europe. Sweden's AB Volvo VOLVb.ST fell 3.8% as it warned of further production disruptions and stoppages this year due to chip shortages. Home appliances maker Electrolux ELUXb.ST tumbled 9.7% after it reported a lower-than-expected second-quarter operating profit and warned global supply chain woes would worsen in coming months. Europe's travel & leisure index drops 17% from April peakhttps://tmsnrt.rs/3xTeZka (Reporting by Sruthi Shankar in Bengaluru; Editing by Arun Koyyur and Uttaresh.V) ((sruthi.shankar@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2787;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Miners .SXPP, among the sectors that bore the brunt of the bruising selloff, rose 1.7% after BHP Group BHPB.L and Anglo American AAL.L provided upbeat production numbers. By Sruthi Shankar July 20 (Reuters) - European stocks bounced back on Tuesday after their worst selloff this year in the previous session, helped by a handful of positive corporate earnings and production updates from miners. "Although the U.S. economy is in a slowdown phase and we expect European growth to peak this summer, we continue to favour risk assets over a 12-month horizon," analysts at BCA Research wrote in a note.
Miners .SXPP, among the sectors that bore the brunt of the bruising selloff, rose 1.7% after BHP Group BHPB.L and Anglo American AAL.L provided upbeat production numbers. Europe's travel & leisure index .SXTP has fallen sharply from its April record highs, with travel-related stocks getting hit by soaring infections across the continent and last-minute changes to travel rules. Home appliances maker Electrolux ELUXb.ST tumbled 9.7% after it reported a lower-than-expected second-quarter operating profit and warned global supply chain woes would worsen in coming months.
Miners .SXPP, among the sectors that bore the brunt of the bruising selloff, rose 1.7% after BHP Group BHPB.L and Anglo American AAL.L provided upbeat production numbers. By Sruthi Shankar July 20 (Reuters) - European stocks bounced back on Tuesday after their worst selloff this year in the previous session, helped by a handful of positive corporate earnings and production updates from miners. Europe's travel & leisure index .SXTP has fallen sharply from its April record highs, with travel-related stocks getting hit by soaring infections across the continent and last-minute changes to travel rules.
Miners .SXPP, among the sectors that bore the brunt of the bruising selloff, rose 1.7% after BHP Group BHPB.L and Anglo American AAL.L provided upbeat production numbers. By Sruthi Shankar July 20 (Reuters) - European stocks bounced back on Tuesday after their worst selloff this year in the previous session, helped by a handful of positive corporate earnings and production updates from miners. The pan-European STOXX 600 index .STOXX rose 0.8% after worries about the fast-spreading Delta variant and slowing economic growth knocked 2.3% off the index on Monday.
4317.0
2021-07-20 00:00:00 UTC
Diamonds and platinum sparkle in Anglo American's Q2 production
AAL
https://www.nasdaq.com/articles/diamonds-and-platinum-sparkle-in-anglo-americans-q2-production-2021-07-20
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Adds detail, background LONDON, July 20 (Reuters) - Anglo American's AAL.L production rose by 20% in the second quarter, helped by higher output of platinum and diamonds, the miner said on Tuesday, despite operations running at 95% of full capacity because of COVID-19 disruptions. Rough diamond production rose by 134% compared to the same period last year as consumer demand recovered, while platinum group metals production at South African unit Anglo American Platinum AMSJ.J increased by 59% to 1.06 million ounces. Copper output rose by 2% to 170,000 tonnes on higher production at Anglo's largest mine in Chile, Los Bronces. Anglo expects copper output to reach between 650,000 tonnes and 680,000 tonnes this year. That compares with previous guidance of 640,000 to 680,000 tonnes. Anglo's shares were up 1.8% at 0715 GMT. Iron ore and manganese output also rose, while coal and nickel production fell. The miner tightened its yearly output targets for diamonds to 32-33 million carats from 32-34 million previously, and for platinum group metal concentrates to 4.2-4.4 million ounces, from 4.2-4.6 million previously. "All things considered, Anglo appears to be operating relatively well," Jefferies analysts said. Metallurgical coal production fell by 25% in the second quarter to 3 million tonnes. Anglo American restarted underground mining at its Moranbah North metallurgical coal mine in Australia in June after a shutdown due to elevated gas levels. It said its Grosvenor coal mine, also in Australia and which was suspended after an explosion in May 2020, should restart at the end of this year. The London-listed miner in June spun off its South African thermal coal business into a new company and agreed to sell its stake in Colombia's Cerrejon, moving to complete its transition out of assets that mine the most polluting fossil fuel. [nL5N2NP1IB (Reporting by Clara Denina and Helen Reid, Editing by Mark Potter) ((Clara.Denina@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Adds detail, background LONDON, July 20 (Reuters) - Anglo American's AAL.L production rose by 20% in the second quarter, helped by higher output of platinum and diamonds, the miner said on Tuesday, despite operations running at 95% of full capacity because of COVID-19 disruptions. Copper output rose by 2% to 170,000 tonnes on higher production at Anglo's largest mine in Chile, Los Bronces. The London-listed miner in June spun off its South African thermal coal business into a new company and agreed to sell its stake in Colombia's Cerrejon, moving to complete its transition out of assets that mine the most polluting fossil fuel.
Adds detail, background LONDON, July 20 (Reuters) - Anglo American's AAL.L production rose by 20% in the second quarter, helped by higher output of platinum and diamonds, the miner said on Tuesday, despite operations running at 95% of full capacity because of COVID-19 disruptions. Rough diamond production rose by 134% compared to the same period last year as consumer demand recovered, while platinum group metals production at South African unit Anglo American Platinum AMSJ.J increased by 59% to 1.06 million ounces. Copper output rose by 2% to 170,000 tonnes on higher production at Anglo's largest mine in Chile, Los Bronces.
Adds detail, background LONDON, July 20 (Reuters) - Anglo American's AAL.L production rose by 20% in the second quarter, helped by higher output of platinum and diamonds, the miner said on Tuesday, despite operations running at 95% of full capacity because of COVID-19 disruptions. Rough diamond production rose by 134% compared to the same period last year as consumer demand recovered, while platinum group metals production at South African unit Anglo American Platinum AMSJ.J increased by 59% to 1.06 million ounces. The miner tightened its yearly output targets for diamonds to 32-33 million carats from 32-34 million previously, and for platinum group metal concentrates to 4.2-4.4 million ounces, from 4.2-4.6 million previously.
Adds detail, background LONDON, July 20 (Reuters) - Anglo American's AAL.L production rose by 20% in the second quarter, helped by higher output of platinum and diamonds, the miner said on Tuesday, despite operations running at 95% of full capacity because of COVID-19 disruptions. Rough diamond production rose by 134% compared to the same period last year as consumer demand recovered, while platinum group metals production at South African unit Anglo American Platinum AMSJ.J increased by 59% to 1.06 million ounces. Copper output rose by 2% to 170,000 tonnes on higher production at Anglo's largest mine in Chile, Los Bronces.
4318.0
2021-07-20 00:00:00 UTC
Why These Stocks Will Take Off Again
AAL
https://www.nasdaq.com/articles/why-these-stocks-will-take-off-again-2021-07-20
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips If you thought yesterday’s 2% drop in the overall market was nauseating, don’t check out airline stocks. Source: frank_peters / Shutterstock.com They took an absolute pounding. But if you can stand the pain, last time I checked… American Airlines Group Inc. (NASDAQ:AAL) stock was down around 5%. Delta Air Lines Inc. (NYSE:DAL) had fallen around 4.4%. Southwest Airlines Co. (NYSE:LUV) joined the list with its stock heading around 3.5% lower. United Airlines Holdings Inc. (NASDAQ:UAL) really felt the shock, with its shares diving almost 6%. JetBlue Airways Corp. (NASDAQ:JBLU) got away with just a 3% haircut. And it didn’t have anything to do with the various companies’ earnings or anything like that. Instead, fear of the coronavirus delta variant seems to be behind the fall. As cases of the variant grow, fear of another lockdown is building… and so Wall Street and investors are selling off shares before any official travel restrictions are announced. America’s Top Stock Picker Reveals Next 1,000% Winner (Free) In the last Smart Money, we talked about how two of the sectors we follow in my Fry’s Investment Report portfolio have faring worse than the others over the past few weeks: precious metals and travel-related stocks. In that report, we went over why I think precious metals are set for a comeback. And I promised to return this week with a similar report on travel stocks. You might think that yesterday’s carnage might have me reconsidering that pledge. Not a chance. Here’s why… The Travel Recovery Is Real Like the precious metals sector, the travel and hospitality sector has been struggling of late. But unlike the precious metals, there is nothing mystical about the ongoing recovery in travel activity. It is obvious and real. Based on most empirical measures, airline and hotel bookings are not merely recovering from their COVID-induced depression — they are surging. On July 2, one major travel booking platform — a company I have recommended to members of my Fry’s Investment Report letter — revealed that its hotel and air bookings were continuing to trend higher. Its net air bookings were down approximately 51% in June 2021 versus “normalized” June 2019 levels. That’s the best reading since the beginning of the pandemic. Hotel bookings are following a similar recovery path, as the platform’s global hotel bookings in June rose to just 19% below 2019 levels. Last week, Delta and American issued upbeat outlooks thanks to a jump in bookings. On Sunday, July 18, the Transportation Security Administration screened nearly 2.23 million people at U.S. airports. That’s the most since Feb. 28, 2020. Recent news from the European travel industry has been equally upbeat. On July 15, Europe’s busiest airport, London Heathrow, reopened one runway and one terminal that had been mothballed for more than a year. That means three of Heathrow’s four terminals are now fully functional. Meanwhile, British Airways, the dominant carrier at Heathrow, has revealed plans to dramatically increase its transatlantic capacity next month in order to accommodate an anticipated surge in cross-the-pond travel. These encouraging news stories and data points should be conspiring to boost share prices throughout the travel sector. But most travel-related stocks have been sliding lower during the last few weeks. Headlines Vs. Reality Then… they plunged even further yesterday. The TSA’s daily passenger throughput numbers have been climbing for months, and travel stocks’ share prices had been mirroring that rising trend… until recently. Even though TSA passenger throughput has been soaring since May and has nearly recovered to pre-COVID levels, airline and other travel sector shares have been limping lower. And yesterday they fell over. Like I said up top, this striking divergence likely results from the endless barrage of headlines about the “delta variant” of the COVID virus that is spreading through various corners of the world, including parts of the United States, where it’s now the dominant strain of coronavirus. Whatever the cause, real-time data from around the world are telling a story of resurgent travel activity. That’s undeniable. Watch Out, China: America Is Striking Back These upwardly trending bookings are good news for the travel-related stocks I’ve recommended in Fry’s Investment Report and elsewhere. In particular, every percentage point increase in booking rates brings that travel booking platform I mentioned earlier closer to flipping its cash flow from negative to positive. From what I’ve seen, the company will achieve positive cash flow once bookings reach well over 50% of 2019 levels. It has not yet reached that critical threshold, mostly because low-margin leisure and U.S. travel is recovering faster than high-margin business and international travel. That’s not an ideal mix. But the company is drawing ever closer to generating positive cash flow once again. As the worldwide travel recovery becomes increasingly undeniable, I expect it and my other travel-related trades to lift off once again. Click here to find out more about those trades as a Fry’s Investment Report member. Regards, Eric Fry P.S. Can a “flaw” in the stock market predict 1,000% gains? I recently shared an unusual discovery about why the stock market is far less random than you think… …a discovery that led me to uncover a group of stocks on the verge of a sudden, powerful turnaround. Will this be the success story of 2021? Click here to find out how to join. NOTE: On the date of publication, Eric Fry did not own either directly or indirectly any positions in the securities mentioned in this article. Eric Fry is an award-winning stock picker with numerous “10-bagger” calls —in good markets AND bad. How? By finding potent global megatrends… before they take off. In fact, Eric has recommended 41 different 1,000%+ stock market winners in his career. Plus, he beat 650 of the world’s most famous investors (including Bill Ackman and David Einhorn) in a contest. And today he’s revealing his next potential 1,000% winner for free, right here. The post Why These Stocks Will Take Off Again appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
But if you can stand the pain, last time I checked… American Airlines Group Inc. (NASDAQ:AAL) stock was down around 5%. Meanwhile, British Airways, the dominant carrier at Heathrow, has revealed plans to dramatically increase its transatlantic capacity next month in order to accommodate an anticipated surge in cross-the-pond travel. Like I said up top, this striking divergence likely results from the endless barrage of headlines about the “delta variant” of the COVID virus that is spreading through various corners of the world, including parts of the United States, where it’s now the dominant strain of coronavirus.
But if you can stand the pain, last time I checked… American Airlines Group Inc. (NASDAQ:AAL) stock was down around 5%. America’s Top Stock Picker Reveals Next 1,000% Winner (Free) In the last Smart Money, we talked about how two of the sectors we follow in my Fry’s Investment Report portfolio have faring worse than the others over the past few weeks: precious metals and travel-related stocks. On July 2, one major travel booking platform — a company I have recommended to members of my Fry’s Investment Report letter — revealed that its hotel and air bookings were continuing to trend higher.
But if you can stand the pain, last time I checked… American Airlines Group Inc. (NASDAQ:AAL) stock was down around 5%. InvestorPlace - Stock Market News, Stock Advice & Trading Tips If you thought yesterday’s 2% drop in the overall market was nauseating, don’t check out airline stocks. America’s Top Stock Picker Reveals Next 1,000% Winner (Free) In the last Smart Money, we talked about how two of the sectors we follow in my Fry’s Investment Report portfolio have faring worse than the others over the past few weeks: precious metals and travel-related stocks.
But if you can stand the pain, last time I checked… American Airlines Group Inc. (NASDAQ:AAL) stock was down around 5%. InvestorPlace - Stock Market News, Stock Advice & Trading Tips If you thought yesterday’s 2% drop in the overall market was nauseating, don’t check out airline stocks. Even though TSA passenger throughput has been soaring since May and has nearly recovered to pre-COVID levels, airline and other travel sector shares have been limping lower.
4319.0
2021-07-20 00:00:00 UTC
Anglo American's Q2 production up 20% driven by diamonds, platinum
AAL
https://www.nasdaq.com/articles/anglo-americans-q2-production-up-20-driven-by-diamonds-platinum-2021-07-20
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LONDON, July 20 (Reuters) - Global miner Anglo American AAL.L said on Tuesday its production rose by 20% in the second quarter, driven by strong output in diamonds and platinum, even as operations were running at 95% of normal capacity because of COVID-19 disruptions. In the three months to June rough diamond production rose by 134% compared to the same period a year ago as consumer demand recovered, while platinum group metals production at its South African unit Anglo American Platinum AMSJ.J increased by 59% to 1.06 million ounces. Copper production rose by 2% to 170,000 tonnes, it said. (Reporting by Clara Denina and Helen Reid, Editing by Helen Reid) ((Clara.Denina@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
LONDON, July 20 (Reuters) - Global miner Anglo American AAL.L said on Tuesday its production rose by 20% in the second quarter, driven by strong output in diamonds and platinum, even as operations were running at 95% of normal capacity because of COVID-19 disruptions. In the three months to June rough diamond production rose by 134% compared to the same period a year ago as consumer demand recovered, while platinum group metals production at its South African unit Anglo American Platinum AMSJ.J increased by 59% to 1.06 million ounces. (Reporting by Clara Denina and Helen Reid, Editing by Helen Reid) ((Clara.Denina@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
LONDON, July 20 (Reuters) - Global miner Anglo American AAL.L said on Tuesday its production rose by 20% in the second quarter, driven by strong output in diamonds and platinum, even as operations were running at 95% of normal capacity because of COVID-19 disruptions. In the three months to June rough diamond production rose by 134% compared to the same period a year ago as consumer demand recovered, while platinum group metals production at its South African unit Anglo American Platinum AMSJ.J increased by 59% to 1.06 million ounces. (Reporting by Clara Denina and Helen Reid, Editing by Helen Reid) ((Clara.Denina@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
LONDON, July 20 (Reuters) - Global miner Anglo American AAL.L said on Tuesday its production rose by 20% in the second quarter, driven by strong output in diamonds and platinum, even as operations were running at 95% of normal capacity because of COVID-19 disruptions. In the three months to June rough diamond production rose by 134% compared to the same period a year ago as consumer demand recovered, while platinum group metals production at its South African unit Anglo American Platinum AMSJ.J increased by 59% to 1.06 million ounces. (Reporting by Clara Denina and Helen Reid, Editing by Helen Reid) ((Clara.Denina@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
LONDON, July 20 (Reuters) - Global miner Anglo American AAL.L said on Tuesday its production rose by 20% in the second quarter, driven by strong output in diamonds and platinum, even as operations were running at 95% of normal capacity because of COVID-19 disruptions. In the three months to June rough diamond production rose by 134% compared to the same period a year ago as consumer demand recovered, while platinum group metals production at its South African unit Anglo American Platinum AMSJ.J increased by 59% to 1.06 million ounces. Copper production rose by 2% to 170,000 tonnes, it said.
4320.0
2021-07-19 00:00:00 UTC
Why Airline Stocks Are Falling Today
AAL
https://www.nasdaq.com/articles/why-airline-stocks-are-falling-today-2021-07-19
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What happened There is growing anxiety that the so-called Delta coronavirus variant will crimp the global economy and lead to a fresh round of travel restrictions. Airline stocks were under pressure on Monday as a result, with Delta Air Lines (NYSE: DAL), American Airlines Group (NASDAQ: AAL), United Airlines Holdings (NASDAQ: UAL), Southwest Airlines (NYSE: LUV) JetBlue Airways (NASDAQ: JBLU), Allegiant Travel (NASDAQ: ALGT), Alaska Air Group (NYSE: ALK), Spirit Airlines (NYSE: SAVE), Hawaiian Holdings (NASDAQ: HA), Sun Country Airlines Holdings (NASDAQ: SNCY), and Frontier Group Holdings (NASDAQ: ULCC) all falling 5% or more at the open. The sell-off was global, with Brazil's Azul (NYSE: AZUL) also off more than 5%. So what Airlines suffered through a miserable 2020 due to the pandemic, which all but wiped out demand for travel. Vaccines have brought a resurgence in demand and in stock prices, but there is growing reason for concern that the rally is not sustainable. Image source: Getty Images. The Dow Jones Industrial Average traded down more than 2% on Monday morning as a surge of coronavirus cases, including in highly vaccinated countries, raises concerns that the virus will be a long-term weight on the global economy. With a rise in new cases in U.S. domestic tourism hotbeds like Florida, it is possible that the summer travel surge will fall off, which would reverse some of the progress airlines have made since the beginning of the pandemic. The resurgence is an issue for all airlines, regardless of their focus. Discounters including Southwest, JetBlue, Spirit, and Allegiant are focused on the U.S. domestic leisure traveler, and Spirit in particular was seen as a strong candidate to be the first airline to fully recover from the pandemic, assuming tourism demand doesn't fall back. Sun Country and Frontier are relatively new market entrants, with both airlines going public this year, and investors are worried they might not have the wherewithal to survive a repeat of 2020. Delta, American, and United, meanwhile, have been focused on domestic flights of late but historically have generated better margins on international travel. The latest surge in new cases has likely pushed back the timetable on the return of international travel. And Azul has been a standout among Latin American airlines, but given Brazil's issues with the pandemic and the importance of international travel to the region's carriers, Azul is going to feel the strain of an uptick in new travel restrictions. Now what There have been enough twists and turns to this story over the past year-plus that I'd advise against too much panic or too much optimism. The airlines are once again trading on near-term sentiment, and not long-term fundamentals, because investors are not sure what to expect next from the pandemic. With the sell-off, much of the U.S. domestic industry is down for the year. Back in March, I worried that the valuations had gotten ahead of themselves, but for long-term investors able to look past the turbulence, the stocks are beginning to look more reasonable. I'd focus on Southwest and Delta as long-term leaders with stable finances -- and avoid American, which entered the crisis behind its peers in terms of revamping its business and which continues to lag its rivals in terms of expectations. The airlines as a group remain relatively healthy and should be able to weather whatever comes their way next. But those who own the stocks should fasten their seatbelts ahead of an uncertain ride. 10 stocks we like better than Delta Air Lines When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Delta Air Lines wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines and Spirit Airlines. The Motley Fool owns shares of and recommends Spirit Airlines. The Motley Fool recommends Alaska Air Group, Delta Air Lines, Hawaiian Holdings, JetBlue Airways, and Southwest Airlines. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Airline stocks were under pressure on Monday as a result, with Delta Air Lines (NYSE: DAL), American Airlines Group (NASDAQ: AAL), United Airlines Holdings (NASDAQ: UAL), Southwest Airlines (NYSE: LUV) JetBlue Airways (NASDAQ: JBLU), Allegiant Travel (NASDAQ: ALGT), Alaska Air Group (NYSE: ALK), Spirit Airlines (NYSE: SAVE), Hawaiian Holdings (NASDAQ: HA), Sun Country Airlines Holdings (NASDAQ: SNCY), and Frontier Group Holdings (NASDAQ: ULCC) all falling 5% or more at the open. What happened There is growing anxiety that the so-called Delta coronavirus variant will crimp the global economy and lead to a fresh round of travel restrictions. The Dow Jones Industrial Average traded down more than 2% on Monday morning as a surge of coronavirus cases, including in highly vaccinated countries, raises concerns that the virus will be a long-term weight on the global economy.
Airline stocks were under pressure on Monday as a result, with Delta Air Lines (NYSE: DAL), American Airlines Group (NASDAQ: AAL), United Airlines Holdings (NASDAQ: UAL), Southwest Airlines (NYSE: LUV) JetBlue Airways (NASDAQ: JBLU), Allegiant Travel (NASDAQ: ALGT), Alaska Air Group (NYSE: ALK), Spirit Airlines (NYSE: SAVE), Hawaiian Holdings (NASDAQ: HA), Sun Country Airlines Holdings (NASDAQ: SNCY), and Frontier Group Holdings (NASDAQ: ULCC) all falling 5% or more at the open. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines and Spirit Airlines. The Motley Fool recommends Alaska Air Group, Delta Air Lines, Hawaiian Holdings, JetBlue Airways, and Southwest Airlines.
Airline stocks were under pressure on Monday as a result, with Delta Air Lines (NYSE: DAL), American Airlines Group (NASDAQ: AAL), United Airlines Holdings (NASDAQ: UAL), Southwest Airlines (NYSE: LUV) JetBlue Airways (NASDAQ: JBLU), Allegiant Travel (NASDAQ: ALGT), Alaska Air Group (NYSE: ALK), Spirit Airlines (NYSE: SAVE), Hawaiian Holdings (NASDAQ: HA), Sun Country Airlines Holdings (NASDAQ: SNCY), and Frontier Group Holdings (NASDAQ: ULCC) all falling 5% or more at the open. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines and Spirit Airlines. The Motley Fool recommends Alaska Air Group, Delta Air Lines, Hawaiian Holdings, JetBlue Airways, and Southwest Airlines.
Airline stocks were under pressure on Monday as a result, with Delta Air Lines (NYSE: DAL), American Airlines Group (NASDAQ: AAL), United Airlines Holdings (NASDAQ: UAL), Southwest Airlines (NYSE: LUV) JetBlue Airways (NASDAQ: JBLU), Allegiant Travel (NASDAQ: ALGT), Alaska Air Group (NYSE: ALK), Spirit Airlines (NYSE: SAVE), Hawaiian Holdings (NASDAQ: HA), Sun Country Airlines Holdings (NASDAQ: SNCY), and Frontier Group Holdings (NASDAQ: ULCC) all falling 5% or more at the open. The Dow Jones Industrial Average traded down more than 2% on Monday morning as a surge of coronavirus cases, including in highly vaccinated countries, raises concerns that the virus will be a long-term weight on the global economy. The Motley Fool recommends Alaska Air Group, Delta Air Lines, Hawaiian Holdings, JetBlue Airways, and Southwest Airlines.
4321.0
2021-07-19 00:00:00 UTC
Airline Stocks: Why Are AAL, DAL, LUV, UAL and JBLU Down Today?
AAL
https://www.nasdaq.com/articles/airline-stocks%3A-why-are-aal-dal-luv-ual-and-jblu-down-today-2021-07-19
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips Airline stocks are falling today and it doesn’t have anything to do with what the various companies in the sector are doing. Source: GagliardiPhotography / Shutterstock.com Instead, fear of the coronavirus delta variant is behind the fall. As cases of the variant grow, fear is building in investors that don’t want to see another lockdown. This has some traders selling off shares of airline stocks before any official travel restrictions are announced. Now that you know why airline stocks are down today, let’s take a look at how that’s affecting some of the biggest players in the space. Airline Stocks Falling American Airlines (NASDAQ:AAL) stock is taking a more than 7% beating as of Monday morning. With that comes more than 20 million shares changing hands as compared to its daily average trading volume of 32 million shares. Delta Air Lines (NYSE:DAL) is falling next with the shares down around 6% as of this writing. To go along with that is over 6 million shares traded compared to the daily average trading volume of 11.2 million shares. Southwest Airlines (NYSE:LUV) joins the list with its stock heading over 4^ lower this morning. It’s also seen some 3 million shares change hands compared to its daily average trading volume of 6.2 million shares. United Airlines (NASDAQ:UAL) shares are diving over 7% in trading Monday morning. In addition to that, over 7 million shares have moved compared to the daily average trading volume of 12.9 million shares. JetBlue Airways (NASDAQ:JBLU) stock is dipping around 6% as of this writing. As that happens the company is seeing some 4 million shares change hands as compared to its daily average trading volume of 6.8 million shares. Investors interested in what else the stock market is doing today will want to keep reading! InvestorPlace offers deep dives into the stock market daily with its takes on several topics. A few worth considering include are Pershing Square (NYSE:PSTH) pulling out of a merger deal, Ashford Hospitality Trust (NYSE:AHT) completing a reverse stock split, and more. You can learn all about these subjects at the links below. More Monday Stock Market Stories PSTH Stock Alert: Why Pershing Square Pulled Out of the Universal Music Deal AHT Reverse Stock Split: 12 Things for Ashford Trust Investors to Know About the 1-for-10 Split Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Monday On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. The post Airline Stocks: Why Are AAL, DAL, LUV, UAL and JBLU Down Today? appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The post Airline Stocks: Why Are AAL, DAL, LUV, UAL and JBLU Down Today? Airline Stocks Falling American Airlines (NASDAQ:AAL) stock is taking a more than 7% beating as of Monday morning. Southwest Airlines (NYSE:LUV) joins the list with its stock heading over 4^ lower this morning.
Airline Stocks Falling American Airlines (NASDAQ:AAL) stock is taking a more than 7% beating as of Monday morning. The post Airline Stocks: Why Are AAL, DAL, LUV, UAL and JBLU Down Today? With that comes more than 20 million shares changing hands as compared to its daily average trading volume of 32 million shares.
Airline Stocks Falling American Airlines (NASDAQ:AAL) stock is taking a more than 7% beating as of Monday morning. The post Airline Stocks: Why Are AAL, DAL, LUV, UAL and JBLU Down Today? InvestorPlace - Stock Market News, Stock Advice & Trading Tips Airline stocks are falling today and it doesn’t have anything to do with what the various companies in the sector are doing.
The post Airline Stocks: Why Are AAL, DAL, LUV, UAL and JBLU Down Today? Airline Stocks Falling American Airlines (NASDAQ:AAL) stock is taking a more than 7% beating as of Monday morning. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Airline stocks are falling today and it doesn’t have anything to do with what the various companies in the sector are doing.
4322.0
2021-07-19 00:00:00 UTC
US STOCKS-Wall Street set to tumble at open as virus surge sparks recovery worries
AAL
https://www.nasdaq.com/articles/us-stocks-wall-street-set-to-tumble-at-open-as-virus-surge-sparks-recovery-worries-2021-07
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By Devik Jain July 19 (Reuters) - U.S. stock indexes were set to fall sharply at open on Monday, with economy-linked value and travel stocks taking a hit after a spike in global COVID-19 cases raised fresh concerns about slowing economic growth. New infections surged in parts of Asia and England, while U.S. COVID-19 cases soared 70% last week, fueled by the Delta variant. Deaths rose 26% week-over-week to an average of 250 lives lost a day in the United States, mostly in unvaccinated patients. Shares of travel companies, which took a hammering last year during lockdowns but have climbed recently on reopening hopes, led declines before the opening bell. Airline operators and cruiseliners including Southwest Airlines Co LUV.N, Delta Air Lines Inc DAL.N, United Airlines UAL.O, American Airlines AAL.O, Royal Caribbean Group RCL.N, Carnival Corp CCL.N and Norwegian Cruise Line NCLH.N dropped between 3.3% and 5.8%. Rate-sensitive lenders Bank of America Corp BAC.N, JPMorgan Chase & Co JPM.N, Goldman Sachs Group Inc GS.N, Morgan Stanley MS.N and Citigroup Inc C.N all shed between 2.9% and 3.2%, tracking a fall in the benchmark 10-year Treasury yield US10YT=RR to mid-February lows. US/ "Before the Delta variant started gaining traction, things were priced in for a very strong recovery," said David Grecsek, managing director of investment strategy and research at Aspiriant in New York. "What we're seeing here is any data or news that's going to upset that sort of serene, low volatility, and high corporate earnings, market is going to react to that. But you don't want to see excess speculation. Some correction is healthy." Wall Street's main indexes closed lower on Friday, with investors moving into defensive sectors on concerns that a resurgence in coronavirus cases might delay a strong economic recovery and derail a sharp market rebound from 2020 lows. The benchmark S&P 500 index .SPX has gained nearly 15.2% so far this year, with market participants now looking for strong company forecasts to justify sky-high valuations. After strong quarterly reports from big banks last week, focus shifts to tech earnings with companies including International Business Machines Corp IBM.N, Netflix NFLX.O, Texas Instruments TXN.O and Intel INTC.O set to report this week. Analysts on average expect 72% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv. At 8:32 am, Dow E-minis 1YMcv1 were down 489 points, or 1.41%, S&P 500 e-minis EScv1were down 50 points, or 1.16%, and Nasdaq 100 e-minis NQcv1were down 134 points, or 0.91%. Marathon Petroleum Corp MPC.N, Chevron Corp CVX.N, Schlumberger NV SLB.N, Exxon Mobil Corp XOM.N, Halliburton HAL.N and Occidental Petroleum OXY.N fell between 3.9% and 5.8%, as oil prices slid after OPEC+ producers agreed to raise output. O/R U.S.-listed shares of Alibaba Holding BABA.N, Baidu BIDU.O and ridesharing app Didi Global DIDI.N declined about 3% each on renewed fears of anti-monopoly action against major technology firms. Zoom Video Communications Inc ZM.O slipped 0.5% after the teleconferencing services provider announced a $14.7 billion all-stock deal to buy cloud-based call center operator Five9 Inc FIVN.O. Five9's shares jumped 8.6%. (Reporting by Devik Jain in Bengaluru; Editing by Maju Samuel) ((Devik.Jain@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2062; ;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Airline operators and cruiseliners including Southwest Airlines Co LUV.N, Delta Air Lines Inc DAL.N, United Airlines UAL.O, American Airlines AAL.O, Royal Caribbean Group RCL.N, Carnival Corp CCL.N and Norwegian Cruise Line NCLH.N dropped between 3.3% and 5.8%. Rate-sensitive lenders Bank of America Corp BAC.N, JPMorgan Chase & Co JPM.N, Goldman Sachs Group Inc GS.N, Morgan Stanley MS.N and Citigroup Inc C.N all shed between 2.9% and 3.2%, tracking a fall in the benchmark 10-year Treasury yield US10YT=RR to mid-February lows. US/ "Before the Delta variant started gaining traction, things were priced in for a very strong recovery," said David Grecsek, managing director of investment strategy and research at Aspiriant in New York.
Airline operators and cruiseliners including Southwest Airlines Co LUV.N, Delta Air Lines Inc DAL.N, United Airlines UAL.O, American Airlines AAL.O, Royal Caribbean Group RCL.N, Carnival Corp CCL.N and Norwegian Cruise Line NCLH.N dropped between 3.3% and 5.8%. By Devik Jain July 19 (Reuters) - U.S. stock indexes were set to fall sharply at open on Monday, with economy-linked value and travel stocks taking a hit after a spike in global COVID-19 cases raised fresh concerns about slowing economic growth. At 8:32 am, Dow E-minis 1YMcv1 were down 489 points, or 1.41%, S&P 500 e-minis EScv1were down 50 points, or 1.16%, and Nasdaq 100 e-minis NQcv1were down 134 points, or 0.91%.
Airline operators and cruiseliners including Southwest Airlines Co LUV.N, Delta Air Lines Inc DAL.N, United Airlines UAL.O, American Airlines AAL.O, Royal Caribbean Group RCL.N, Carnival Corp CCL.N and Norwegian Cruise Line NCLH.N dropped between 3.3% and 5.8%. By Devik Jain July 19 (Reuters) - U.S. stock indexes were set to fall sharply at open on Monday, with economy-linked value and travel stocks taking a hit after a spike in global COVID-19 cases raised fresh concerns about slowing economic growth. After strong quarterly reports from big banks last week, focus shifts to tech earnings with companies including International Business Machines Corp IBM.N, Netflix NFLX.O, Texas Instruments TXN.O and Intel INTC.O set to report this week.
Airline operators and cruiseliners including Southwest Airlines Co LUV.N, Delta Air Lines Inc DAL.N, United Airlines UAL.O, American Airlines AAL.O, Royal Caribbean Group RCL.N, Carnival Corp CCL.N and Norwegian Cruise Line NCLH.N dropped between 3.3% and 5.8%. Wall Street's main indexes closed lower on Friday, with investors moving into defensive sectors on concerns that a resurgence in coronavirus cases might delay a strong economic recovery and derail a sharp market rebound from 2020 lows. The benchmark S&P 500 index .SPX has gained nearly 15.2% so far this year, with market participants now looking for strong company forecasts to justify sky-high valuations.
4323.0
2021-07-19 00:00:00 UTC
Pre-Market Most Active for Jul 19, 2021 : SQQQ, NRXP, AAPL, SPCE, CCL, QQQ, AMC, CYTK, AAL, NIO, BP, F
AAL
https://www.nasdaq.com/articles/pre-market-most-active-for-jul-19-2021-%3A-sqqq-nrxp-aapl-spce-ccl-qqq-amc-cytk-aal-nio-bp-f
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The NASDAQ 100 Pre-Market Indicator is down -148.61 to 14,532.77. The total Pre-Market volume is currently 33,412,510 shares traded. The following are the most active stocks for the pre-market session: ProShares UltraPro Short QQQ (SQQQ) is +0.27 at $9.15, with 5,611,233 shares traded. This represents a 9.98% increase from its 52 Week Low. NRX Pharmaceuticals, Inc. (NRXP) is +6.85 at $15.37, with 4,537,155 shares traded., following a 52-week high recorded in prior regular session. Apple Inc. (AAPL) is -2.39 at $144.00, with 2,230,456 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Virgin Galactic Holdings, Inc. (SPCE) is -1.84 at $28.36, with 1,725,586 shares traded. SPCE's current last sale is 65.95% of the target price of $43. Carnival Corporation (CCL) is -1.21 at $19.71, with 1,500,396 shares traded. CCL's current last sale is 65.7% of the target price of $30. Invesco QQQ Trust, Series 1 (QQQ) is -3.5 at $354.10, with 1,386,468 shares traded. This represents a 40.9% increase from its 52 Week Low. AMC Entertainment Holdings, Inc. (AMC) is -2.06 at $32.90, with 1,149,475 shares traded. AMC's current last sale is 438.67% of the target price of $7.5. Cytokinetics, Incorporated (CYTK) is +10.44 at $29.67, with 1,114,886 shares traded. As reported in the last short interest update the days to cover for CYTK is 11.908369; this calculation is based on the average trading volume of the stock. American Airlines Group, Inc. (AAL) is -1.04 at $18.75, with 1,113,538 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2021. The consensus EPS forecast is $-1.7. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. The consensus earnings per share forecast is -1.7 per share, which represents a -782 percent increase over the EPS one Year Ago NIO Inc. (NIO) is -1.86 at $40.94, with 1,044,744 shares traded. As reported by Zacks, the current mean recommendation for NIO is in the "buy range". BP p.l.c. (BP) is -0.78 at $23.09, with 1,035,371 shares traded. BP's current last sale is 82.46% of the target price of $28. Ford Motor Company (F) is -0.39 at $13.22, with 867,438 shares traded. As reported by Zacks, the current mean recommendation for F is in the "buy range". The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines Group, Inc. (AAL) is -1.04 at $18.75, with 1,113,538 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. NRX Pharmaceuticals, Inc. (NRXP) is +6.85 at $15.37, with 4,537,155 shares traded., following a 52-week high recorded in prior regular session.
American Airlines Group, Inc. (AAL) is -1.04 at $18.75, with 1,113,538 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. The total Pre-Market volume is currently 33,412,510 shares traded.
American Airlines Group, Inc. (AAL) is -1.04 at $18.75, with 1,113,538 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. The consensus earnings per share forecast is -1.7 per share, which represents a -782 percent increase over the EPS one Year Ago
American Airlines Group, Inc. (AAL) is -1.04 at $18.75, with 1,113,538 shares traded. AAL is scheduled to provide an earnings report on 7/22/2021, for the fiscal quarter ending Jun2021. The following are the most active stocks for the pre-market session:
4324.0
2021-07-19 00:00:00 UTC
US STOCKS-Dow futures slide 1% as virus surge raises growth worries
AAL
https://www.nasdaq.com/articles/us-stocks-dow-futures-slide-1-as-virus-surge-raises-growth-worries-2021-07-19
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By Devik Jain July 19 (Reuters) - Futures tracking the blue-chip Dow fell 1% on Monday, with economy-linked value and travel stocks taking a hit after a spike in global COVID-19 cases raised fresh concerns about slowing economic growth. New U.S. COVID-19 cases surged 70% last week compared with the prior seven days to an average of 30,000 new infections a day, fueled by the Delta variant. Deaths rose 26% week-over-week to an average of 250 lives lost a day, mostly in unvaccinated patients. Shares of travel companies, which took a hammering last year during lockdowns but have climbed recently on reopening hopes, led declines before the opening bell. Airline operators and cruiseliners including Southwest Airlines Co LUV.N, Delta Air Lines Inc DAL.N, United Airlines UAL.O, American Airlines AAL.O, Royal Caribbean Group RCL.N, Carnival Corp CCL.N and Norwegian Cruise Line NCLH.N dropped between 2.0% and 3.6%. Rate-sensitive lenders Bank of America Corp BAC.N, JPMorgan Chase & Co JPM.N, Goldman Sachs Group Inc GS.N, Morgan Stanley MS.N and Citigroup Inc C.N all shed about 2% each, tracking a fall in the benchmark 10-year Treasury yield US10YT=RR to mid-February lows. US/ "The peak of economic growth rates is behind us and growth worries are back. The good news is that even if the peak of some economic indicators is behind us, equities should continue to perform positively in the medium term in a positive economic environment," Berenberg strategists said in a note. "However, high valuations, COVID-19 fears, low trading volumes over the summer and high investor equity allocations argue against significantly rising markets for the time being." Marathon Petroleum Corp MPC.N, Chevron Corp CVX.N, Schlumberger NV SLB.N, Exxon Mobil Corp XOM.N, Halliburton HAL.N and Occidental Petroleum OXY.N fell between 1.8% and 4.1%, as oil prices slid after OPEC+ producers agreed to raise output. O/R Wall Street's main indexes closed lower on Friday, weighed down by declines in Amazon AMZN.O, Apple AAPL.O and other heavyweight technology stocks, while defensive utilities .SPLRCU rallied 1% and real estate .SPLRCR hit an intraday record high. After strong quarterly reports from big banks last week, focus shifts to tech earnings with companies including International Business Machines Corp IBM.N, Netflix NFLX.O, Texas Instruments TXN.O and Intel INTC.O set to report this week. Analysts on average expect 72% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv. At 6:43 a.m. ET, Dow E-minis 1YMcv1 were down 367 points, or 1.06%, S&P 500 e-minis EScv1 were down 33.25 points, or 0.77%, and Nasdaq 100 e-minis NQcv1 were down 57 points, or 0.39%. Johnson & Johnson JNJ.N slipped 0.8% after Reuters reported that the drugmaker is exploring a plan to offload liabilities from widespread baby powder litigation into a newly created business that would then seek bankruptcy protection. U.S.-listed shares of Alibaba Holding BABA.N, Baidu BIDU.O and ridesharing app Didi Global DIDI.N declined more than 2% on renewed fears of anti-monopoly action against major technology firms. Zoom Video Communications Inc ZM.O fell 2% after the teleconferencing services provider announced a $14.7 billion all-stock deal to buy cloud-based call center operator Five9 Inc FIVN.O. Five9's shares jumped 8.9%. (Reporting by Devik Jain in Bengaluru; Editing by Maju Samuel) ((Devik.Jain@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2062; ;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Airline operators and cruiseliners including Southwest Airlines Co LUV.N, Delta Air Lines Inc DAL.N, United Airlines UAL.O, American Airlines AAL.O, Royal Caribbean Group RCL.N, Carnival Corp CCL.N and Norwegian Cruise Line NCLH.N dropped between 2.0% and 3.6%. By Devik Jain July 19 (Reuters) - Futures tracking the blue-chip Dow fell 1% on Monday, with economy-linked value and travel stocks taking a hit after a spike in global COVID-19 cases raised fresh concerns about slowing economic growth. Rate-sensitive lenders Bank of America Corp BAC.N, JPMorgan Chase & Co JPM.N, Goldman Sachs Group Inc GS.N, Morgan Stanley MS.N and Citigroup Inc C.N all shed about 2% each, tracking a fall in the benchmark 10-year Treasury yield US10YT=RR to mid-February lows.
Airline operators and cruiseliners including Southwest Airlines Co LUV.N, Delta Air Lines Inc DAL.N, United Airlines UAL.O, American Airlines AAL.O, Royal Caribbean Group RCL.N, Carnival Corp CCL.N and Norwegian Cruise Line NCLH.N dropped between 2.0% and 3.6%. By Devik Jain July 19 (Reuters) - Futures tracking the blue-chip Dow fell 1% on Monday, with economy-linked value and travel stocks taking a hit after a spike in global COVID-19 cases raised fresh concerns about slowing economic growth. ET, Dow E-minis 1YMcv1 were down 367 points, or 1.06%, S&P 500 e-minis EScv1 were down 33.25 points, or 0.77%, and Nasdaq 100 e-minis NQcv1 were down 57 points, or 0.39%.
Airline operators and cruiseliners including Southwest Airlines Co LUV.N, Delta Air Lines Inc DAL.N, United Airlines UAL.O, American Airlines AAL.O, Royal Caribbean Group RCL.N, Carnival Corp CCL.N and Norwegian Cruise Line NCLH.N dropped between 2.0% and 3.6%. By Devik Jain July 19 (Reuters) - Futures tracking the blue-chip Dow fell 1% on Monday, with economy-linked value and travel stocks taking a hit after a spike in global COVID-19 cases raised fresh concerns about slowing economic growth. After strong quarterly reports from big banks last week, focus shifts to tech earnings with companies including International Business Machines Corp IBM.N, Netflix NFLX.O, Texas Instruments TXN.O and Intel INTC.O set to report this week.
Airline operators and cruiseliners including Southwest Airlines Co LUV.N, Delta Air Lines Inc DAL.N, United Airlines UAL.O, American Airlines AAL.O, Royal Caribbean Group RCL.N, Carnival Corp CCL.N and Norwegian Cruise Line NCLH.N dropped between 2.0% and 3.6%. New U.S. COVID-19 cases surged 70% last week compared with the prior seven days to an average of 30,000 new infections a day, fueled by the Delta variant. US/ "The peak of economic growth rates is behind us and growth worries are back.
4325.0
2021-07-17 00:00:00 UTC
American Airlines Boosts Guidance But Lags Rivals
AAL
https://www.nasdaq.com/articles/american-airlines-boosts-guidance-but-lags-rivals-2021-07-17
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American Airlines' (NASDAQ: AAL) recovery from the COVID-19 pandemic accelerated last quarter, according to a recent investor update from the company. That's welcome news for the struggling airline giant. However, while business is improving faster than previously expected, American continues to trail competitors like Delta Air Lines (NYSE: DAL) in terms of profitability. Combined with the company's weak balance sheet, that will keep American Airlines stock grounded for the foreseeable future. A solid guidance increase In early June, American Airlines told investors that booking momentum and load factors (the percentage of seats filled with paying customers) had increased as the summer approached. At that time, the company reaffirmed its initial guidance for revenue to decline 40% compared to the second quarter of 2019 on 20% to 25% less capacity. On Tuesday, American raised its outlook. Management now estimates that revenue fell 37.5% from the second quarter of 2019 -- better than its previous guidance -- on a 24.6% capacity reduction. Additionally, the carrier's cost control measures were more effective than expected. As a result, the airline expects to report an 11% to 12% increase in adjusted nonfuel unit costs relative to Q2 2019 -- better than its previous forecast of a 13% to 17% increase. Image source: American Airlines. This improvement to its guidance may enable American Airlines to record a slight pre-tax profit under generally accepted accounting principles (GAAP) in the second quarter. However, that includes a roughly $1.4 billion benefit from government payroll support grants. Excluding those grants, the airline expects to lose at least $1.4 billion before tax, putting its adjusted pre-tax margin between -19% and -20%. Better doesn't mean good American's projected Q2 performance compares unfavorably to the results that Delta Air Lines reported this week. Delta recorded a sizable GAAP pre-tax profit of $776 million last quarter. After backing out payroll support grants and other special items, it posted an adjusted pre-tax loss of $881 million. That translates to a -13.9% adjusted pre-tax margin. Looking just at Delta Air Lines' core airline business, the underlying performance gap between the two carriers was even greater. Delta's oil refinery posted a $157 million operating loss last quarter due to the high price of renewable fuel credits, adding significantly to the company's overall loss. American Airlines' ongoing margin deficit compared to key rivals like Delta doesn't bode well for its future profitability. In the long run, high competition will keep a lid on profit margins at the industry level. Thus, if American's pre-tax margin continues to lag best-in-class rivals by more than five percentage points, the full-service airline is likely to be stuck with single-digit margins. Image source: Delta Air Lines. Stay away American Airlines ended the first quarter with a colossal $48 billion of debt and lease liabilities, along with a $6.8 billion pension deficit, compared to just $14 billion of unrestricted cash and investments. This represents by far the biggest debt load in the industry. While American's net debt decreased last quarter, that included $2.6 billion in cash payroll support grants. Moreover, the second quarter tends to be seasonally strong for airlines' cash flow. Without those tailwinds, net debt could increase again in the second half of 2021. Despite the company's weak cash flow, subpar earnings prospects, and massive debt load, American Airlines' market cap is higher than it was at the beginning of 2020 (i.e., before the pandemic). To put it bluntly, that doesn't make sense. This is one airline stock that long-term investors should avoid. 10 stocks we like better than American Airlines Group When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and American Airlines Group wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Adam Levine-Weinberg owns shares of Delta Air Lines. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines' (NASDAQ: AAL) recovery from the COVID-19 pandemic accelerated last quarter, according to a recent investor update from the company. However, while business is improving faster than previously expected, American continues to trail competitors like Delta Air Lines (NYSE: DAL) in terms of profitability. This improvement to its guidance may enable American Airlines to record a slight pre-tax profit under generally accepted accounting principles (GAAP) in the second quarter.
American Airlines' (NASDAQ: AAL) recovery from the COVID-19 pandemic accelerated last quarter, according to a recent investor update from the company. Better doesn't mean good American's projected Q2 performance compares unfavorably to the results that Delta Air Lines reported this week. Image source: Delta Air Lines.
American Airlines' (NASDAQ: AAL) recovery from the COVID-19 pandemic accelerated last quarter, according to a recent investor update from the company. This improvement to its guidance may enable American Airlines to record a slight pre-tax profit under generally accepted accounting principles (GAAP) in the second quarter. American Airlines' ongoing margin deficit compared to key rivals like Delta doesn't bode well for its future profitability.
American Airlines' (NASDAQ: AAL) recovery from the COVID-19 pandemic accelerated last quarter, according to a recent investor update from the company. As a result, the airline expects to report an 11% to 12% increase in adjusted nonfuel unit costs relative to Q2 2019 -- better than its previous forecast of a 13% to 17% increase. Excluding those grants, the airline expects to lose at least $1.4 billion before tax, putting its adjusted pre-tax margin between -19% and -20%.
4326.0
2021-07-16 00:00:00 UTC
Pick Southwest Airlines Stock For Quick Gains?
AAL
https://www.nasdaq.com/articles/pick-southwest-airlines-stock-for-quick-gains-2021-07-16
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[Updated 07/14/2021] In a recent release, CDC highlighted the efficacy of vaccines even against the surging Delta variant. However, airline stocks have been observing a bearish trend over concerns of another infectious wave stalling the recovered passenger traffic. After reaching pre–Covid levels in April, Southwest Airlines stock (NYSE: LUV) has lost 15% in value over the past two months. Interestingly, the company reported just $1 billion operating cash outflow last year with the third round of payroll support proceeds to assist employee salaries through September 2021. According to the Trefis Machine Learning Engine, which identifies trends in the company’s historical stock price data, Southwest stock Has A Strong Chance Of A Rise In The Next One Month after experiencing a drop of more than 10% in the past month. [Updated 05/14/2021] – Southwest Airlines Stock: Buy The Dip As It Comes Progress in mass vaccination and growing passenger numbers at TSA checkpoints have been a boon for the airline industry in recent months. However, newly recognized coronavirus variants of concern by the WHO and restricted international travel are still weighing on the tourism industry. The shares of Southwest Airlines (NYSE: LUV) have raced ahead to reach pre-Covid levels unlike its immediate competitors, United Airlines and Delta Air Lines. This can be largely attributed to the company’s significantly lower debt outstanding and higher operating margin. After two rounds of payroll support, the U.S. government initiated a third phase as huge salary costs can trigger involuntary furloughs. Notably, the PSP-3 requires airlines to suspend dividends and share repurchases until September 2022. Despite tepid air travel demand, which remains 50% below pre-Covid levels, and macroeconomic uncertainty triggered by new coronavirus variants, Trefis believes that LUV stock is a good value investment in the long term. We highlight the historical trends in the company’s revenues, margins, and valuation multiple in an interactive dashboard analysis, Southwest Airlines’ Valuation. Government aid strengthened Southwest’s balance sheet strength in 2020 In 2020, Southwest Airlines reported $9 billion of total revenues and just $1 billion of operating cash outflow due to $3.4 billion of relief funds under the CARES Act. In Q1 2021, the company received $1.7 billion of relief funds under PSP-2 and therefore reported $645 million of operating cash. Thus, government aid has been a key factor offsetting salary-related expenses (salary and wages account for 40% of operating expenses). Per recent filings, the company had $10.7 billion of long-term debt and $14.4 billion of cash and short-term investments – highlighting efficient capital and operations management during the pandemic. Given the company’s superior margins in comparison with peers, we believe that the stock will recoup short-term dips due to market forces. Lull in air travel business is likely to remain The company expects its second-quarter revenues to observe a 40% contraction from pre-Covid levels (Q2 2019). Growth in passenger figures led to a guidance revision by all airline companies with an expectation of positive cash generation during the latter half of the year. However, the resurgence in coronavirus cases in various countries continues to impact international and business travel demand. Also, the third round of payroll support indicates that the lull in the air travel business is likely to remain this year. The company will receive an aggregate of $1.9 billion to support salaries and wages for the second and third quarters. Is there a better investment over Southwest Airlines? Southwest Airlines Stock Comparison With Peers summarizes how LUV compares against peers on metrics that matter. You can find more such useful comparisons on Peer Comparisons. See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Interestingly, the company reported just $1 billion operating cash outflow last year with the third round of payroll support proceeds to assist employee salaries through September 2021. Despite tepid air travel demand, which remains 50% below pre-Covid levels, and macroeconomic uncertainty triggered by new coronavirus variants, Trefis believes that LUV stock is a good value investment in the long term. Growth in passenger figures led to a guidance revision by all airline companies with an expectation of positive cash generation during the latter half of the year.
Interestingly, the company reported just $1 billion operating cash outflow last year with the third round of payroll support proceeds to assist employee salaries through September 2021. Despite tepid air travel demand, which remains 50% below pre-Covid levels, and macroeconomic uncertainty triggered by new coronavirus variants, Trefis believes that LUV stock is a good value investment in the long term. Government aid strengthened Southwest’s balance sheet strength in 2020 In 2020, Southwest Airlines reported $9 billion of total revenues and just $1 billion of operating cash outflow due to $3.4 billion of relief funds under the CARES Act.
According to the Trefis Machine Learning Engine, which identifies trends in the company’s historical stock price data, Southwest stock Has A Strong Chance Of A Rise In The Next One Month after experiencing a drop of more than 10% in the past month. [Updated 05/14/2021] – Southwest Airlines Stock: Buy The Dip As It Comes Progress in mass vaccination and growing passenger numbers at TSA checkpoints have been a boon for the airline industry in recent months. Government aid strengthened Southwest’s balance sheet strength in 2020 In 2020, Southwest Airlines reported $9 billion of total revenues and just $1 billion of operating cash outflow due to $3.4 billion of relief funds under the CARES Act.
Interestingly, the company reported just $1 billion operating cash outflow last year with the third round of payroll support proceeds to assist employee salaries through September 2021. Despite tepid air travel demand, which remains 50% below pre-Covid levels, and macroeconomic uncertainty triggered by new coronavirus variants, Trefis believes that LUV stock is a good value investment in the long term. Per recent filings, the company had $10.7 billion of long-term debt and $14.4 billion of cash and short-term investments – highlighting efficient capital and operations management during the pandemic.
4327.0
2021-07-16 00:00:00 UTC
Senator asks airlines about worker shortages after billions in U.S. bailouts
AAL
https://www.nasdaq.com/articles/senator-asks-airlines-about-worker-shortages-after-billions-in-u.s.-bailouts-2021-07-16-0
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By David Shepardson WASHINGTON, July 16 (Reuters) - The chair of the U.S. Senate Commerce Committee has asked the chief executives of six airlines including American Airlines AAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N and JetBlue Airways JBLU.Oto explain reported worker shortages despite receiving billions in pandemic bailouts. Congress approved three separate rounds of taxpayer funding totaling $54 billion to pay much of U.S. airlines' payroll costs through Sept. 30 as a result of COVID-19 - as well as $25 billion in low-cost government loans. Senator Maria Cantwell, a Democrat, sent the airlines letters on Friday asking for answers to detailed questions about "recent reports of workforce shortages, flight cancellations, and delays, creating havoc and frustrating consumers as more Americans resume travel." The Transportation Security Administration said traffic hit almost 2.2 million passengers on Sunday, the highest daily total since February 2020. In the letters, Cantwell said at best each airline "poorly managed its marketing of flights and workforce as more people are traveling, and, at worst, it failed to meet the intent of tax payer funding and prepare for the surge in travel that we are now witnessing." Airlines were not allowed to issue involuntary layoffs or cut worker pay as part of government assistance. Cantwell asked the airlines, which also included Republic Airways and Allegiant Airlines ALGT.O, for answers about workforce management, if they have exhausted all U.S. payroll assistance and steps to address anticipated or current labor shortages due to increased consumer flight demand this year. American Airlines in June said it would cancel around 1% of its flights in July, while Southwest canceled hundreds of flights last month after computer and weather issues. Southwest said it was the "only major airline to maintain service at every U.S. airport we served prior to the pandemic" and did not layoff or furlough any staff. "We were staffed for what we’re flying and we’re flying for what we staffed," a spokeswoman said. American and Allegiant declined comment. Republic and JetBlue did not respond to a request for comments. Delta pointed to Chief Executive Ed Bastian's comments on Wednesday that "the challenges of getting our airline fully back to the service level our customers expect and deserve is daunting in light of the huge surge in demand that we are experiencing." (Reporting by David Shepardson Editing by Sonya Hepinstall Editing by Sonya Hepinstall) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
By David Shepardson WASHINGTON, July 16 (Reuters) - The chair of the U.S. Senate Commerce Committee has asked the chief executives of six airlines including American Airlines AAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N and JetBlue Airways JBLU.Oto explain reported worker shortages despite receiving billions in pandemic bailouts. Senator Maria Cantwell, a Democrat, sent the airlines letters on Friday asking for answers to detailed questions about "recent reports of workforce shortages, flight cancellations, and delays, creating havoc and frustrating consumers as more Americans resume travel." Southwest said it was the "only major airline to maintain service at every U.S. airport we served prior to the pandemic" and did not layoff or furlough any staff.
By David Shepardson WASHINGTON, July 16 (Reuters) - The chair of the U.S. Senate Commerce Committee has asked the chief executives of six airlines including American Airlines AAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N and JetBlue Airways JBLU.Oto explain reported worker shortages despite receiving billions in pandemic bailouts. Cantwell asked the airlines, which also included Republic Airways and Allegiant Airlines ALGT.O, for answers about workforce management, if they have exhausted all U.S. payroll assistance and steps to address anticipated or current labor shortages due to increased consumer flight demand this year. (Reporting by David Shepardson Editing by Sonya Hepinstall Editing by Sonya Hepinstall) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
By David Shepardson WASHINGTON, July 16 (Reuters) - The chair of the U.S. Senate Commerce Committee has asked the chief executives of six airlines including American Airlines AAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N and JetBlue Airways JBLU.Oto explain reported worker shortages despite receiving billions in pandemic bailouts. Senator Maria Cantwell, a Democrat, sent the airlines letters on Friday asking for answers to detailed questions about "recent reports of workforce shortages, flight cancellations, and delays, creating havoc and frustrating consumers as more Americans resume travel." Cantwell asked the airlines, which also included Republic Airways and Allegiant Airlines ALGT.O, for answers about workforce management, if they have exhausted all U.S. payroll assistance and steps to address anticipated or current labor shortages due to increased consumer flight demand this year.
By David Shepardson WASHINGTON, July 16 (Reuters) - The chair of the U.S. Senate Commerce Committee has asked the chief executives of six airlines including American Airlines AAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N and JetBlue Airways JBLU.Oto explain reported worker shortages despite receiving billions in pandemic bailouts. Congress approved three separate rounds of taxpayer funding totaling $54 billion to pay much of U.S. airlines' payroll costs through Sept. 30 as a result of COVID-19 - as well as $25 billion in low-cost government loans. Senator Maria Cantwell, a Democrat, sent the airlines letters on Friday asking for answers to detailed questions about "recent reports of workforce shortages, flight cancellations, and delays, creating havoc and frustrating consumers as more Americans resume travel."
4328.0
2021-07-16 00:00:00 UTC
4 Top Stock Trades for Monday: SPY, GLD, COIN, AAL
AAL
https://www.nasdaq.com/articles/4-top-stock-trades-for-monday%3A-spy-gld-coin-aal-2021-07-16
nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips The trend for the week continues, which is a choppy difficult environment thanks to the monthly options expiration. Now, let’s look at a few top stock trades for next week. Top Stock Trades for Monday No. 1: S&P 500 ETF (SPY) Click to Enlarge Source: Chart courtesy of TrendSpider The S&P 500 didn’t give bulls the most encouraging candle to work with on Friday. What’s known as a bearish engulfing candle, the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) opened above Thursday’s high but closed below it. It’s also trading below the 10-day moving average. From here, it looks like last week’s low could be in play, along with a test of the 21-day moving average and the topside of prior downtrend resistance. 7 of the Best Contrarian Stocks to Buy as Others Get Greedy That area should be good for a bounce. If it’s not, a further decline down to the $422 to $425 area is possible. There, the SPY finds the 10-week moving average, the 50-day moving average and its daily VWAP measure. Top Stock Trades for Monday No. 2: Gold ETF (GLD) Click to Enlarge Source: Chart courtesy of TrendSpider Gold has also been getting some attention with all this inflation talk, putting the SPDR Gold Trust (NYSEARCA:GLD) on investors’ radar. There’s a few things going on with this name. First, shares filled the gap near $171. However, it tagged the 200-day moving average and is now stalling near this zone. That said, it’s finding support on the current dip down at the 10-week and 10-day moving averages. So, now what? Watch Friday’s low. A break and close below the low puts a new support area in play, that being the $167.50 zone. Is that too close to current support? Maybe. But there the GLD should find a trifecta of support from the 21-day, 21-week and daily VWAP measure. On the upside, we really need to see this name clear the 200-day moving average, then the 50-day. Above that puts $175 in play, with the gap-fill near $175.50. Top Stock Trades for Monday No. 3: Coinbase (COIN) Click to Enlarge Source: Chart courtesy of TrendSpider Coinbase (NASDAQ:COIN) was showing promise at the start of the week. However, shares then broke down. We’ve since seen the stock lose most of its major moving averages, as well as its daily VWAP measure. Coinbase hasn’t been trading well, but perhaps it’s trying to bottom. We have an inside day on Friday while the overall market is lower. If Coinbase breaks the two-day low and can’t reclaim it, it puts the $208 to $213 area in play. 3 Tech Stocks to Watch as Antitrust Pressures Ease On the upside, though, it has to reclaim all of those major moving averages that it lost before it can gain any meaningful momentum. Top Trades for Monday No. 4: American Airlines (AAL) Click to Enlarge Source: Chart courtesy of TrendSpider American Airlines (NASDAQ:AAL) moved lower on the day and tested down into last week’s low. If shares break the two-week low and can’t reclaim it, this one may be heading down to its 200-day moving average and that key $18.50 area. From there, I would expect some sort of support. If it holds, look for a rebound back up toward $20-plus. The other level to watch here? The 10-week moving average. For now, that level is holding as support. We’ll see how long that lasts. On the date of publication, Bret Kenwell did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. The post 4 Top Stock Trades for Monday: SPY, GLD, COIN, AAL appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Click to Enlarge Source: Chart courtesy of TrendSpider American Airlines (NASDAQ:AAL) moved lower on the day and tested down into last week’s low. 4: American Airlines (AAL) The post 4 Top Stock Trades for Monday: SPY, GLD, COIN, AAL appeared first on InvestorPlace.
Click to Enlarge Source: Chart courtesy of TrendSpider American Airlines (NASDAQ:AAL) moved lower on the day and tested down into last week’s low. 4: American Airlines (AAL) The post 4 Top Stock Trades for Monday: SPY, GLD, COIN, AAL appeared first on InvestorPlace.
Click to Enlarge Source: Chart courtesy of TrendSpider American Airlines (NASDAQ:AAL) moved lower on the day and tested down into last week’s low. 4: American Airlines (AAL) The post 4 Top Stock Trades for Monday: SPY, GLD, COIN, AAL appeared first on InvestorPlace.
The post 4 Top Stock Trades for Monday: SPY, GLD, COIN, AAL appeared first on InvestorPlace. 4: American Airlines (AAL) Click to Enlarge Source: Chart courtesy of TrendSpider American Airlines (NASDAQ:AAL) moved lower on the day and tested down into last week’s low.
4329.0
2021-07-16 00:00:00 UTC
Senator asks airlines about worker shortages after billions in U.S. bailouts
AAL
https://www.nasdaq.com/articles/senator-asks-airlines-about-worker-shortages-after-billions-in-u.s.-bailouts-2021-07-16
nan
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WASHINGTON, July 16 (Reuters) - The chair of the U.S. Senate Commerce Committee asked the chief executives of six airlines including American Airlines AAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N and JetBlue Airways JBLU.O about worker shortages despite receiving billions in government bailouts. Congress approved three separate rounds of taxpayer funding totaling $54 billion to pay much of U.S. airlines' payroll costs through Sept. 30 as a result of COVID-19. Senator Maria Cantwell, a Democrat, said at best each airline "poorly managed its marketing of flights and workforce as more people are traveling, and, at worst, it failed to meet the intent of tax payer funding and prepare for the surge in travel that we are now witnessing." She also asked the airlines including Republic Airways and Allegiant Airlines ALGT.O for answers about their workforce. (Reporting by David Shepardson Editing by Chris Reese) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
WASHINGTON, July 16 (Reuters) - The chair of the U.S. Senate Commerce Committee asked the chief executives of six airlines including American Airlines AAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N and JetBlue Airways JBLU.O about worker shortages despite receiving billions in government bailouts. Congress approved three separate rounds of taxpayer funding totaling $54 billion to pay much of U.S. airlines' payroll costs through Sept. 30 as a result of COVID-19. Senator Maria Cantwell, a Democrat, said at best each airline "poorly managed its marketing of flights and workforce as more people are traveling, and, at worst, it failed to meet the intent of tax payer funding and prepare for the surge in travel that we are now witnessing."
WASHINGTON, July 16 (Reuters) - The chair of the U.S. Senate Commerce Committee asked the chief executives of six airlines including American Airlines AAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N and JetBlue Airways JBLU.O about worker shortages despite receiving billions in government bailouts. Congress approved three separate rounds of taxpayer funding totaling $54 billion to pay much of U.S. airlines' payroll costs through Sept. 30 as a result of COVID-19. She also asked the airlines including Republic Airways and Allegiant Airlines ALGT.O for answers about their workforce.
WASHINGTON, July 16 (Reuters) - The chair of the U.S. Senate Commerce Committee asked the chief executives of six airlines including American Airlines AAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N and JetBlue Airways JBLU.O about worker shortages despite receiving billions in government bailouts. Senator Maria Cantwell, a Democrat, said at best each airline "poorly managed its marketing of flights and workforce as more people are traveling, and, at worst, it failed to meet the intent of tax payer funding and prepare for the surge in travel that we are now witnessing." (Reporting by David Shepardson Editing by Chris Reese) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
WASHINGTON, July 16 (Reuters) - The chair of the U.S. Senate Commerce Committee asked the chief executives of six airlines including American Airlines AAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N and JetBlue Airways JBLU.O about worker shortages despite receiving billions in government bailouts. Congress approved three separate rounds of taxpayer funding totaling $54 billion to pay much of U.S. airlines' payroll costs through Sept. 30 as a result of COVID-19. Senator Maria Cantwell, a Democrat, said at best each airline "poorly managed its marketing of flights and workforce as more people are traveling, and, at worst, it failed to meet the intent of tax payer funding and prepare for the surge in travel that we are now witnessing."
4330.0
2021-07-16 00:00:00 UTC
Is American Airlines Stock Expensive?
AAL
https://www.nasdaq.com/articles/is-american-airlines-stock-expensive-2021-07-16
nan
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[Updated 07/14/2021] The shares of American Airlines (NASDAQ: AAL) declined from $58 in 2017 to $27 in 2019, primarily due to mounting concerns of rising long-term debt obligations. The coronavirus pandemic further weighed on shareholder returns as the company reported $1.4 billion of operating cash outflow in 2020. Notably, the stock has a market capitalization of $13 billion, much lower than $22 billion of long-term debt obligations (deducting cash & cash equivalents). In 2019, the company reported $3.8 billion of cash from operations, invested $4.2 billion in capital expenses, and paid $1.2 billion in dividends & share repurchases. While shareholder returns of dividends and stock repurchases remain suspended till September 2022 due to a clause under the CARES Act, it would take more than 10 years for AAL to completely repay its debt without paying any dividends and minimum capex (considering surplus cash after deducting capital expenses ($1.8 billion = $3.8 billion – $2 billion)). Thus, the stock has a downside risk despite the ongoing recovery in air travel demand. We highlight the historical trends in revenues, earnings, and valuation multiple in an interactive dashboard analysis, American Airlines Valuation. [Updated 05/12/2021] – Are Odds In Favor Of American Airlines Stock? With the progress in mass vaccination, passenger numbers at TSA checkpoints have observed a strong uptick in recent months. However, the air travel demand remains 50% below pre-Covid levels – indicating a downside risk for American Airlines (NASDAQ: AAL). After two rounds of payroll support, the U.S. government initiated a third phase as the huge salary cost head can trigger involuntary furloughs. While government support programs have buoyed investor sentiments and pushed airline stocks higher, American Airlines’ low net margins due to sizable interest expenses are likely to impact long-term shareholder returns. Notably, the PSP-3 requirements include suspension of dividends and share repurchases until September 2022. Given the tepid air travel demand and a slow macroeconomic recovery, Trefis believes that AAL stock is a risky bet at current levels. We highlight the historical trends in the company’s revenues, margins, and valuation multiple in an interactive dashboard analysis, American Airlines Valuation. Second quarter expectations highlight the lull in air travel business Per Q1 earnings release, the company expects its second-quarter revenues to observe a 40% contraction from pre-Covid levels (Q2 2019). Growth in passenger figures led to a guidance revision by American’s peers including United and Delta with an expectation of positive cash generation during the latter half of the year. However, the resurgence in coronavirus cases in various countries continues to impact international and business travel demand. Also, the third round of payroll support indicates that the lull in air travel business is likely to remain this year. The company will receive $3.3 billion of aid under the third round as opposed to $2.1 billion in the previous quarter. Government support has offset huge fixed costs in the past four quarters In 2020, American Airlines reported $17 billion of total revenues and $6.5 billion of operating cash outflow – assisted by the $6 billion of PSP-1. Subsequently, the company’s reported $4 billion of revenues in Q1 2021 and operating cash turned positive to $174 million due to $2.1 billion of PSP-2. Thus, government aid has been a key factor offsetting AAL’s salary-related expenses (salary and wages are 30% of total revenues). Moreover, the $1 billion of annual interest expenses weighed on the company’s net margins even before the pandemic and are expected to impact the balance sheet de-leveraging prospects in the coming years. Is there a better investment over American Airlines? American Airlines Stock Comparison With Peers summarizes how AAL compares against peers on metrics that matter. You can find more such useful comparisons on Peer Comparisons. See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
[Updated 07/14/2021] The shares of American Airlines (NASDAQ: AAL) declined from $58 in 2017 to $27 in 2019, primarily due to mounting concerns of rising long-term debt obligations. While shareholder returns of dividends and stock repurchases remain suspended till September 2022 due to a clause under the CARES Act, it would take more than 10 years for AAL to completely repay its debt without paying any dividends and minimum capex (considering surplus cash after deducting capital expenses ($1.8 billion = $3.8 billion – $2 billion)). However, the air travel demand remains 50% below pre-Covid levels – indicating a downside risk for American Airlines (NASDAQ: AAL).
However, the air travel demand remains 50% below pre-Covid levels – indicating a downside risk for American Airlines (NASDAQ: AAL). [Updated 07/14/2021] The shares of American Airlines (NASDAQ: AAL) declined from $58 in 2017 to $27 in 2019, primarily due to mounting concerns of rising long-term debt obligations. While shareholder returns of dividends and stock repurchases remain suspended till September 2022 due to a clause under the CARES Act, it would take more than 10 years for AAL to completely repay its debt without paying any dividends and minimum capex (considering surplus cash after deducting capital expenses ($1.8 billion = $3.8 billion – $2 billion)).
While shareholder returns of dividends and stock repurchases remain suspended till September 2022 due to a clause under the CARES Act, it would take more than 10 years for AAL to completely repay its debt without paying any dividends and minimum capex (considering surplus cash after deducting capital expenses ($1.8 billion = $3.8 billion – $2 billion)). [Updated 07/14/2021] The shares of American Airlines (NASDAQ: AAL) declined from $58 in 2017 to $27 in 2019, primarily due to mounting concerns of rising long-term debt obligations. However, the air travel demand remains 50% below pre-Covid levels – indicating a downside risk for American Airlines (NASDAQ: AAL).
American Airlines Stock Comparison With Peers summarizes how AAL compares against peers on metrics that matter. [Updated 07/14/2021] The shares of American Airlines (NASDAQ: AAL) declined from $58 in 2017 to $27 in 2019, primarily due to mounting concerns of rising long-term debt obligations. While shareholder returns of dividends and stock repurchases remain suspended till September 2022 due to a clause under the CARES Act, it would take more than 10 years for AAL to completely repay its debt without paying any dividends and minimum capex (considering surplus cash after deducting capital expenses ($1.8 billion = $3.8 billion – $2 billion)).
4331.0
2021-07-16 00:00:00 UTC
Forecast Of The Day: Alaska Airlines' Average Occupancy Rate
AAL
https://www.nasdaq.com/articles/forecast-of-the-day%3A-alaska-airlines-average-occupancy-rate-2021-07-16
nan
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What? Trefis expects Alaska Airlines (NYSE:ALK) Average Occupancy Rate to increase from around 55% in 2020 to about 67% in 2021 and to over 80% by 2022. Occupancy rates are defined as the percentage of seats occupied by revenue paying passengers in a flight. Why? While demand took a sharp hit in 2020 due to Covid-19, things are likely to get better over 2021 and 2022, as over 50% of U.S. adults are now vaccinated. So What? Alaska Airlines’ stock has rallied by about 17% year-to-date, and we think it has room for further gains as the recovery gathers pace. We value the stock at about $66 per share, ahead of the $58 market price. See Our Complete Analysis For Alaska Airlines What if you’re looking for a more balanced portfolio instead? Here’s a high-quality portfolio that’s beaten the market since 2016 See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Trefis expects Alaska Airlines (NYSE:ALK) Average Occupancy Rate to increase from around 55% in 2020 to about 67% in 2021 and to over 80% by 2022. Occupancy rates are defined as the percentage of seats occupied by revenue paying passengers in a flight. Alaska Airlines’ stock has rallied by about 17% year-to-date, and we think it has room for further gains as the recovery gathers pace.
Trefis expects Alaska Airlines (NYSE:ALK) Average Occupancy Rate to increase from around 55% in 2020 to about 67% in 2021 and to over 80% by 2022. Alaska Airlines’ stock has rallied by about 17% year-to-date, and we think it has room for further gains as the recovery gathers pace. See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Trefis expects Alaska Airlines (NYSE:ALK) Average Occupancy Rate to increase from around 55% in 2020 to about 67% in 2021 and to over 80% by 2022. Here’s a high-quality portfolio that’s beaten the market since 2016 See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Trefis expects Alaska Airlines (NYSE:ALK) Average Occupancy Rate to increase from around 55% in 2020 to about 67% in 2021 and to over 80% by 2022. While demand took a sharp hit in 2020 due to Covid-19, things are likely to get better over 2021 and 2022, as over 50% of U.S. adults are now vaccinated. See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
4332.0
2021-07-16 00:00:00 UTC
American Airlines Group Stock Should Retake $30 After Positive Guidance
AAL
https://www.nasdaq.com/articles/american-airlines-group-stock-should-retake-%2430-after-positive-guidance-2021-07-16
nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips Legacy aviation company American Airlines Group (NASDAQ:AAL) was hit hard during the Covid-19 pandemic, and AAL stock investors lost a lot of capital – but only if they panicked and sold their shares. AAL) airplane waiting on the tarmac. Represents airline stocks." width="300" height="169"> Source: GagliardiPhotography / Shutterstock.com On the other hand, if they held on, then the big picture looks much brighter. Vaccines are being rolled out, and the signs point to a recovery in the travel industry. Don’t get me wrong – for AAL stock holders, a full return to pre-pandemic levels won’t be quick or easy. But while the investors are patiently waiting and holding, there’s recently updated guidance and a bullish analyst call to keep everyone in good spirits. A Closer Look at AAL Stock So, is the $30 level a reasonable objective for the shareholders? 7 of the Best Contrarian Stocks to Buy as Others Get Greedy AAL stock was quite close to that level immediately prior to the Covid-19-precipitated price drop of February 2020. Therefore, I’d say that $30 is a reasonable goal to shoot for. It might be hard to recall this now, but American Airlines shares have actually gone much higher than that. In fact, the stock touched the $55 resistance level in 2006, 2014 and 2018. And in 2021, AAL stock touched the $25 resistance point in March and then again in June. Hence, $30 as a long-term goal shouldn’t be considered unrealistic. Now, in the interest of being fair and balanced, I must report an item of concern. Specifically, American Airlines has trailing 12-month earnings per share of -$14.73. That’s not what the bulls will want to see with a $20-ish stock. The point is that American Airlines isn’t exactly where the shareholders want the company to be, fiscally speaking. Still, as we’ll see, there are reasons to be optimistic. Hard to Dismiss On July 13, American Airlines provided updated second-quarter fiscal numbers. And apparently, Citi analyst Stephen Trent liked what he saw. “[T]he combination of the stronger-than-expected 2Q operational guide and the shares drifting below our target price are hard to dismiss,” Trent opined. Now, let’s not get ahead of ourselves here. American Airlines isn’t expected to report the company’s actual quarterly results until July 22. For the time being, though, it’s encouraging to hear what the company’s management has to say. Reportedly, American Airlines’ management guided for an adjusted per-share loss (excluding special credits) in the range of $1.76 and $1.67. Not only that, but the management expects to end the second quarter with $21.3 billion in liquidity. That’s more than $1 billion higher than the previously issued guidance, and the differential can be attributed to improving revenues and share sales. As Trent sees it, American Airlines’ updated figures suggest “a better quarter than the street had expected.” Seeing Green Shoots While we don’t have all of the final quarterly fiscal results yet, American Airlines did make an announcement that ought to get the bulls excited. Cash generation, reportedly, averaged around $1 million per day during the second quarter for American Airlines. That’s a first for the airline since the start of the Covid-19 pandemic – a difficult time as American Airlines was burning through roughly $100 million per day. Perhaps, then, CEO Doug Parker and President Robert Isom were justified in declaring that American Airlines is “clearly moving in the right direction.” It’s conceivable that the broader airline industry is also moving in the right direction. At least, that’s evidently the stance of MKM Partners analyst Conor Cunningham. “Domestic leisure traffic has fully recovered, and there are green shoots for business and international,” Conor Cunningham asserted. We can hope that there will be green shoots in the AAL stock chart, too. The Bottom Line American Airlines shares won’t likely reach $30 tomorrow, or next week. Like an airplane trip, there will be stops and inconveniences along the way. However, with the travel industry showing signs of life – and American Airlines on the right path – the shareholders can hold out hope for less turbulence and a safe flight. On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. The post American Airlines Group Stock Should Retake $30 After Positive Guidance appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Don’t get me wrong – for AAL stock holders, a full return to pre-pandemic levels won’t be quick or easy. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Legacy aviation company American Airlines Group (NASDAQ:AAL) was hit hard during the Covid-19 pandemic, and AAL stock investors lost a lot of capital – but only if they panicked and sold their shares. AAL) airplane waiting on the tarmac.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips Legacy aviation company American Airlines Group (NASDAQ:AAL) was hit hard during the Covid-19 pandemic, and AAL stock investors lost a lot of capital – but only if they panicked and sold their shares. AAL) airplane waiting on the tarmac. Don’t get me wrong – for AAL stock holders, a full return to pre-pandemic levels won’t be quick or easy.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips Legacy aviation company American Airlines Group (NASDAQ:AAL) was hit hard during the Covid-19 pandemic, and AAL stock investors lost a lot of capital – but only if they panicked and sold their shares. AAL) airplane waiting on the tarmac. Don’t get me wrong – for AAL stock holders, a full return to pre-pandemic levels won’t be quick or easy.
A Closer Look at AAL Stock So, is the $30 level a reasonable objective for the shareholders? We can hope that there will be green shoots in the AAL stock chart, too. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Legacy aviation company American Airlines Group (NASDAQ:AAL) was hit hard during the Covid-19 pandemic, and AAL stock investors lost a lot of capital – but only if they panicked and sold their shares.
4333.0
2021-07-15 00:00:00 UTC
American Airlines cancels voluntary leave for about 3,300 flight attendants
AAL
https://www.nasdaq.com/articles/american-airlines-cancels-voluntary-leave-for-about-3300-flight-attendants-2021-07-15
nan
nan
July 15 (Reuters) - American Airlines Group Inc AAL.O said on Thursday it has canceled the voluntary leaves of about 3,300 flight attendants, asking them to return either in November or December to meet rising customer demand, according to a letter to staff reviewed by Reuters. The U.S. airline said it would also begin recruiting and hiring about 800 new flight attendants by March 2022. (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
July 15 (Reuters) - American Airlines Group Inc AAL.O said on Thursday it has canceled the voluntary leaves of about 3,300 flight attendants, asking them to return either in November or December to meet rising customer demand, according to a letter to staff reviewed by Reuters. The U.S. airline said it would also begin recruiting and hiring about 800 new flight attendants by March 2022. (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
July 15 (Reuters) - American Airlines Group Inc AAL.O said on Thursday it has canceled the voluntary leaves of about 3,300 flight attendants, asking them to return either in November or December to meet rising customer demand, according to a letter to staff reviewed by Reuters. The U.S. airline said it would also begin recruiting and hiring about 800 new flight attendants by March 2022. (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
July 15 (Reuters) - American Airlines Group Inc AAL.O said on Thursday it has canceled the voluntary leaves of about 3,300 flight attendants, asking them to return either in November or December to meet rising customer demand, according to a letter to staff reviewed by Reuters. The U.S. airline said it would also begin recruiting and hiring about 800 new flight attendants by March 2022. (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
July 15 (Reuters) - American Airlines Group Inc AAL.O said on Thursday it has canceled the voluntary leaves of about 3,300 flight attendants, asking them to return either in November or December to meet rising customer demand, according to a letter to staff reviewed by Reuters. The U.S. airline said it would also begin recruiting and hiring about 800 new flight attendants by March 2022. (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
4334.0
2021-07-15 00:00:00 UTC
United Airlines’ Aircraft Order To Assist Long-Term Revenue Growth
AAL
https://www.nasdaq.com/articles/united-airlines-aircraft-order-to-assist-long-term-revenue-growth-2021-07-15
nan
nan
In a recent move, United Airlines (NASDAQ: UAL) announced a 270-plane order of Boeing 737 Max and Airbus A320s to replace its older regional and mainline aircraft. The new fleet will be 11% more energy efficient and lower carbon emission per seat by 15-20%. Along with better customer experience and a spacious cabin, the company is adding newer destinations and more aircraft options between various U.S. cities. Per Boeing’s commercial market outlook, the passenger air travel market is expected to grow at a single-digit rate in the next twenty years with new orders mainly driven by aircraft replacements. Apart from the earlier provided guidance of complete revenue and EBITDA recovery by 2023, United Airlines’ revenues are likely to observe strong growth post-2023 as new planes are added to the fleet. We highlight the key divisions of United Airlines’ revenues in an interactive dashboard analysis. Aircraft replacement necessary for margin expansion Per annual filings, United Airlines’ fleet comprises 812 mainline and 475 regional aircraft. The mainline primarily consists of 136 737-900ER and 141 737-800 aircraft types. The regional fleet is made up of 190 Embraer and 133 CRJ 200. The recently released aircraft retiral program mostly includes smaller mainline jets and 200 regional jets to be replaced over the next couple of years. With 500 new airplanes in the order book, 40% of United’s fleet will be comprised of newer aircraft – leading to substantial fuel savings and margin expansion. Travel demand and new retirement plan to push top line higher United Airlines’ revenues increased by 14% from $38 billion in 2017 to $43 billion in 2019, driven by rising capacity and ticket prices. Revenues are likely to continue the growth trajectory in the post-pandemic period as occupancy rates improve. Notably, passenger numbers at TSA checkpoints have reached almost 20% below 2019 figures assisted by recovering travel and the tourism sector. Also, the third round of payroll support requires airlines to suspend dividends and share repurchases until September 2022 – highlighting the requirement of strong cash generation to reinstate shareholder returns. Do United Airlines’ peers offer better gains? United Airlines Stock Comparison With Peers summarizes how UAL compares against peers on metrics that matter. You can find more such useful comparisons on Peer Comparisons. See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
In a recent move, United Airlines (NASDAQ: UAL) announced a 270-plane order of Boeing 737 Max and Airbus A320s to replace its older regional and mainline aircraft. With 500 new airplanes in the order book, 40% of United’s fleet will be comprised of newer aircraft – leading to substantial fuel savings and margin expansion. Notably, passenger numbers at TSA checkpoints have reached almost 20% below 2019 figures assisted by recovering travel and the tourism sector.
In a recent move, United Airlines (NASDAQ: UAL) announced a 270-plane order of Boeing 737 Max and Airbus A320s to replace its older regional and mainline aircraft. Aircraft replacement necessary for margin expansion Per annual filings, United Airlines’ fleet comprises 812 mainline and 475 regional aircraft. The recently released aircraft retiral program mostly includes smaller mainline jets and 200 regional jets to be replaced over the next couple of years.
In a recent move, United Airlines (NASDAQ: UAL) announced a 270-plane order of Boeing 737 Max and Airbus A320s to replace its older regional and mainline aircraft. Apart from the earlier provided guidance of complete revenue and EBITDA recovery by 2023, United Airlines’ revenues are likely to observe strong growth post-2023 as new planes are added to the fleet. Aircraft replacement necessary for margin expansion Per annual filings, United Airlines’ fleet comprises 812 mainline and 475 regional aircraft.
In a recent move, United Airlines (NASDAQ: UAL) announced a 270-plane order of Boeing 737 Max and Airbus A320s to replace its older regional and mainline aircraft. Apart from the earlier provided guidance of complete revenue and EBITDA recovery by 2023, United Airlines’ revenues are likely to observe strong growth post-2023 as new planes are added to the fleet. Aircraft replacement necessary for margin expansion Per annual filings, United Airlines’ fleet comprises 812 mainline and 475 regional aircraft.
4335.0
2021-07-15 00:00:00 UTC
American Airlines Lifts Q2 Guidance; Shares Soar
AAL
https://www.nasdaq.com/articles/american-airlines-lifts-q2-guidance-shares-soar-2021-07-15
nan
nan
Shares of American Airlines Group Inc. (AAL) soared 3% to close at $20.62 on July 14, following the news that the company is lifting its Q2 guidance ahead of its earnings. AAL also stated that it is expecting to report its first positive quarter post-pandemic. AAL credited factors such as continued momentum in travel demand and forward bookings for its positive outlook. American flew 44 million passengers during the quarter, up 83% from the first quarter and more than five times that of the year-ago period. (See American Airlines stock charts on TipRanks) The sector was one of the worst-hit when nationwide borders and global travel came to a standstill owing to the pandemic. However, the sector is recovering steadily with the strong vaccine rollout and easing of travel restrictions. In Q2, the company expects to report revenue of $7.475 billion, and earnings (excluding net special items) are expected to be in the range of $(1.67) to $(1.76) per share. The Streets’ estimates for revenue and earnings are pegged at $7.14 billion and $(2.41) per share. Additionally, the company forecast an average daily cash build of $1 million, showing a significant improvement over an average daily cash burn of $27 million reported in the first quarter. The company also expects to report approximately $21.3 billion in total available liquidity at quarter-end. The company’s CEO Doug Parker said, “Our revenue and expense performance in the quarter came in better than expectations, and this was achieved while bringing the operation back up to full capacity and safely transporting a record number of travelers.” On July 13, Jefferies analyst Sheila Kahyaoglu maintained a Hold rating on the stock and assigned a price target of $24, implying 16.4% upside potential to current levels. Kahyaoglu said, “Our Hold rating balances our belief that AAL may be the best positioned of the network carriers with the youngest fleet and a strong competitive positioning through its network, with the restrictive nature of AAL's leverage keeping us on the side-line.” The stock has an overall Hold consensus rating based on 2 Buys, 4 Holds, and 4 Sells. The average American Airlines price target of $20.83 implies 1% upside potential to current levels. Shares have gained 53.4% over the past year. According to TipRanks’ Smart Score system, American Airlines gets a 5 out of 10, which indicates that the stock is likely to perform in line with market averages. Related News: Why is Tesla in the Spotlight This Week? Apple to Launch Buy Now, Pay Later Service; Shares Hit Record High – Report Costco Stock Hits 52-Week High The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Shares of American Airlines Group Inc. (AAL) soared 3% to close at $20.62 on July 14, following the news that the company is lifting its Q2 guidance ahead of its earnings. AAL also stated that it is expecting to report its first positive quarter post-pandemic. AAL credited factors such as continued momentum in travel demand and forward bookings for its positive outlook.
Shares of American Airlines Group Inc. (AAL) soared 3% to close at $20.62 on July 14, following the news that the company is lifting its Q2 guidance ahead of its earnings. AAL also stated that it is expecting to report its first positive quarter post-pandemic. AAL credited factors such as continued momentum in travel demand and forward bookings for its positive outlook.
Kahyaoglu said, “Our Hold rating balances our belief that AAL may be the best positioned of the network carriers with the youngest fleet and a strong competitive positioning through its network, with the restrictive nature of AAL's leverage keeping us on the side-line.” The stock has an overall Hold consensus rating based on 2 Buys, 4 Holds, and 4 Sells. Shares of American Airlines Group Inc. (AAL) soared 3% to close at $20.62 on July 14, following the news that the company is lifting its Q2 guidance ahead of its earnings. AAL also stated that it is expecting to report its first positive quarter post-pandemic.
Shares of American Airlines Group Inc. (AAL) soared 3% to close at $20.62 on July 14, following the news that the company is lifting its Q2 guidance ahead of its earnings. AAL also stated that it is expecting to report its first positive quarter post-pandemic. AAL credited factors such as continued momentum in travel demand and forward bookings for its positive outlook.
4336.0
2021-07-14 00:00:00 UTC
Wall Street Love Is Sending These 2 Nasdaq Stocks Higher
AAL
https://www.nasdaq.com/articles/wall-street-love-is-sending-these-2-nasdaq-stocks-higher-2021-07-14
nan
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The stock market moved higher on Wednesday morning, and the Nasdaq Composite (NASDAQINDEX: ^IXIC) was one of the best performing markets on Wall Street. As of 11 a.m. EDT, the Nasdaq was up half a percent and doing its best to a third of a percent even as some other market benchmarks were down on the day. Wall Street analysts often have dramatic short-term impacts on stocks. On Wednesday, a couple of well-known stocks were beneficiaries of positive comments from professional investors. Below, we'll look more closely at lululemon athletica (NASDAQ: LULU) and American Airlines Group (NASDAQ: AAL) to see why they're headed higher and what Wall Street's finest expect from them. Goldman loves Lululemon Shares of Lululemon were up 2.5% on Wednesday morning. The yoga and athletic apparel specialist got a huge vote of confidence from one of Wall Street's most-followed companies. Goldman Sachs put Lululemon on its conviction list, accenting its buy rating on the retailer. Goldman's price target of $447 per share offers about 18% more upside even after accounting for the rise thus far on Wednesday. Image source: Getty Images. The argument favoring Lululemon is one that shareholders have seen before. On one hand, Lululemon did a good job during the pandemic of building out its digital distribution channel, and the experience helped boost brand awareness among consumers. However, as retailers recover from the pandemic, Lululemon has a new opportunity to capture people coming back to brick-and-mortar retail, especially given its strong customer loyalty and close-knit community of brand ambassadors and devoted fans. With the move, Lululemon is getting close to its all-time high from September 2020. From there, the sky could be the limit for the yoga apparel retailer. American gains altitude Elsewhere, shares of American Airlines Group picked up 4%. The airline stock has faced huge challenges over the past year and a half, but at least one Wall Street analyst thinks that the worst might be over for American. Analysts at Citi upgraded American from sell to neutral, citing a more balanced risk-reward proposition after the stock's recent decline. Citi has had a price target of $21.50 per share on the stock, and the drop below that level has made the airline more attractive from a valuation perspective. Investors also got some positive business news from American. The airline upgraded its assessment of how revenue is likely to have fared in the second quarter, with new predictions calling for a 37.5% drop in sales compared to pre-pandemic levels two years ago. Obviously, that looks terrible, but it's better than previous guidance for a 40% decline. Losses won't end anytime soon for American, but airlines appear to be moving in the right direction. It's unclear how long that will last, especially if new fears about the potential for COVID-19 variants prolong border closures for international travel and even bring back lockdown measures. For now, though, airline stock investors seem to be hoping for the best even as they make plans for what could be worst-case scenarios going forward. 10 stocks we like better than Lululemon Athletica When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Lululemon Athletica wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Citigroup is an advertising partner of The Ascent, a Motley Fool company. Dan Caplinger owns shares of Lululemon Athletica. The Motley Fool owns shares of and recommends Lululemon Athletica. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Below, we'll look more closely at lululemon athletica (NASDAQ: LULU) and American Airlines Group (NASDAQ: AAL) to see why they're headed higher and what Wall Street's finest expect from them. On one hand, Lululemon did a good job during the pandemic of building out its digital distribution channel, and the experience helped boost brand awareness among consumers. The airline stock has faced huge challenges over the past year and a half, but at least one Wall Street analyst thinks that the worst might be over for American.
Below, we'll look more closely at lululemon athletica (NASDAQ: LULU) and American Airlines Group (NASDAQ: AAL) to see why they're headed higher and what Wall Street's finest expect from them. The stock market moved higher on Wednesday morning, and the Nasdaq Composite (NASDAQINDEX: ^IXIC) was one of the best performing markets on Wall Street. The Motley Fool owns shares of and recommends Lululemon Athletica.
Below, we'll look more closely at lululemon athletica (NASDAQ: LULU) and American Airlines Group (NASDAQ: AAL) to see why they're headed higher and what Wall Street's finest expect from them. The airline stock has faced huge challenges over the past year and a half, but at least one Wall Street analyst thinks that the worst might be over for American. 10 stocks we like better than Lululemon Athletica When our award-winning analyst team has a stock tip, it can pay to listen.
Below, we'll look more closely at lululemon athletica (NASDAQ: LULU) and American Airlines Group (NASDAQ: AAL) to see why they're headed higher and what Wall Street's finest expect from them. The stock market moved higher on Wednesday morning, and the Nasdaq Composite (NASDAQINDEX: ^IXIC) was one of the best performing markets on Wall Street. * They just revealed what they believe are the ten best stocks for investors to buy right now... and Lululemon Athletica wasn't one of them!
4337.0
2021-07-14 00:00:00 UTC
Wall St eases as declines in cyclicals outweigh boost from growth stocks
AAL
https://www.nasdaq.com/articles/wall-st-eases-as-declines-in-cyclicals-outweigh-boost-from-growth-stocks-2021-07-14
nan
nan
By Devik Jain and Shreyashi Sanyal July 14 (Reuters) - Wall Street's main indexes eased on Wednesday, with the S&P 500 retreating from a record high, as a decline in economy-sensitive cyclical stocks outweigh an early boost from growth stocks after reassuring comments from the Federal Reserve. More than half of the 11 major S&P 500 sectors were trading lower by early afternoon, with energy .SPNY and financials .SPSY leading declines. U.S. monetary policy will offer "powerful support" to the economy "until the recovery is complete," Fed Chair Jerome Powell said on Wednesday in remarks that portrayed a recent jump in inflation as temporary and focused on the need for continued job gains. "Markets have been in a bit of a tug of war between concerns about high inflation and concerns about pulling back of monetary policy," said Randy Frederick, vice president of trading and derivatives at Charles Schwab. "And as Powell continues to say he's not going to hike rates, then the market continues to perform well." Data on Wednesday showed U.S. producer prices increased more than expected in June, a day after a reading showed U.S. consumer prices rose by the most in 13 years last month. Trading on Wall Street has been dictated by rising inflation in the past few weeks, with investors fearing that the double whammy from a possible hawkish shift by the Federal Reserve and a spike in coronavirus infections could knock U.S. equities off record highs. Growth stocks including Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com Inc AMZN.O rose between 0.2% and 2.2%, leading gains. Also boosting Apple shares was a report that the iPhone makeris planning a 'buy now, pay later' service. [nL4N2OP3RO] JPMorgan Chase & Co JPM.N and Goldman Sachs Group Inc GS.Nreported blowout earnings on Tuesday, starting off the second quarter reporting season on a high note. Bank of America Corp BAC.N, Wells Fargo WFC.N and Citigroup Inc C.N also beat profit estimates. Wells Fargo and Citi rose, but BofA fell 3.8% as its mainstay lending business took a hit from low interest rates. The S&P 500 banks index .SPXBK fell 1.2% for the second straight day after gaining steadily till the start of the earnings season. American Airlines AAL.O jumped 2.9% after it forecast positive cash flow. Analysts expect 66% profit growthfor S&P 500 companies in the second quarter, compared to a 30.6% decline during the second quarter of 2020, according to IBES estimate data from Refinitiv. "Second-quarter earnings season will be very much like the first quarter, in that expectations will meet or exceed street forecast for the most part," said Eric Marshall, portfolio manager & head of research at Hodges Capital Management in Dallas. At 12:07 p.m. ET, the Dow Jones Industrial Average .DJI was up 16.20 points, or 0.05%, at 34,904.99, the S&P 500 .SPX was up 4.31 points, or 0.10%, at 4,373.52 and the Nasdaq Composite .IXIC was down 1.13 points, or 0.01%, at 14,676.52. Declining issues outnumbered advancers for a 1.32-to-1 ratio on the NYSE and for a 1.87-to-1 ratio on the Nasdaq. The S&P index recorded 32 new 52-week highs and one new low, while the Nasdaq recorded 42 new highs and 94 new lows. SPX & CPIhttps://tmsnrt.rs/3yUEtxC (Reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; Editing by Maju Samuel) ((Devik.Jain@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2062; ;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines AAL.O jumped 2.9% after it forecast positive cash flow. U.S. monetary policy will offer "powerful support" to the economy "until the recovery is complete," Fed Chair Jerome Powell said on Wednesday in remarks that portrayed a recent jump in inflation as temporary and focused on the need for continued job gains. Trading on Wall Street has been dictated by rising inflation in the past few weeks, with investors fearing that the double whammy from a possible hawkish shift by the Federal Reserve and a spike in coronavirus infections could knock U.S. equities off record highs.
American Airlines AAL.O jumped 2.9% after it forecast positive cash flow. By Devik Jain and Shreyashi Sanyal July 14 (Reuters) - Wall Street's main indexes eased on Wednesday, with the S&P 500 retreating from a record high, as a decline in economy-sensitive cyclical stocks outweigh an early boost from growth stocks after reassuring comments from the Federal Reserve. Data on Wednesday showed U.S. producer prices increased more than expected in June, a day after a reading showed U.S. consumer prices rose by the most in 13 years last month.
American Airlines AAL.O jumped 2.9% after it forecast positive cash flow. By Devik Jain and Shreyashi Sanyal July 14 (Reuters) - Wall Street's main indexes eased on Wednesday, with the S&P 500 retreating from a record high, as a decline in economy-sensitive cyclical stocks outweigh an early boost from growth stocks after reassuring comments from the Federal Reserve. U.S. monetary policy will offer "powerful support" to the economy "until the recovery is complete," Fed Chair Jerome Powell said on Wednesday in remarks that portrayed a recent jump in inflation as temporary and focused on the need for continued job gains.
American Airlines AAL.O jumped 2.9% after it forecast positive cash flow. By Devik Jain and Shreyashi Sanyal July 14 (Reuters) - Wall Street's main indexes eased on Wednesday, with the S&P 500 retreating from a record high, as a decline in economy-sensitive cyclical stocks outweigh an early boost from growth stocks after reassuring comments from the Federal Reserve. [nL4N2OP3RO] JPMorgan Chase & Co JPM.N and Goldman Sachs Group Inc GS.Nreported blowout earnings on Tuesday, starting off the second quarter reporting season on a high note.
4338.0
2021-07-14 00:00:00 UTC
American Airlines Passing Through Turbulence
AAL
https://www.nasdaq.com/articles/american-airlines-passing-through-turbulence-2021-07-14
nan
nan
After more than a year of lockdowns and border closings, many travelers are more than ready to board a plane and go somewhere. While business trends are moving in the right direction, the share prices of most airline and industry related stocks have been sloping steadily downward. American Airlines, Inc. (AAL) is no exception, seeing its share price hit a year-long high on June 2, and from there pulling back about 22%. (See American Airlines stock charts on TipRanks) Expressing her hypothesis on the company is Savanthi Syth of Raymond James Financial. Syth was not won over by the high demand for flights or the revenues brought in. Instead, she explained that the challenges facing the company and industry in general were too strong for any new attractive entry point. Syth rated the stock a Hold, and did not assign a price target. The four-star analyst wrote that reasons for the slump in share price include investor rotation out of the sector, consumer fears over the contagious Delta-variant of COVID-19, and rising gas costs for airlines. However, the latter is already baked into her forecasts for the airline industry, and as such is a non-issue in her evaluations. Easing CDC guidelines on leisure travel are expected to aide the airline with its domestic business, although those benefits might be canceled out by the slowdown in international travel. Nevertheless, Syth noted, American Airlines traditionally has “lower exposure to the long-haul international segment,” than its ilk. Furthermore, she does not expect countries that have vaccinated over 50% of their eligible populations to rollback reopening their economies. Even after the CARES act helpfully injected capital into the airline, AAL still finds itself in a short-staffed position and unable to operate about 1% of its July flights. It recently announced the temporary cancellation of these flights, but Syth expects the company to be back on its feet by the fall season. Syth defended her rating on the stock, stating that AAL’s “balance sheet remains the worst amongst U.S. airlines on an adjusted net debt to total capitalization basis.” The company does not have nearly the thirst for capital that United Airlines (UAL) has after its aircraft purchases, but will have pressure to deleverage its balance sheet soon after Delta Air Lines (DAL) deleverages its own. On TipRanks, AAL has an analyst rating consensus of Moderate Sell, based on 2 Buy, 2 Hold, and 5 Sell ratings. The average American Airlines price target is $21.44, suggesting a potential 12-month upside of 1.47% as of early Wednesday intra-day trading. Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Even after the CARES act helpfully injected capital into the airline, AAL still finds itself in a short-staffed position and unable to operate about 1% of its July flights. Syth defended her rating on the stock, stating that AAL’s “balance sheet remains the worst amongst U.S. airlines on an adjusted net debt to total capitalization basis.” The company does not have nearly the thirst for capital that United Airlines (UAL) has after its aircraft purchases, but will have pressure to deleverage its balance sheet soon after Delta Air Lines (DAL) deleverages its own. American Airlines, Inc. (AAL) is no exception, seeing its share price hit a year-long high on June 2, and from there pulling back about 22%.
On TipRanks, AAL has an analyst rating consensus of Moderate Sell, based on 2 Buy, 2 Hold, and 5 Sell ratings. American Airlines, Inc. (AAL) is no exception, seeing its share price hit a year-long high on June 2, and from there pulling back about 22%. Even after the CARES act helpfully injected capital into the airline, AAL still finds itself in a short-staffed position and unable to operate about 1% of its July flights.
Syth defended her rating on the stock, stating that AAL’s “balance sheet remains the worst amongst U.S. airlines on an adjusted net debt to total capitalization basis.” The company does not have nearly the thirst for capital that United Airlines (UAL) has after its aircraft purchases, but will have pressure to deleverage its balance sheet soon after Delta Air Lines (DAL) deleverages its own. American Airlines, Inc. (AAL) is no exception, seeing its share price hit a year-long high on June 2, and from there pulling back about 22%. Even after the CARES act helpfully injected capital into the airline, AAL still finds itself in a short-staffed position and unable to operate about 1% of its July flights.
American Airlines, Inc. (AAL) is no exception, seeing its share price hit a year-long high on June 2, and from there pulling back about 22%. Even after the CARES act helpfully injected capital into the airline, AAL still finds itself in a short-staffed position and unable to operate about 1% of its July flights. Syth defended her rating on the stock, stating that AAL’s “balance sheet remains the worst amongst U.S. airlines on an adjusted net debt to total capitalization basis.” The company does not have nearly the thirst for capital that United Airlines (UAL) has after its aircraft purchases, but will have pressure to deleverage its balance sheet soon after Delta Air Lines (DAL) deleverages its own.
4339.0
2021-07-14 00:00:00 UTC
3 of Today’s Top Gainer Stocks to Buy
AAL
https://www.nasdaq.com/articles/3-of-todays-top-gainer-stocks-to-buy-2021-07-14
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips Bulls are stampeding back into stocks today after running scared yesterday. The snapback is easing concerns of a larger correction and providing plenty of strength to chase if you’re seeking stocks to buy. After sorting my watchlist by percent change, I found a trio of stocks to buy with tempting price patterns. I’ll share them with you below. Allow me to emphasize the importance of both relative strength and a quality chart pattern. Just because a stock is popping a 3% on a random session doesn’t mean it’s worth purchasing. The ramp must be accompanied by a bullish setup that provides a low-risk/high reward entry point. Even the ugliest downtrends will score the occasional sharp rally and show up on the leaderboard. 7 High-Quality Stocks to Buy That Are Trading Below Fair Value Today’s three picks are either scoring breakouts or getting close to breaking out, making them timely selections. That’s the pitch; here are the picks. Yeti Holdings (NYSE:YETI) Qualcomm (NASDAQ:QCOM) American Airlines (NYSE:AAL) We’ll follow the usual course, with a brief look at each chart and an options trade idea. Top Gainer Stocks to Buy: Yeti Holdings (YETI) Source: The thinkorswim® platform from TD Ameritrade The pandemic lit a fire under Yeti shares, and it’s been burning bright ever since. From the March 2020 lows, YETI stock is up a jaw-dropping 532%. Every single dip has been gobbled up along the way; every breakout has been chased. This morning’s 3% jump is pressing prices into a critical resistance zone near $95.50. The past two attempts to pierce this level got rejected, and shareholders are hoping the third time is a charm. The century mark looming overhead supports the bullish view. $100 often acts as a magnet that strengthens the closer prices get to it. History is littered with examples of equities that traveled to $100 after pushing past $90. I suspect YETI stock to do likewise. My preferred way to play here is with bull call spreads. The Trade: Buy the August $95/$100 bull call vertical spread for $2.20. The max loss is $2.20, and the max gain is $2.80. Qualcomm (QCOM) Source: The thinkorswim® platform from TD Ameritrade The chip stock fallout earlier in the year took a toll on Qualcomm shares. From peak to trough, QCOM stock ultimately corrected 27%. In the two quarters since prices have been carving out a trading range to bring stability back. With the Nasdaq zipping to new highs this month, strength has returned to semis, and it’s benefiting QCOM shares. This morning’s 3% jump is triggering a bullish breakout and confirming the start of a new uptrend. The chart is solid enough to make QCOM one of the best stocks to buy. Optimism ahead of the July 28 earnings report could keep powering prices higher over the coming two weeks. This is about as healthy as Qualcomm has looked since January. 7 High-Quality Stocks to Buy That Are Trading Below Fair Value Call spreads are once again my strategy of choice. I like structuring one cheap enough to allow us to hold through earnings without risking too much. The Trade: Buy the August $145/$150 bull call for $2.20. The max loss is $2.20, and the max gain is $2.80. Top Gainer Stocks to Buy: American Airlines (AAL) Source: The thinkorswim® platform from TD Ameritrade American Airlines shares are taking off this morning with a sharp 7% gain after the company pre-announced better than expected revenue numbers for the second quarter. Apparently, the airline giant didn’t want to wait for its July 22 earnings announcement. As such, we’re getting a quarterly report-type reaction now. The news is being celebrated as the latest sign that air travel is returning to normal after grinding to a halt in the pandemic’s wake. On the price action front, AAL stock has been in a downtrend for the last two months. Importantly, today’s gain is helping the stock hold support at $20. With prices still stuck beneath the 20-day moving average, I much prefer a cash flow play here versus directional. Short puts should do the trick. The Trade: Sell the August $19 put for 40 cents. Consider this a bet that AAL sits above $19 at expiration. If it does, you’ll capture the 40 cent profit. On the date of publication, Tyler Craig held LONG positions in QCOM. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. For a free trial to the best trading community on the planet and Tyler’s current home, click here! The post 3 of Today’s Top Gainer Stocks to Buy appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Yeti Holdings (NYSE:YETI) Qualcomm (NASDAQ:QCOM) American Airlines (NYSE:AAL) We’ll follow the usual course, with a brief look at each chart and an options trade idea. Top Gainer Stocks to Buy: American Airlines (AAL) Source: The thinkorswim® platform from TD Ameritrade American Airlines shares are taking off this morning with a sharp 7% gain after the company pre-announced better than expected revenue numbers for the second quarter. On the price action front, AAL stock has been in a downtrend for the last two months.
Yeti Holdings (NYSE:YETI) Qualcomm (NASDAQ:QCOM) American Airlines (NYSE:AAL) We’ll follow the usual course, with a brief look at each chart and an options trade idea. Top Gainer Stocks to Buy: American Airlines (AAL) Source: The thinkorswim® platform from TD Ameritrade American Airlines shares are taking off this morning with a sharp 7% gain after the company pre-announced better than expected revenue numbers for the second quarter. On the price action front, AAL stock has been in a downtrend for the last two months.
Top Gainer Stocks to Buy: American Airlines (AAL) Source: The thinkorswim® platform from TD Ameritrade American Airlines shares are taking off this morning with a sharp 7% gain after the company pre-announced better than expected revenue numbers for the second quarter. Yeti Holdings (NYSE:YETI) Qualcomm (NASDAQ:QCOM) American Airlines (NYSE:AAL) We’ll follow the usual course, with a brief look at each chart and an options trade idea. On the price action front, AAL stock has been in a downtrend for the last two months.
On the price action front, AAL stock has been in a downtrend for the last two months. Yeti Holdings (NYSE:YETI) Qualcomm (NASDAQ:QCOM) American Airlines (NYSE:AAL) We’ll follow the usual course, with a brief look at each chart and an options trade idea. Top Gainer Stocks to Buy: American Airlines (AAL) Source: The thinkorswim® platform from TD Ameritrade American Airlines shares are taking off this morning with a sharp 7% gain after the company pre-announced better than expected revenue numbers for the second quarter.
4340.0
2021-07-14 00:00:00 UTC
S&P 500 ends higher after Powell lulls market
AAL
https://www.nasdaq.com/articles/sp-500-ends-higher-after-powell-lulls-market-2021-07-14
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By Noel Randewich and Devik Jain July 14 (Reuters) - The S&P 500 ended with a gain after briefly hitting an intra-day record in a choppy session on Wednesday, as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. Of the 11 S&P 500 sector indexes, utilities .SPLRCU and consumer staples .SPLRCS were among the strongest, while energy .SPNY sank over 3%. U.S. monetary policy will offer "powerful support" to the economy "until the recovery is complete," Powell told a congressional hearing in remarks that portrayed a recent jump in inflation as temporary and focused on the need for continued job growth. Powell's comments followed data this week showing U.S. producer prices increased more than expected in June and U.S. consumer prices rose by the most in 13 years. Investors in recent weeks have focused on inflation, with many fearing a possible hawkish shift by the Federal Reserve, as well as a spike in coronavirus infections that could knock U.S. equities off record highs. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv. The S&P 500 is up about 16% so far this year, leading many investors to worry that the stock market rally may run out of steam, and they are looking to earnings to potentially provide more fuel. "Everyone knows earnings are going to be very strong. The question is how the market reacts to those earnings, and what are the outlooks given by management. That is more critical than anything," said Tim Ghriskey, chief investment strategist at Inverness Counsel in New York. Apple Inc AAPL.O hit a record high after Bloomberg reported that the company wants suppliers to increase production of its upcoming iPhone by about 20%. Microsoft MSFT.O also hit a record high after saying it will offer its Windows operating system as a cloud-based service, aiming to make it easier to access business apps that need Windows from a broader range of devices. Microsoft and Apple supported the S&P 500 more than any other stocks. Bank of America Corp BAC.N dropped after the lender posted its quarterly results and detailed its sensitivity to low interest rates Wells Fargo WFC.N rose after it swung to a profit in the second quarter, smashing Wall Street expectations. Citigroup C.N fell after comfortably beat market estimates for second-quarter profits. Those reports followed strong results on Tuesday from JPMorgan Chase & Co JPM.N and Goldman Sachs Group Inc GS.N. Unofficially, the Dow Jones Industrial Average .DJI rose 0.12% to end at 34,930.34 points, while the S&P 500 .SPX gained 0.10% to 4,373.55. The Nasdaq Composite .IXIC dropped 0.26% to 14,639.60. American Airlines AAL.O rallied after it forecast positive cash flow. Lululemon Athletica LULU.O jumped after Goldman Sachs called the yoga pants seller a "top idea" as apparel makers benefit from the economic reopening. S&P 500 forward P/E is far above its historical averagehttps://tmsnrt.rs/3B5fWrC (Reporting by Noel Randewich; Additional reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; Editing by Maju Samuel and Cynthia Osterman) ((noel.randewich@tr.com; (415) 677 2542, Twitter: @randewich)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines AAL.O rallied after it forecast positive cash flow. By Noel Randewich and Devik Jain July 14 (Reuters) - The S&P 500 ended with a gain after briefly hitting an intra-day record in a choppy session on Wednesday, as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. U.S. monetary policy will offer "powerful support" to the economy "until the recovery is complete," Powell told a congressional hearing in remarks that portrayed a recent jump in inflation as temporary and focused on the need for continued job growth.
American Airlines AAL.O rallied after it forecast positive cash flow. Powell's comments followed data this week showing U.S. producer prices increased more than expected in June and U.S. consumer prices rose by the most in 13 years. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv.
American Airlines AAL.O rallied after it forecast positive cash flow. By Noel Randewich and Devik Jain July 14 (Reuters) - The S&P 500 ended with a gain after briefly hitting an intra-day record in a choppy session on Wednesday, as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv.
American Airlines AAL.O rallied after it forecast positive cash flow. By Noel Randewich and Devik Jain July 14 (Reuters) - The S&P 500 ended with a gain after briefly hitting an intra-day record in a choppy session on Wednesday, as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv.
4341.0
2021-07-14 00:00:00 UTC
S&P 500 ends higher after Powell lulls market
AAL
https://www.nasdaq.com/articles/sp-500-ends-higher-after-powell-lulls-market-2021-07-14-0
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By Noel Randewich and Devik Jain July 14 (Reuters) - The S&P 500 ended with a gain after briefly hitting an intra-day record in a choppy session on Wednesday, as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. Of the 11 S&P 500 sector indexes, utilities .SPLRCU, real estate .SPLRCR and consumer staples .SPLRCS were among the strongest, each up about 0.9%, while energy .SPNY sank about 3%. U.S. monetary policy will offer "powerful support" to the economy "until the recovery is complete," Powell told a congressional hearing in remarks that portrayed a recent jump in inflation as temporary and focused on the need for continued job growth. Powell's comments followed data this week showing U.S. producer prices increased more than expected in June and U.S. consumer prices rose by the most in 13 years. Investors in recent weeks have focused on inflation, with many fearing a possible hawkish shift by the Federal Reserve, as well as a spike in coronavirus infections that could knock U.S. equities off record highs. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv. The S&P 500 is up about 16% so far this year, leading many investors to worry that the stock market rally may run out of steam, and they are looking to earnings to potentially provide more fuel. "Everyone knows earnings are going to be very strong. The question is how the market reacts to those earnings, and what are the outlooks given by management. That is more critical than anything," said Tim Ghriskey, chief investment strategist at Inverness Counsel in New York. Apple Inc AAPL.O jumped 2.4% to a record high after Bloomberg reported that the company wants suppliers to increase production of its upcoming iPhone by about 20%. Microsoft MSFT.O added 0.5% and closed at a record high after saying it will offer its Windows operating system as a cloud-based service, aiming to make it easier to access business apps that need Windows from a broader range of devices. Microsoft and Apple supported the S&P 500 more than any other stocks. Bank of America Corp BAC.N dropped 2.5% after the lender posted its quarterly results and detailed its sensitivity to low interest rates Wells Fargo WFC.N rose 4% after it swung to a profit in the second quarter, smashing Wall Street expectations. Citigroup C.N fell 0.3% after comfortably beat market estimates for second-quarter profits. Those reports followed strong results on Tuesday from JPMorgan Chase & Co JPM.N and Goldman Sachs Group Inc GS.N. The Dow Jones Industrial Average .DJI rose 0.13% to end at 34,933.43 points, while the S&P 500 .SPX gained 0.12% to 4,374.38. The Nasdaq Composite .IXIC dropped 0.22% to 14,644.95. American Airlines AAL.O rallied 3% after it forecast positive cash flow. Lululemon Athletica LULU.O jumped 1.7% after Goldman Sachs called the yoga pants seller a "top idea" as apparel makers benefit from the economic reopening. Volume on U.S. exchanges was 9.8 billion shares, compared with the 10.5 billion average for the full session over the last 20 trading days. Declining issues outnumbered advancing ones on the NYSE by a 1.32-to-1 ratio; on Nasdaq, a 2.12-to-1 ratio favored decliners. The S&P 500 posted 42 new 52-week highs and one new low; the Nasdaq Composite recorded 50 new highs and 143 new lows. S&P 500 forward P/E is far above its historical averagehttps://tmsnrt.rs/3B5fWrC (Reporting by Noel Randewich; Additional reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; Editing by Maju Samuel and Cynthia Osterman) ((noel.randewich@tr.com; (415) 677 2542, Twitter: @randewich)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines AAL.O rallied 3% after it forecast positive cash flow. By Noel Randewich and Devik Jain July 14 (Reuters) - The S&P 500 ended with a gain after briefly hitting an intra-day record in a choppy session on Wednesday, as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. U.S. monetary policy will offer "powerful support" to the economy "until the recovery is complete," Powell told a congressional hearing in remarks that portrayed a recent jump in inflation as temporary and focused on the need for continued job growth.
American Airlines AAL.O rallied 3% after it forecast positive cash flow. Powell's comments followed data this week showing U.S. producer prices increased more than expected in June and U.S. consumer prices rose by the most in 13 years. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv.
American Airlines AAL.O rallied 3% after it forecast positive cash flow. By Noel Randewich and Devik Jain July 14 (Reuters) - The S&P 500 ended with a gain after briefly hitting an intra-day record in a choppy session on Wednesday, as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv.
American Airlines AAL.O rallied 3% after it forecast positive cash flow. By Noel Randewich and Devik Jain July 14 (Reuters) - The S&P 500 ended with a gain after briefly hitting an intra-day record in a choppy session on Wednesday, as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv.
4342.0
2021-07-14 00:00:00 UTC
US STOCKS-S&P 500 climbs and Nasdaq dips in choppy session
AAL
https://www.nasdaq.com/articles/us-stocks-sp-500-climbs-and-nasdaq-dips-in-choppy-session-2021-07-14
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By Noel Randewich and Devik Jain July 14 (Reuters) - Wall Street saw choppy trade on Wednesday, with the S&P 500 reaching a record high and the Nasdaq edging lower as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. Eight of the 11 major S&P 500 sector indexes were higher in afternoon trade, led by a 0.9% rise in utilities .SPLRCU. U.S. monetary policy will offer "powerful support" to the economy "until the recovery is complete," Powell told a congressional hearing in remarks that portrayed a recent jump in inflation as temporary and focused on the need for continued job growth. Powell's comments followed data this week showing U.S. producer prices increased more than expected in June and U.S. consumer prices rose by the most in 13 years. Investors in recent weeks have focused on inflation, with many fearing a possible hawkish shift by the Federal Reserve, as well as a spike in coronavirus infections that could knock U.S. equities off record highs. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv. With the S&P 500 up 16%, many investors worry that the stock market may run out of steam, and they are looking to earnings to potentially provide more fuel. "Everyone knows earnings are going to be very strong. The question is how the market reacts to those earnings, and what are the outlooks given by management. That is more critical than anything," said Tim Ghriskey, chief investment strategist at Inverness Counsel in New York. Apple Inc AAPL.O rose about 2% after Bloomberg reported that the company is working on a service to let shoppers pay for purchases in installments. Microsoft MSFT.O and Amazon.com Inc AMZN.O gained 0.5% and 0.8%, respectively. Along with Apple, they supported the S&P 500 more than any other stocks. Bank of America Corp BAC.N dropped 3.3% after the lender posted its quarterly results and detailed its sensitivity to low interest rates Wells Fargo WFC.N rose 3.5% after it swung to a profit in the second quarter, smashing Wall Street expectations. Citigroup C.N fell 1% after comfortably beat market estimates for second-quarter profits. Those reports followed strong results on Tuesday from JPMorgan Chase & Co JPM.N and Goldman Sachs Group Inc GS.N. American Airlines AAL.O jumped 3% after it forecast positive cash flow. In afternoon trade, the Dow Jones Industrial Average .DJI was up 0.12% at 34,932.17 points, while the S&P 500 .SPX gained 0.21% to 4,378.18. The Nasdaq Composite .IXIC added 0.04% to 14,682.94. Declining issues outnumbered advancing ones on the NYSE by a 1.16-to-1 ratio; on Nasdaq, a 1.76-to-1 ratio favored decliners. The S&P 500 posted 36 new 52-week highs and one new low; the Nasdaq Composite recorded 46 new highs and 106 new lows. SPX & CPIhttps://tmsnrt.rs/3yUEtxC (Reporting by Noel Randewich; Additional reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; Editing by Maju Samuel) ((noel.randewich@tr.com; (415) 677 2542, Twitter: @randewich)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines AAL.O jumped 3% after it forecast positive cash flow. By Noel Randewich and Devik Jain July 14 (Reuters) - Wall Street saw choppy trade on Wednesday, with the S&P 500 reaching a record high and the Nasdaq edging lower as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. U.S. monetary policy will offer "powerful support" to the economy "until the recovery is complete," Powell told a congressional hearing in remarks that portrayed a recent jump in inflation as temporary and focused on the need for continued job growth.
American Airlines AAL.O jumped 3% after it forecast positive cash flow. By Noel Randewich and Devik Jain July 14 (Reuters) - Wall Street saw choppy trade on Wednesday, with the S&P 500 reaching a record high and the Nasdaq edging lower as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. The S&P 500 posted 36 new 52-week highs and one new low; the Nasdaq Composite recorded 46 new highs and 106 new lows.
American Airlines AAL.O jumped 3% after it forecast positive cash flow. By Noel Randewich and Devik Jain July 14 (Reuters) - Wall Street saw choppy trade on Wednesday, with the S&P 500 reaching a record high and the Nasdaq edging lower as investors balanced worries about inflation with reassuring comments from Fed Chair Jerome Powell. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv.
American Airlines AAL.O jumped 3% after it forecast positive cash flow. With banks kicking off second-quarter earnings season this week, analysts expect 66% growth in earnings per share for S&P 500 companies, according to IBES estimate data from Refinitiv. "Everyone knows earnings are going to be very strong.
4343.0
2021-07-14 00:00:00 UTC
Why American Airlines Stock Is Up Today
AAL
https://www.nasdaq.com/articles/why-american-airlines-stock-is-up-today-2021-07-14
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What happened American Airlines Group (NASDAQ: AAL) updated its second-quarter guidance, and an analyst took the airline stock out of the penalty box. The two moves together were enough to get the stock soaring 7% higher on Wednesday morning. So what American, like all airlines, suffered a miserable 2020 as the pandemic ate into travel demand, but the industry has rebounded nicely in the U.S. as vaccines have become more widespread and consumers stuck in their houses for more than a year head out on summer vacation. Shares of American were up as much as 60% for the year in June as it appeared the worst of the pandemic was behind us. Image source: American Airlines. But the stock has fallen back some as talk of new COVID variants has increased and investors reassess the risk that still lingers as the airlines try to return to profitability. American helped its cause overnight when it said second-quarter revenue is likely to come in down 37.5% compared to the second quarter of 2019 (prior to the pandemic), a boost over previous guidance for down 40%. American also said it could report a profit before special items, but when all items are included the airline still expects to report a net loss of between $1.1 billion and $1.2 billion. Those numbers aren't great, but they are better than what some on Wall Street had feared. Citi analyst Stephen Trent believes that after the pullback, the risk/reward in the stock is more balanced. The analyst upgraded American to neutral from sell, saying that while the company's positioning remains tenuous, a combination of stronger-than-expected second-quarter operations and the stock price falling below his $21.50 target has caught his eye. Now what Neutral seems about right for American shares. There isn't anything in the numbers or outlook to suggest the company is in danger, but it is hard to get too excited about the near-term prospects. American is likely to need longer to recover than discounters like Southwest Airlines (NYSE: LUV) and Spirit Airlines (NYSE: SAVE), and there are other so-called legacy airlines, including Delta Air Lines (NYSE: DAL), that should be better able to withstand any new pandemic twists. Investors in American should buckle up and expect a lot of turbulence as the summer travel season ends and the airlines face a challenging fall. 10 stocks we like better than American Airlines Group When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and American Airlines Group wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines and Spirit Airlines. The Motley Fool owns shares of and recommends Spirit Airlines. The Motley Fool recommends Delta Air Lines and Southwest Airlines. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
What happened American Airlines Group (NASDAQ: AAL) updated its second-quarter guidance, and an analyst took the airline stock out of the penalty box. So what American, like all airlines, suffered a miserable 2020 as the pandemic ate into travel demand, but the industry has rebounded nicely in the U.S. as vaccines have become more widespread and consumers stuck in their houses for more than a year head out on summer vacation. But the stock has fallen back some as talk of new COVID variants has increased and investors reassess the risk that still lingers as the airlines try to return to profitability.
What happened American Airlines Group (NASDAQ: AAL) updated its second-quarter guidance, and an analyst took the airline stock out of the penalty box. American is likely to need longer to recover than discounters like Southwest Airlines (NYSE: LUV) and Spirit Airlines (NYSE: SAVE), and there are other so-called legacy airlines, including Delta Air Lines (NYSE: DAL), that should be better able to withstand any new pandemic twists. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines and Spirit Airlines.
What happened American Airlines Group (NASDAQ: AAL) updated its second-quarter guidance, and an analyst took the airline stock out of the penalty box. American is likely to need longer to recover than discounters like Southwest Airlines (NYSE: LUV) and Spirit Airlines (NYSE: SAVE), and there are other so-called legacy airlines, including Delta Air Lines (NYSE: DAL), that should be better able to withstand any new pandemic twists. 10 stocks we like better than American Airlines Group When our award-winning analyst team has a stock tip, it can pay to listen.
What happened American Airlines Group (NASDAQ: AAL) updated its second-quarter guidance, and an analyst took the airline stock out of the penalty box. * They just revealed what they believe are the ten best stocks for investors to buy right now... and American Airlines Group wasn't one of them! See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines and Spirit Airlines.
4344.0
2021-07-14 00:00:00 UTC
Wednesday's ETF with Unusual Volume: IYC
AAL
https://www.nasdaq.com/articles/wednesdays-etf-with-unusual-volume%3A-iyc-2021-07-14
nan
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The iShares U.S. Consumer Services ETF is seeing unusually high volume in afternoon trading Wednesday, with over 735,000 shares traded versus three month average volume of about 103,000. Shares of IYC were up about 0.2% on the day. Components of that ETF with the highest volume on Wednesday were American Airlines Group, trading up about 2.6% with over 47.5 million shares changing hands so far this session, and Delta Air Lines, down about 1.7% on volume of over 21.1 million shares. L Brands is the component faring the best Wednesday, up by about 2.8% on the day, while Draftkings is lagging other components of the iShares U.S. Consumer Services ETF, trading lower by about 5.1%. VIDEO: Wednesday's ETF with Unusual Volume: IYC The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The iShares U.S. Consumer Services ETF is seeing unusually high volume in afternoon trading Wednesday, with over 735,000 shares traded versus three month average volume of about 103,000. Components of that ETF with the highest volume on Wednesday were American Airlines Group, trading up about 2.6% with over 47.5 million shares changing hands so far this session, and Delta Air Lines, down about 1.7% on volume of over 21.1 million shares. VIDEO: Wednesday's ETF with Unusual Volume: IYC The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The iShares U.S. Consumer Services ETF is seeing unusually high volume in afternoon trading Wednesday, with over 735,000 shares traded versus three month average volume of about 103,000. L Brands is the component faring the best Wednesday, up by about 2.8% on the day, while Draftkings is lagging other components of the iShares U.S. Consumer Services ETF, trading lower by about 5.1%. VIDEO: Wednesday's ETF with Unusual Volume: IYC The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The iShares U.S. Consumer Services ETF is seeing unusually high volume in afternoon trading Wednesday, with over 735,000 shares traded versus three month average volume of about 103,000. Components of that ETF with the highest volume on Wednesday were American Airlines Group, trading up about 2.6% with over 47.5 million shares changing hands so far this session, and Delta Air Lines, down about 1.7% on volume of over 21.1 million shares. L Brands is the component faring the best Wednesday, up by about 2.8% on the day, while Draftkings is lagging other components of the iShares U.S. Consumer Services ETF, trading lower by about 5.1%.
Components of that ETF with the highest volume on Wednesday were American Airlines Group, trading up about 2.6% with over 47.5 million shares changing hands so far this session, and Delta Air Lines, down about 1.7% on volume of over 21.1 million shares. L Brands is the component faring the best Wednesday, up by about 2.8% on the day, while Draftkings is lagging other components of the iShares U.S. Consumer Services ETF, trading lower by about 5.1%. VIDEO: Wednesday's ETF with Unusual Volume: IYC The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
4345.0
2021-07-14 00:00:00 UTC
Pre-Market Most Active for Jul 14, 2021 : AHT, NOK, AAPL, AZN, AMC, SQQQ, AAL, CLVS, BABA, ALXN, BAC, SPCE
AAL
https://www.nasdaq.com/articles/pre-market-most-active-for-jul-14-2021-%3A-aht-nok-aapl-azn-amc-sqqq-aal-clvs-baba-alxn-bac
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The NASDAQ 100 Pre-Market Indicator is up 96.09 to 14,970.63. The total Pre-Market volume is currently 20,447,767 shares traded. The following are the most active stocks for the pre-market session: Ashford Hospitality Trust Inc (AHT) is +0.13 at $2.07, with 2,116,569 shares traded. AHT's current last sale is 51.75% of the target price of $4. Nokia Corporation (NOK) is +0.06 at $5.94, with 2,110,838 shares traded. NOK's current last sale is 104.21% of the target price of $5.7. Apple Inc. (AAPL) is +2.511 at $148.15, with 1,897,110 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Astrazeneca PLC (AZN) is -0.39 at $60.22, with 1,580,201 shares traded. As reported in the last short interest update the days to cover for AZN is 20.978746; this calculation is based on the average trading volume of the stock. AMC Entertainment Holdings, Inc. (AMC) is -1.26 at $38.09, with 1,201,009 shares traded. AMC's current last sale is 507.87% of the target price of $7.5. ProShares UltraPro Short QQQ (SQQQ) is -0.1 at $8.45, with 1,070,394 shares traded. This represents a 1.56% increase from its 52 Week Low. American Airlines Group, Inc. (AAL) is +0.58 at $20.60, with 954,677 shares traded. AAL's current last sale is 108.42% of the target price of $19. Clovis Oncology, Inc. (CLVS) is +0.31 at $5.59, with 878,053 shares traded. CLVS's current last sale is 95.15% of the target price of $5.875. Alibaba Group Holding Limited (BABA) is +7.11 at $216.62, with 824,584 shares traded. As reported by Zacks, the current mean recommendation for BABA is in the "buy range". Alexion Pharmaceuticals, Inc. (ALXN) is +1.53 at $187.51, with 821,920 shares traded. ALXN's current last sale is 107.15% of the target price of $175. Bank of America Corporation (BAC) is -0.7 at $39.16, with 735,656 shares traded. Over the last four weeks they have had 4 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2021. The consensus EPS forecast is $0.77. As reported by Zacks, the current mean recommendation for BAC is in the "buy range". Virgin Galactic Holdings, Inc. (SPCE) is -0.33 at $37.43, with 632,424 shares traded. SPCE's current last sale is 98.5% of the target price of $38. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines Group, Inc. (AAL) is +0.58 at $20.60, with 954,677 shares traded. AAL's current last sale is 108.42% of the target price of $19. As reported in the last short interest update the days to cover for AZN is 20.978746; this calculation is based on the average trading volume of the stock.
American Airlines Group, Inc. (AAL) is +0.58 at $20.60, with 954,677 shares traded. AAL's current last sale is 108.42% of the target price of $19. The total Pre-Market volume is currently 20,447,767 shares traded.
American Airlines Group, Inc. (AAL) is +0.58 at $20.60, with 954,677 shares traded. AAL's current last sale is 108.42% of the target price of $19. The total Pre-Market volume is currently 20,447,767 shares traded.
American Airlines Group, Inc. (AAL) is +0.58 at $20.60, with 954,677 shares traded. AAL's current last sale is 108.42% of the target price of $19. As reported in the last short interest update the days to cover for AZN is 20.978746; this calculation is based on the average trading volume of the stock.
4346.0
2021-07-14 00:00:00 UTC
Will Second Quarter Earnings Push Delta Air Lines Stock Higher?
AAL
https://www.nasdaq.com/articles/will-second-quarter-earnings-push-delta-air-lines-stock-higher-2021-07-14
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Per recent reports, Delta Air Lines (NYSE: DAL) plans to expand its workforce by next year as domestic air travel demand recovers – highlighting expectations of a complete recovery during the latter half of the year. Notably, the TSA checkpoint figures and Delta Air Lines stock are around 20% below pre-pandemic levels. While the company observed $3.7 billion of operating cash outflow last year, the first quarter figures remained positive thanks to growing passenger traffic and improving efficiency figures. Thus, the $9 billion drop in the stock’s market capitalization since February 2020 indicates room for growth as the company generates operating cash assisted by rising demand. The second quarter revenues are expected to grow substantially over the prior year as highlighted in our interactive dashboard analysis, Delta Air Lines Earnings Preview. Fundamentals improved during the first quarter Delta Air Lines revenues declined by 60%(y-o-y) to $4 billion in the first quarter, resulting in a net loss of $1.2 billion. The company increased total capacity by 10% (q-o-q) to match rising demand and expand the top line. Thus, the operating cash flow turned positive to $691 million during the first quarter. Considering a 50% improvement in TSA checkpoint figures in the second quarter, we expect revenues to observe a 56% sequential improvement, lowering net loss per share to $1.50. How has DAL stock fared in comparison to the S&P 500? DAL stock declined from levels of around $58 in February 2020 (pre-crisis peak) to levels of around $22 in March 2020 (as the markets bottomed out), implying DAL stock lost 62% from its approximate pre-crisis peak. With the easing of restriction measures, the stock has more than doubled to $45 and we expect more room for growth given the rising air travel demand. What if you’re looking for a more balanced portfolio instead? Here’s a high-quality portfolio that’s beaten the market since 2016 See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Thus, the $9 billion drop in the stock’s market capitalization since February 2020 indicates room for growth as the company generates operating cash assisted by rising demand. The second quarter revenues are expected to grow substantially over the prior year as highlighted in our interactive dashboard analysis, Delta Air Lines Earnings Preview. With the easing of restriction measures, the stock has more than doubled to $45 and we expect more room for growth given the rising air travel demand.
Notably, the TSA checkpoint figures and Delta Air Lines stock are around 20% below pre-pandemic levels. While the company observed $3.7 billion of operating cash outflow last year, the first quarter figures remained positive thanks to growing passenger traffic and improving efficiency figures. Considering a 50% improvement in TSA checkpoint figures in the second quarter, we expect revenues to observe a 56% sequential improvement, lowering net loss per share to $1.50.
Per recent reports, Delta Air Lines (NYSE: DAL) plans to expand its workforce by next year as domestic air travel demand recovers – highlighting expectations of a complete recovery during the latter half of the year. Fundamentals improved during the first quarter Delta Air Lines revenues declined by 60%(y-o-y) to $4 billion in the first quarter, resulting in a net loss of $1.2 billion. DAL stock declined from levels of around $58 in February 2020 (pre-crisis peak) to levels of around $22 in March 2020 (as the markets bottomed out), implying DAL stock lost 62% from its approximate pre-crisis peak.
Per recent reports, Delta Air Lines (NYSE: DAL) plans to expand its workforce by next year as domestic air travel demand recovers – highlighting expectations of a complete recovery during the latter half of the year. While the company observed $3.7 billion of operating cash outflow last year, the first quarter figures remained positive thanks to growing passenger traffic and improving efficiency figures. Thus, the $9 billion drop in the stock’s market capitalization since February 2020 indicates room for growth as the company generates operating cash assisted by rising demand.
4347.0
2021-07-14 00:00:00 UTC
US STOCKS-Futures edge higher as earnings reports pour in; Powell testimony eyed
AAL
https://www.nasdaq.com/articles/us-stocks-futures-edge-higher-as-earnings-reports-pour-in-powell-testimony-eyed-2021-07-14
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By Devik Jain July 14 (Reuters) - U.S. stock index futures edged higher on Wednesday helped by a rise in mega-cap technology stocks, as investors awaited Federal Reserve chair Jerome Powell's testimony and more earnings reports from big banks poured in. Powell is set to appear before Congress on Wednesday and Thursday, and many will be watching for signs if the central bank would alter its stance on rising consumer prices, which it has said are transitory and may begin unwinding its easy-money policies sooner than expected. Data on Tuesday indicated U.S. consumer prices rose by the most in 13 years last month, pulling the S&P 500 and the Nasdaq from intraday record highs, and taking shine off strong earnings from JPMorgan Chase & Co JPM.N and Goldman Sachs Group Inc GS.N that kicked off the quarterly reporting season. In line with its peers, Bank of America Corp BAC.N reported a jump in second-quarter profit as it released reserves it had set aside last year to cover potential loan losses tied to the pandemic. However, its shares fell 2.4% before the opening bell. Wells Fargo WFC.N and Citigroup Inc C.N traded mixed in premarket trading ahead of their earnings report on Wednesday. Among other companies reporting earnings, American Airlines AAL.O rose 1.9% after it forecast positive cash flow in the second quarter for the first time since the pandemic began. Focus will also be on producer price index data for June due at 8:30 a.m ET. Wall Street has been sensitive to rising inflation, with market participants fearing that a potential hawkish shift by the central bank amid a rise in new coronavirus infections could wobble stocks after a record rally from the pandemic lows last year. Meanwhile, President Joe Biden's drive for big new infrastructure investment got a boost on Tuesday when leading Senate Democrats agreed on a $3.5 trillion investment plan they aim to include in a budget resolution to be debated soon. At 6:55 a.m. ET, Dow e-minis 1YMcv1 were down 5 points, or 0.01% and S&P 500 e-minis EScv1 were up 2.75 points, or 0.06%. Nasdaq 100 e-minis NQcv1 were up 47.75 points, or 0.32%, on a boost from the heavyweight FAANG group of companies. Apple Inc AAPL.O gained 1.6% after J.P. Morgan added the iPhone maker's stock to its "analyst focus list" and raised its price target. (Reporting by Devik Jain in Bengaluru; Editing by Maju Samuel) ((Devik.Jain@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2062; ;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Among other companies reporting earnings, American Airlines AAL.O rose 1.9% after it forecast positive cash flow in the second quarter for the first time since the pandemic began. Powell is set to appear before Congress on Wednesday and Thursday, and many will be watching for signs if the central bank would alter its stance on rising consumer prices, which it has said are transitory and may begin unwinding its easy-money policies sooner than expected. Data on Tuesday indicated U.S. consumer prices rose by the most in 13 years last month, pulling the S&P 500 and the Nasdaq from intraday record highs, and taking shine off strong earnings from JPMorgan Chase & Co JPM.N and Goldman Sachs Group Inc GS.N that kicked off the quarterly reporting season.
Among other companies reporting earnings, American Airlines AAL.O rose 1.9% after it forecast positive cash flow in the second quarter for the first time since the pandemic began. By Devik Jain July 14 (Reuters) - U.S. stock index futures edged higher on Wednesday helped by a rise in mega-cap technology stocks, as investors awaited Federal Reserve chair Jerome Powell's testimony and more earnings reports from big banks poured in. Powell is set to appear before Congress on Wednesday and Thursday, and many will be watching for signs if the central bank would alter its stance on rising consumer prices, which it has said are transitory and may begin unwinding its easy-money policies sooner than expected.
Among other companies reporting earnings, American Airlines AAL.O rose 1.9% after it forecast positive cash flow in the second quarter for the first time since the pandemic began. By Devik Jain July 14 (Reuters) - U.S. stock index futures edged higher on Wednesday helped by a rise in mega-cap technology stocks, as investors awaited Federal Reserve chair Jerome Powell's testimony and more earnings reports from big banks poured in. Data on Tuesday indicated U.S. consumer prices rose by the most in 13 years last month, pulling the S&P 500 and the Nasdaq from intraday record highs, and taking shine off strong earnings from JPMorgan Chase & Co JPM.N and Goldman Sachs Group Inc GS.N that kicked off the quarterly reporting season.
Among other companies reporting earnings, American Airlines AAL.O rose 1.9% after it forecast positive cash flow in the second quarter for the first time since the pandemic began. By Devik Jain July 14 (Reuters) - U.S. stock index futures edged higher on Wednesday helped by a rise in mega-cap technology stocks, as investors awaited Federal Reserve chair Jerome Powell's testimony and more earnings reports from big banks poured in. Data on Tuesday indicated U.S. consumer prices rose by the most in 13 years last month, pulling the S&P 500 and the Nasdaq from intraday record highs, and taking shine off strong earnings from JPMorgan Chase & Co JPM.N and Goldman Sachs Group Inc GS.N that kicked off the quarterly reporting season.
4348.0
2021-07-14 00:00:00 UTC
S&P 500 Movers: BLK, AAL
AAL
https://www.nasdaq.com/articles/sp-500-movers%3A-blk-aal-2021-07-14
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In early trading on Wednesday, shares of American Airlines Group topped the list of the day's best performing components of the S&P 500 index, trading up 6.8%. Year to date, American Airlines Group registers a 35.5% gain. And the worst performing S&P 500 component thus far on the day is Blackrock, trading down 3.5%. Blackrock is showing a gain of 21.4% looking at the year to date performance. Two other components making moves today are Bank of America, trading down 2.7%, and L Brands, trading up 4.1% on the day. VIDEO: S&P 500 Movers: BLK, AAL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
VIDEO: S&P 500 Movers: BLK, AAL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Year to date, American Airlines Group registers a 35.5% gain. And the worst performing S&P 500 component thus far on the day is Blackrock, trading down 3.5%.
VIDEO: S&P 500 Movers: BLK, AAL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In early trading on Wednesday, shares of American Airlines Group topped the list of the day's best performing components of the S&P 500 index, trading up 6.8%. Year to date, American Airlines Group registers a 35.5% gain.
VIDEO: S&P 500 Movers: BLK, AAL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In early trading on Wednesday, shares of American Airlines Group topped the list of the day's best performing components of the S&P 500 index, trading up 6.8%. Two other components making moves today are Bank of America, trading down 2.7%, and L Brands, trading up 4.1% on the day.
VIDEO: S&P 500 Movers: BLK, AAL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In early trading on Wednesday, shares of American Airlines Group topped the list of the day's best performing components of the S&P 500 index, trading up 6.8%. And the worst performing S&P 500 component thus far on the day is Blackrock, trading down 3.5%.
4349.0
2021-07-14 00:00:00 UTC
4 Top Cyclical Stocks To Watch This Week
AAL
https://www.nasdaq.com/articles/4-top-cyclical-stocks-to-watch-this-week-2021-07-14
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Do You Have These Top Cyclical Stocks On Your July 2021 Watchlist? While investors may be looking for the most volatile stocks today amidst the meme stock hype, cyclical stocks remain relevant. After all, this part of the stock market is home to companies whose businesses follow economic cycles closely. With the economy still in recovery, the growth case for cyclical stocks remains the same regardless of recent slowdowns. With widespread vaccination and government infrastructure spending plans in place, we could be looking at exciting times ahead for cyclicals. Now, as we enter another earnings season, investors could be keeping an eye on their top cyclical stock picks. Would it be wise to follow suit? If anything, companies in the industry could be looking at good quarters ahead given the recent rise in consumer spending across the board. Evidently, PepsiCo (NASDAQ: PEP) reported solid figures in its latest quarter fiscal posted earlier today. In it, the company posted earnings of $1.72 a share on revenue of $19.22 billion for the quarter. Notably, this exceeds Wall Streets’ expectations by a sizable amount. If this is an indication of earnings to come, other companies in the cyclical space could also be worth noting. Namely, travel companies such as Royal Caribbean (NYSE: RCL) and Delta Airlines (NYSE: DAL) could see upticks in their earnings. This would be the case as consumers eagerly welcome the return of domestic travel. Meanwhile, increased federal funding could also see clean energy stocks among other industrial stocks having more room to grow. All around, cyclical stocks appear to be gaining momentum. Should this have you keen on the sector, here are four making waves in the stock market today. Best Cyclical Stocks To Watch Right Now Ford Motor Company (NYSE: F) Carnival Corporation (NYSE: CCL) Enphase Energy Inc. (NASDAQ: ENPH) American Airlines Group Inc. (NASDAQ: AAL) Ford Motors Company Ford is a multinational automaker that is headquartered in Michigan. The company is committed to its Ford+ plan for growth and value creation. It does this by combining its existing strengths in manufacturing with new technologies and customer-centric relationships for its next-generation vehicles. Ford has been investing significantly in its electric vehicle (EV) portfolio. In fact, it is planning to invest a whopping $30 billion in vehicle electrification efforts by 2025. F stock currently is up by over 130% in the last year. Last week, the company announced that it’s 2021 Ford Mustang Mach-E earned the Car and Drivers’ inaugural Electric Vehicle of the Year Award. The publication put 11 top-rated electric vehicles through rigorous testing over three weeks, including a 1,000-mile road trip to evaluate each in real-world conditions. Ford’s Mustang Mach-E took the No. 1 spot. This would be a testament to the company’s technological prowess in designing top-of-the-line EVs. For this exciting reason, will you consider F stock a top cyclical stock to watch right now? Read More 4 Artificial Intelligence Stocks To Watch Right Now Best Lithium Battery Stocks To Buy Now? 4 To Know Carnival Corporation Carnival is a cyclical stock that is also the world’s largest leisure travel company. It provides travelers around the globe with extraordinary vacations at an exceptional value. The company’s portfolio includes brands like Carnival Cruise Line and AIDA Cruises. It boasts a fleet of over 80 ships visiting 700 ports around the world. CCL stock currently trades at $22.85 as of Tuesday’s closing bell. Carnival has been busy with its reopening plays as countries around the world continue to ramp up vaccination efforts. For instance, the company recently announced that due to the high demand for voyages in Germany, AIDA Cruises will deploy another Sphinx-class ship from Kiel. On August 15, 2021, the first four-day short cruise to Gdynia will start followed by a three-day cruise to Gothenburg. Also, a wide variety of travel dates are available up to October 14, 2021, and all-new vacation offers are bookable now. Last week, Carnival also reported that all cabins on its P&O Cruises were sold out on the first day, demonstrating pent-up demand for cruise travel. With that in mind, will you watch CCL stock? [Read More] 4 Robotics Stocks To Watch Amid Rising Shifts To Automation Enphase Energy Inc. Another company to consider in the industry today would be Enphase Energy Inc. Sure, most would not immediately think of the company when discussing cyclical stocks. However, Enphase’s clean energy solutions are focused on consumers. Given that consumer spending on home improvement is on the rise, the company’s services could be in demand. For the uninitiated, Enphase specializes in manufacturing and marketing software-driven home energy solutions. The likes of which would serve to help consumers transition towards using solar energy to power their homes. As such, I could see the current cyclical and pro-environmentalism trends putting ENPH stock in the spotlight now. The company’s shares currently trade at $184.06 as of Tuesday’s closing bell. In late June, the company launched its Encharge Battery Storage System in Germany. This would be the product’s first expansion into the European market. The system offers configurations ranging from 3.5 kWh to 42 kWh, and will help meet installer and homeowner needs for a safe and reliable all-in-one solution. “Enphase already offers 24/7 customer support, and now homeowners can count on that for both their microinverters and batteries,” said Michael Wesche, General Manager of Wesche Walser Solar GbR Weiterstadt. “Having one centralized source of training and support for installers makes a big difference in the quality of our interactions with customers.” All things considered, will you add ENPH stock to your watchlist? [Read More] Best Communication Stocks To Watch Right Now American Airlines Group Inc. Topping off our list is American Airlines Group Inc. (AAL). In brief, the Texas-based airline operator is one of the major players in the American airline industry now. Notably, it is one of, if not the world’s largest airline in terms of fleet size and passengers carried. In terms of scale, the company’s network can facilitate 6,700 daily flights to nearly 350 destinations across 50 countries. More importantly, AAL stock is looking at gains of over 105% since its pandemic era low. With the company’s shares currently trading at $20.02 apiece as of Tuesday’s close, would it be a good time to invest? Well, for one thing, reopening trends continue to bolster demand for AAL’s services. Recently, the company reported that its July 4 weekend passenger count more than tripled year-over-year. This increase in passengers resulted in AAL flying twice the number of flights compared to year-ago levels. According to COO David Seymour, the company also recently hired 300 customer operations employees at its key Dallas/Fort Worth International Airport hub, accounting for increased travel demand. Overall, it seems like business is picking up for AAL now. Does this make AAL stock worth watching ahead of the company’s second-quarter earnings next week for you? The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Best Cyclical Stocks To Watch Right Now Ford Motor Company (NYSE: F) Carnival Corporation (NYSE: CCL) Enphase Energy Inc. (NASDAQ: ENPH) American Airlines Group Inc. (NASDAQ: AAL) Ford Motors Company Ford is a multinational automaker that is headquartered in Michigan. Topping off our list is American Airlines Group Inc. (AAL). More importantly, AAL stock is looking at gains of over 105% since its pandemic era low.
Best Cyclical Stocks To Watch Right Now Ford Motor Company (NYSE: F) Carnival Corporation (NYSE: CCL) Enphase Energy Inc. (NASDAQ: ENPH) American Airlines Group Inc. (NASDAQ: AAL) Ford Motors Company Ford is a multinational automaker that is headquartered in Michigan. Does this make AAL stock worth watching ahead of the company’s second-quarter earnings next week for you? Topping off our list is American Airlines Group Inc. (AAL).
Best Cyclical Stocks To Watch Right Now Ford Motor Company (NYSE: F) Carnival Corporation (NYSE: CCL) Enphase Energy Inc. (NASDAQ: ENPH) American Airlines Group Inc. (NASDAQ: AAL) Ford Motors Company Ford is a multinational automaker that is headquartered in Michigan. Topping off our list is American Airlines Group Inc. (AAL). More importantly, AAL stock is looking at gains of over 105% since its pandemic era low.
Best Cyclical Stocks To Watch Right Now Ford Motor Company (NYSE: F) Carnival Corporation (NYSE: CCL) Enphase Energy Inc. (NASDAQ: ENPH) American Airlines Group Inc. (NASDAQ: AAL) Ford Motors Company Ford is a multinational automaker that is headquartered in Michigan. Topping off our list is American Airlines Group Inc. (AAL). More importantly, AAL stock is looking at gains of over 105% since its pandemic era low.
4350.0
2021-07-14 00:00:00 UTC
S&P 500 hits record high as Powell calms taper fears
AAL
https://www.nasdaq.com/articles/sp-500-hits-record-high-as-powell-calms-taper-fears-2021-07-14
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By Devik Jain and Shreyashi Sanyal July 14 (Reuters) - The S&P 500 index hit a record high on Wednesday after comments from the Federal Reserve fueled hopes the central bank would stick to its accommodative monetary policy despite a sharp jump in inflation last month. Fed Chair Jerome Powell, in comments prepared for delivery at a congressional hearing later in the day, reassured investors that the U.S. job market "is still a ways off" from the progress the central bank wants to see before reducing its support for the economy, and current high inflation will ease soon. "Markets have been in a bit of a tug of war between concerns about high inflation and concerns about pulling back of monetary policy," said Randy Frederick, vice president of trading and derivatives at Charles Schwab. "And as Powell continues to say he's not going to hike rates, then the market continues to perform well." Data on Wednesday showed U.S. producer prices increased more than expected in June, a day after a reading showed U.S. consumer prices rose by the most in 13 years last month. Nine of the 11 major S&P 500 sectors were trading higher, with energy .SPNY and technology .SPLRCT leading early gains. Trading on Wall Street has been dictated by rising inflation in the past few weeks, with investors fearing that the double whammy from a possible hawkish shift by the Federal Reserve and a spike in coronavirus infections could knock U.S. equities off record highs. Growth-linked stocks including Apple Inc AAPL.O, Microsoft Corp MSFT.Oand Amazon.com Inc AMZN.O rose between 0.6% and 1.6%, leading gains. Also boosting Apple shares was an addition to J.P. Morgan's "analyst focus list" and a price target hike. Strong earnings from JPMorgan Chase & Co JPM.N and Goldman Sachs Group Inc GS.N kicked off the quarterly reporting season on Tuesday. In line with its peers, Bank of America Corp BAC.N reported a jump in second-quarter profit, but its mainstay lending business took a hit from low interest rates, sending its shares down 2.4%. Wells Fargo WFC.N gained 0.9%, while Citigroup Inc C.Nadded 1.9% as the lenders beat quarterly profit estimates on reserve release boost. American Airlines AAL.Ojumped 5.4% after it forecast positive cash flow in the second quarter for the first time since the pandemic began, while Delta Air Lines DAL.Nwas up 0.6% after it reported upbeat second-quarter results. Analysts expect 66% growth in profits during the second quarter for S&P 500 companies, compared to a 30.6% decline in profit growth during the second quarter of 2020, according to IBES estimate data from Refinitiv. At 9:51 a.m. ET, the Dow Jones Industrial Average .DJI was up 127.43 points, or 0.37%, at 35,016.22, the S&P 500 .SPX was up 18.37 points, or 0.42%, at 4,387.58 and the Nasdaq Composite .IXIC was up 69.93 points, or 0.48%, at 14,747.58. Peloton Interactive PTON.O slipped 4.6% after Wedbush downgraded the interactive fitness products maker's stock to "neutral" from "outperform". Advancing issues outnumbered decliners by a 2.80-to-1 ratio on the NYSE and by a 1.30-to-1 ratio on the Nasdaq. The S&P index recorded 25 new 52-week highs and one new low, while the Nasdaq recorded 27 new highs and 43 new lows. (Reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; Editing by Maju Samuel) ((Devik.Jain@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2062; ;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines AAL.Ojumped 5.4% after it forecast positive cash flow in the second quarter for the first time since the pandemic began, while Delta Air Lines DAL.Nwas up 0.6% after it reported upbeat second-quarter results. By Devik Jain and Shreyashi Sanyal July 14 (Reuters) - The S&P 500 index hit a record high on Wednesday after comments from the Federal Reserve fueled hopes the central bank would stick to its accommodative monetary policy despite a sharp jump in inflation last month. Fed Chair Jerome Powell, in comments prepared for delivery at a congressional hearing later in the day, reassured investors that the U.S. job market "is still a ways off" from the progress the central bank wants to see before reducing its support for the economy, and current high inflation will ease soon.
American Airlines AAL.Ojumped 5.4% after it forecast positive cash flow in the second quarter for the first time since the pandemic began, while Delta Air Lines DAL.Nwas up 0.6% after it reported upbeat second-quarter results. By Devik Jain and Shreyashi Sanyal July 14 (Reuters) - The S&P 500 index hit a record high on Wednesday after comments from the Federal Reserve fueled hopes the central bank would stick to its accommodative monetary policy despite a sharp jump in inflation last month. Data on Wednesday showed U.S. producer prices increased more than expected in June, a day after a reading showed U.S. consumer prices rose by the most in 13 years last month.
American Airlines AAL.Ojumped 5.4% after it forecast positive cash flow in the second quarter for the first time since the pandemic began, while Delta Air Lines DAL.Nwas up 0.6% after it reported upbeat second-quarter results. By Devik Jain and Shreyashi Sanyal July 14 (Reuters) - The S&P 500 index hit a record high on Wednesday after comments from the Federal Reserve fueled hopes the central bank would stick to its accommodative monetary policy despite a sharp jump in inflation last month. Analysts expect 66% growth in profits during the second quarter for S&P 500 companies, compared to a 30.6% decline in profit growth during the second quarter of 2020, according to IBES estimate data from Refinitiv.
American Airlines AAL.Ojumped 5.4% after it forecast positive cash flow in the second quarter for the first time since the pandemic began, while Delta Air Lines DAL.Nwas up 0.6% after it reported upbeat second-quarter results. By Devik Jain and Shreyashi Sanyal July 14 (Reuters) - The S&P 500 index hit a record high on Wednesday after comments from the Federal Reserve fueled hopes the central bank would stick to its accommodative monetary policy despite a sharp jump in inflation last month. "And as Powell continues to say he's not going to hike rates, then the market continues to perform well."
4351.0
2021-07-13 00:00:00 UTC
American Airlines sees first positive cash build since pandemic began
AAL
https://www.nasdaq.com/articles/american-airlines-sees-first-positive-cash-build-since-pandemic-began-2021-07-13
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Adds details on cash build rate, share move July 13 (Reuters) - American Airlines AAL.O said on Tuesday it expects its average daily cash build rate for the second quarter to be about $1 million per day, the first positive quarter since the beginning of the COVID-19 pandemic. Early in the pandemic, the airline said it was burning about $100 million a day. American expects to end the second quarter with about $21.3 billion in total available liquidity. (https://bit.ly/3wD1gfR) U.S. air travel demand has been rising steadily for months as more Americans get vaccinated and travel restrictions ease. Shares rose 1% to $20.21 in extended trade as the company said it expects to report a quarterly net loss of between $1.1 billion and $1.2 billion, excluding net special items. "While that is certainly a large loss, it is our smallest such loss since the start of the pandemic," Chief Executive Officer Doug Parker said in a letter. Analysts on average estimated a loss of $1.53 billion in the second quarter, according to Refinitiv data. (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Adds details on cash build rate, share move July 13 (Reuters) - American Airlines AAL.O said on Tuesday it expects its average daily cash build rate for the second quarter to be about $1 million per day, the first positive quarter since the beginning of the COVID-19 pandemic. Analysts on average estimated a loss of $1.53 billion in the second quarter, according to Refinitiv data. (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Adds details on cash build rate, share move July 13 (Reuters) - American Airlines AAL.O said on Tuesday it expects its average daily cash build rate for the second quarter to be about $1 million per day, the first positive quarter since the beginning of the COVID-19 pandemic. American expects to end the second quarter with about $21.3 billion in total available liquidity. Shares rose 1% to $20.21 in extended trade as the company said it expects to report a quarterly net loss of between $1.1 billion and $1.2 billion, excluding net special items.
Adds details on cash build rate, share move July 13 (Reuters) - American Airlines AAL.O said on Tuesday it expects its average daily cash build rate for the second quarter to be about $1 million per day, the first positive quarter since the beginning of the COVID-19 pandemic. Shares rose 1% to $20.21 in extended trade as the company said it expects to report a quarterly net loss of between $1.1 billion and $1.2 billion, excluding net special items. (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Adds details on cash build rate, share move July 13 (Reuters) - American Airlines AAL.O said on Tuesday it expects its average daily cash build rate for the second quarter to be about $1 million per day, the first positive quarter since the beginning of the COVID-19 pandemic. Early in the pandemic, the airline said it was burning about $100 million a day. Shares rose 1% to $20.21 in extended trade as the company said it expects to report a quarterly net loss of between $1.1 billion and $1.2 billion, excluding net special items.
4352.0
2021-07-13 00:00:00 UTC
American Airlines Group Becomes Oversold (AAL)
AAL
https://www.nasdaq.com/articles/american-airlines-group-becomes-oversold-aal-2021-07-13
nan
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Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30. In trading on Tuesday, shares of American Airlines Group Inc (Symbol: AAL) entered into oversold territory, hitting an RSI reading of 29.9, after changing hands as low as $19.99 per share. By comparison, the current RSI reading of the S&P 500 ETF (SPY) is 68.8. A bullish investor could look at AAL's 29.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of AAL shares: Looking at the chart above, AAL's low point in its 52 week range is $10.63 per share, with $26.09 as the 52 week high point — that compares with a last trade of $20.02. Find out what 9 other oversold stocks you need to know about » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
In trading on Tuesday, shares of American Airlines Group Inc (Symbol: AAL) entered into oversold territory, hitting an RSI reading of 29.9, after changing hands as low as $19.99 per share. A bullish investor could look at AAL's 29.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of AAL shares: Looking at the chart above, AAL's low point in its 52 week range is $10.63 per share, with $26.09 as the 52 week high point — that compares with a last trade of $20.02.
A bullish investor could look at AAL's 29.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of AAL shares: Looking at the chart above, AAL's low point in its 52 week range is $10.63 per share, with $26.09 as the 52 week high point — that compares with a last trade of $20.02. In trading on Tuesday, shares of American Airlines Group Inc (Symbol: AAL) entered into oversold territory, hitting an RSI reading of 29.9, after changing hands as low as $19.99 per share.
In trading on Tuesday, shares of American Airlines Group Inc (Symbol: AAL) entered into oversold territory, hitting an RSI reading of 29.9, after changing hands as low as $19.99 per share. A bullish investor could look at AAL's 29.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of AAL shares: Looking at the chart above, AAL's low point in its 52 week range is $10.63 per share, with $26.09 as the 52 week high point — that compares with a last trade of $20.02.
In trading on Tuesday, shares of American Airlines Group Inc (Symbol: AAL) entered into oversold territory, hitting an RSI reading of 29.9, after changing hands as low as $19.99 per share. A bullish investor could look at AAL's 29.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of AAL shares: Looking at the chart above, AAL's low point in its 52 week range is $10.63 per share, with $26.09 as the 52 week high point — that compares with a last trade of $20.02.
4353.0
2021-07-13 00:00:00 UTC
American Airlines sees adjusted net loss of up to $1.2 bln in second quarter
AAL
https://www.nasdaq.com/articles/american-airlines-sees-adjusted-net-loss-of-up-to-%241.2-bln-in-second-quarter-2021-07-13
nan
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July 13 (Reuters) - American Airlines AAL.O said on Tuesday it expects to report a second-quarter net loss of between $1.1 billion and $1.2 billion, excluding net special items. The U.S. airline expects to end the second quarter with about $21.3 billion in total available liquidity. (https://bit.ly/3wD1gfR) (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
July 13 (Reuters) - American Airlines AAL.O said on Tuesday it expects to report a second-quarter net loss of between $1.1 billion and $1.2 billion, excluding net special items. The U.S. airline expects to end the second quarter with about $21.3 billion in total available liquidity. (https://bit.ly/3wD1gfR) (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
July 13 (Reuters) - American Airlines AAL.O said on Tuesday it expects to report a second-quarter net loss of between $1.1 billion and $1.2 billion, excluding net special items. The U.S. airline expects to end the second quarter with about $21.3 billion in total available liquidity. (https://bit.ly/3wD1gfR) (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
July 13 (Reuters) - American Airlines AAL.O said on Tuesday it expects to report a second-quarter net loss of between $1.1 billion and $1.2 billion, excluding net special items. The U.S. airline expects to end the second quarter with about $21.3 billion in total available liquidity. (https://bit.ly/3wD1gfR) (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
July 13 (Reuters) - American Airlines AAL.O said on Tuesday it expects to report a second-quarter net loss of between $1.1 billion and $1.2 billion, excluding net special items. The U.S. airline expects to end the second quarter with about $21.3 billion in total available liquidity. (https://bit.ly/3wD1gfR) (Reporting by Sanjana Shivdas in Bengaluru; Editing by Devika Syamnath) ((SanjanaSitara.Shivdas@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 1642; Twitter: @SanjanaShivdas;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
4354.0
2021-07-12 00:00:00 UTC
Why Southwest Airlines Stock Took Flight in the First Half of 2021
AAL
https://www.nasdaq.com/articles/why-southwest-airlines-stock-took-flight-in-the-first-half-of-2021-2021-07-13
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What happened The so-called "reopening trade" gained velocity in early 2021, and airline stocks were among the beneficiaries. Southwest Airlines (NYSE: LUV) gained 13.9% in the first six months of the year, according to data provided by S&P Global Market Intelligence, and was up as much as 36% in April before falling back some. LUV data by YCharts So what Airlines were among the industries hardest hit in 2020 by the pandemic, with travel demand all but evaporating a year ago. As the vaccine rollout picked up pace so did demand, and some of the sectors that were hardest hit at the height of the pandemic posted impressive gains starting last fall and heading into this spring. The airlines were among them. Southwest's mid-spring 36% gain for the year actually trailed a lot of other airlines including American Airlines Group (NASDAQ: AAL), JetBlue Airways (NASDAQ: JBLU), and Hawaiian Holdings (NASDAQ: HA). One thing all of those airlines have in common is they are all aggressively chasing leisure business. Image source: Southwest Airlines. With tourists, and not businesses, leading the way back to the airports, the airlines that have route networks and ticketing policies favored by leisure travelers have seen the recovery materialize faster than rivals who rely on corporate accounts. The rally fizzled in recent months amid concerns about new variants, and based on suggestions from analysts that the stocks have begun to get ahead of the businesses. Now what It's an odd moment right now for airline investors, and in particular holders of Southwest. On one hand, the airlines are definitely off the lows from the pandemic. Southwest remains a best-in-class operator with a strong balance sheet and the wherewithal to ride out whatever potential turbulence lies up ahead. On the other hand, the company's longtime CEO Gary Kelly is preparing to step down, and the airline is having a miserable summer when it comes to staffing its flights and avoiding cancellations. There's nothing wrong with holding Southwest for the long haul and riding out the current storms, but I'd advise caution to those considering buying in right now. Until Southwest's internal issues are behind it and we are sure the pandemic is fully under control, there is likely a ceiling on how high the airlines can fly, and after the first half rally there might not be much more room to run for now. 10 stocks we like better than Southwest Airlines When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Southwest Airlines wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman has no position in any of the stocks mentioned. The Motley Fool recommends Hawaiian Holdings, JetBlue Airways, and Southwest Airlines. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Southwest's mid-spring 36% gain for the year actually trailed a lot of other airlines including American Airlines Group (NASDAQ: AAL), JetBlue Airways (NASDAQ: JBLU), and Hawaiian Holdings (NASDAQ: HA). As the vaccine rollout picked up pace so did demand, and some of the sectors that were hardest hit at the height of the pandemic posted impressive gains starting last fall and heading into this spring. With tourists, and not businesses, leading the way back to the airports, the airlines that have route networks and ticketing policies favored by leisure travelers have seen the recovery materialize faster than rivals who rely on corporate accounts.
Southwest's mid-spring 36% gain for the year actually trailed a lot of other airlines including American Airlines Group (NASDAQ: AAL), JetBlue Airways (NASDAQ: JBLU), and Hawaiian Holdings (NASDAQ: HA). Southwest Airlines (NYSE: LUV) gained 13.9% in the first six months of the year, according to data provided by S&P Global Market Intelligence, and was up as much as 36% in April before falling back some. The Motley Fool recommends Hawaiian Holdings, JetBlue Airways, and Southwest Airlines.
Southwest's mid-spring 36% gain for the year actually trailed a lot of other airlines including American Airlines Group (NASDAQ: AAL), JetBlue Airways (NASDAQ: JBLU), and Hawaiian Holdings (NASDAQ: HA). 10 stocks we like better than Southwest Airlines When our award-winning analyst team has a stock tip, it can pay to listen. * They just revealed what they believe are the ten best stocks for investors to buy right now... and Southwest Airlines wasn't one of them!
Southwest's mid-spring 36% gain for the year actually trailed a lot of other airlines including American Airlines Group (NASDAQ: AAL), JetBlue Airways (NASDAQ: JBLU), and Hawaiian Holdings (NASDAQ: HA). LUV data by YCharts So what Airlines were among the industries hardest hit in 2020 by the pandemic, with travel demand all but evaporating a year ago. 10 stocks we like better than Southwest Airlines When our award-winning analyst team has a stock tip, it can pay to listen.
4355.0
2021-07-12 00:00:00 UTC
Pick SkyWest Stock For More Gains
AAL
https://www.nasdaq.com/articles/pick-skywest-stock-for-more-gains-2021-07-12
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The shares of SkyWest (NASDAQ: SKYW) continue to trade 25% below pre-Covid levels despite a substantial improvement in air travel demand. Notably, passenger numbers at TSA checkpoints are almost 20% below 2019 figures – highlighting the ongoing recovery in the travel and tourism sector. The company reported positive operating cash last year despite a 30% contraction in revenues, primarily supported by the U.S. government’s payroll support program. Given the recovering travel demand, Trefis believes that SkyWest stock has substantial room for growth. We compare SkyWest’s stock performance during the current crisis with that during the 2008 recession. 2020 Coronavirus Crisis Timeline of 2020 Crisis So Far: 12/12/2019: Coronavirus cases first reported in China 1/31/2020: WHO declares a global health emergency. 2/19/2020: Signs of effective containment in China and hopes of monetary easing by major central banks helps S&P 500 reach a record high 3/23/2020: S&P 500 drops 34% from the peak level seen on Feb 19, as Covid-19 cases accelerate outside China. Doesn’t help that oil prices crash in mid-March amid Saudi-led price war From 3/24/2020: S&P 500 recovers 94% from the lows seen on Mar 23, as the Fed’s multi-billion dollar stimulus package suppresses near-term survival anxiety and infuses liquidity into the system. In contrast, here’s how SKYW and the broader market performed during the 2007/2008 crisis. Timeline of 2007-08 Crisis 10/1/2007: Approximate pre-crisis peak in S&P 500 index 9/1/2008 – 10/1/2008: Accelerated market decline corresponding to Lehman bankruptcy filing (9/15/08) 3/1/2009: Approximate bottoming out of S&P 500 index 1/1/2010: Initial recovery to levels before accelerated decline (around 9/1/2008) SkyWest vs S&P 500 Performance Over 2007-08 Financial Crisis SKYW stock declined from levels of around $25 in October 2007 (pre-crisis peak) to levels of around $10 in March 2009 (as the markets bottomed out). However, the stock gained significantly post-2008 crisis to levels of about $17 in early 2010 – rising by 65% between March 2009 and January 2010. In comparison, the S&P 500 Index first fell 51% in the wake of the recession before recovering 48% by January 2010. SkyWest’s Fundamentals in Recent Years Look Stable SkyWest’s revenues declined by 5% from $3.2 billion in 2017 to $3 billion in 2019, as capacity and ticket prices remained fairly stable. The net margins also deteriorated by 2-percentage points due to higher fuel expenses and administrative costs. Thus, the EPS decreased by 20% from $8.28 in 2017 to $6.68 in 2019. In Q1 2021, the company’s revenues fell by 26% (y-o-y) as block hours observed a similar contraction and load factor shrunk by 10-percentage points. CONCLUSION Phases of Covid-19 crisis: Early- to mid-March 2020: Fear of the coronavirus outbreak spreading rapidly translates into reality, with the number of cases accelerating globally Late-March 2020 onward: Social distancing measures + lockdowns April 2020: Fed stimulus suppresses near-term survival anxiety May-June 2020: Recovery of demand, with gradual lifting of lockdowns – no panic anymore despite a steady increase in the number of cases Since late 2020: Weak quarterly results, but continued improvement in demand and progress with vaccine development buoy market sentiment Given the company’s positive operating cash during the pandemic and recovering travel demand, we believe that there is more room for growth in SkyWest stock. What if you’re looking for a more balanced portfolio instead? Here’s a high-quality portfolio that’s beaten the market since 2016. See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The shares of SkyWest (NASDAQ: SKYW) continue to trade 25% below pre-Covid levels despite a substantial improvement in air travel demand. In Q1 2021, the company’s revenues fell by 26% (y-o-y) as block hours observed a similar contraction and load factor shrunk by 10-percentage points. Phases of Covid-19 crisis: Early- to mid-March 2020: Fear of the coronavirus outbreak spreading rapidly translates into reality, with the number of cases accelerating globally Late-March 2020 onward: Social distancing measures + lockdowns April 2020: Fed stimulus suppresses near-term survival anxiety May-June 2020: Recovery of demand, with gradual lifting of lockdowns – no panic anymore despite a steady increase in the number of cases Since late 2020: Weak quarterly results, but continued improvement in demand and progress with vaccine development buoy market sentiment Given the company’s positive operating cash during the pandemic and recovering travel demand, we believe that there is more room for growth in SkyWest stock.
Given the recovering travel demand, Trefis believes that SkyWest stock has substantial room for growth. Timeline of 2007-08 Crisis 10/1/2007: Approximate pre-crisis peak in S&P 500 index 9/1/2008 – 10/1/2008: Accelerated market decline corresponding to Lehman bankruptcy filing (9/15/08) 3/1/2009: Approximate bottoming out of S&P 500 index 1/1/2010: Initial recovery to levels before accelerated decline (around 9/1/2008) SkyWest vs S&P 500 Performance Over 2007-08 Financial Crisis SKYW stock declined from levels of around $25 in October 2007 (pre-crisis peak) to levels of around $10 in March 2009 (as the markets bottomed out). Phases of Covid-19 crisis: Early- to mid-March 2020: Fear of the coronavirus outbreak spreading rapidly translates into reality, with the number of cases accelerating globally Late-March 2020 onward: Social distancing measures + lockdowns April 2020: Fed stimulus suppresses near-term survival anxiety May-June 2020: Recovery of demand, with gradual lifting of lockdowns – no panic anymore despite a steady increase in the number of cases Since late 2020: Weak quarterly results, but continued improvement in demand and progress with vaccine development buoy market sentiment Given the company’s positive operating cash during the pandemic and recovering travel demand, we believe that there is more room for growth in SkyWest stock.
Timeline of 2007-08 Crisis 10/1/2007: Approximate pre-crisis peak in S&P 500 index 9/1/2008 – 10/1/2008: Accelerated market decline corresponding to Lehman bankruptcy filing (9/15/08) 3/1/2009: Approximate bottoming out of S&P 500 index 1/1/2010: Initial recovery to levels before accelerated decline (around 9/1/2008) SkyWest vs S&P 500 Performance Over 2007-08 Financial Crisis SKYW stock declined from levels of around $25 in October 2007 (pre-crisis peak) to levels of around $10 in March 2009 (as the markets bottomed out). SkyWest’s Fundamentals in Recent Years Look Stable SkyWest’s revenues declined by 5% from $3.2 billion in 2017 to $3 billion in 2019, as capacity and ticket prices remained fairly stable. Phases of Covid-19 crisis: Early- to mid-March 2020: Fear of the coronavirus outbreak spreading rapidly translates into reality, with the number of cases accelerating globally Late-March 2020 onward: Social distancing measures + lockdowns April 2020: Fed stimulus suppresses near-term survival anxiety May-June 2020: Recovery of demand, with gradual lifting of lockdowns – no panic anymore despite a steady increase in the number of cases Since late 2020: Weak quarterly results, but continued improvement in demand and progress with vaccine development buoy market sentiment Given the company’s positive operating cash during the pandemic and recovering travel demand, we believe that there is more room for growth in SkyWest stock.
Given the recovering travel demand, Trefis believes that SkyWest stock has substantial room for growth. We compare SkyWest’s stock performance during the current crisis with that during the 2008 recession. Phases of Covid-19 crisis: Early- to mid-March 2020: Fear of the coronavirus outbreak spreading rapidly translates into reality, with the number of cases accelerating globally Late-March 2020 onward: Social distancing measures + lockdowns April 2020: Fed stimulus suppresses near-term survival anxiety May-June 2020: Recovery of demand, with gradual lifting of lockdowns – no panic anymore despite a steady increase in the number of cases Since late 2020: Weak quarterly results, but continued improvement in demand and progress with vaccine development buoy market sentiment Given the company’s positive operating cash during the pandemic and recovering travel demand, we believe that there is more room for growth in SkyWest stock.
4356.0
2021-07-09 00:00:00 UTC
Stock Market Today: Stocks Bounce Back to Hit New Highs
AAL
https://www.nasdaq.com/articles/stock-market-today%3A-stocks-bounce-back-to-hit-new-highs-2021-07-09
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The major market indexes finished a holiday-shortened week in fine fashion, leaving behind Thursday's Treasury-rate tumult to end today at record highs. After falling to its lowest level since February yesterday, the 10-year Treasury yield stabilized, settling up 7 basis points (one basis point is one-one hundredth of a percentage point) to 1.36%. SEE MORE 14 Best Infrastructure Stocks for Biden's Big Building Spend Also moving higher today were reopening stocks like American Airlines (AAL, +2.7%) and Carnival (CCL, +2.3%), as well as financials (+2.8%). Sign up for Kiplinger's FREE Investing Weekly e-letter for stock, ETF and mutual fund recommendations, and other investing advice. The Dow Jones Industrial Average gained 1.3% to finish at 34,870 as big banks Goldman Sachs (GS, +3.6%) and JPMorgan Chase (JPM, +3.2%) surged ahead of next week's earnings reports, while the S&P 500 Index jumped 1.1% to 4,369. Even the Nasdaq Composite brushed off news of President Joe Biden's executive order aimed at promoting competition in a wide range of sectors, including technology, to finish up 1.0% at 14,701. Other action in thestock market today The small-cap Russell 2000 rose 2.2% to 2,280. Discover Financial Services (DFS) jumped 6.2% today. Citi upgraded the big bank stock to Buy, saying it "has the clearest near-term path to benefit from the return of consumer card spending and lending as pandemic-related benefits expire and elevated payment rates return to lower levels." There were a number of stocks that moved on M&A news today. Philip Morris International (PM) rose 1.1% after the tobacco titan said it was buying U.K. respiratory treatment specialist Vectura for $1.4 billion. Additionally, Stamps.com (STMP) soared 64.0% after the mailing company agreed to be taken private by Thoma Bravo in a deal valued at $6.6 billion. U.S. crude oil futures spiked 2.3% to $74.60 per barrel, but still fell 0.8% on the week. Gold futures gained 0.6% to finish at $1,810.60 an ounce. For the week, gold rose 1.5% – its third consecutive weekly win. The CBOE Volatility Index (VIX) plunged 14.8% to end at 16.18. Bitcoin added 1.3% to $33,446.99. (Bitcoin trades 24 hours a day; prices reported here are as of 4 p.m. each trading day. YCharts So, What's in Store for Next Week? While the start to second-quarter earnings season will certainly be front and center, Wall Street will also be watching inflation with the latest consumer price index (CPI) due out ahead of the opening bell on Tuesday, July 13. Last month's CPI reading rose 5% on a year-over-year basis – its biggest annual increase since August 2008. And according to Gargi Chaudhuri, head of iShares Investment Strategy, Americas at BlackRock, inflation is going to continue to run hot. This is due to several factors, including the Fed's easy money policy, higher production costs and supply bottlenecks. SEE MORE 15 Dividend Aristocrats You Can Buy at a Discount However, Chaudhuri says that the rising-inflation trend bodes well for "cyclically oriented value stocks in sectors such as financials that have been strong performers so far in 2021." For investors looking to position for higher inflation, we've recently compiled a list of top-rated financial stocks to watch for the remainder of the year. These are the most compelling plays in the space, according to Wall Street's analysts. Check them out here. SEE MORE 5 Five-Star Mutual Funds for Any Investor The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
SEE MORE 14 Best Infrastructure Stocks for Biden's Big Building Spend Also moving higher today were reopening stocks like American Airlines (AAL, +2.7%) and Carnival (CCL, +2.3%), as well as financials (+2.8%). The Dow Jones Industrial Average gained 1.3% to finish at 34,870 as big banks Goldman Sachs (GS, +3.6%) and JPMorgan Chase (JPM, +3.2%) surged ahead of next week's earnings reports, while the S&P 500 Index jumped 1.1% to 4,369. Even the Nasdaq Composite brushed off news of President Joe Biden's executive order aimed at promoting competition in a wide range of sectors, including technology, to finish up 1.0% at 14,701.
SEE MORE 14 Best Infrastructure Stocks for Biden's Big Building Spend Also moving higher today were reopening stocks like American Airlines (AAL, +2.7%) and Carnival (CCL, +2.3%), as well as financials (+2.8%). (Bitcoin trades 24 hours a day; prices reported here are as of 4 p.m. each trading day. While the start to second-quarter earnings season will certainly be front and center, Wall Street will also be watching inflation with the latest consumer price index (CPI) due out ahead of the opening bell on Tuesday, July 13.
SEE MORE 14 Best Infrastructure Stocks for Biden's Big Building Spend Also moving higher today were reopening stocks like American Airlines (AAL, +2.7%) and Carnival (CCL, +2.3%), as well as financials (+2.8%). The major market indexes finished a holiday-shortened week in fine fashion, leaving behind Thursday's Treasury-rate tumult to end today at record highs. The Dow Jones Industrial Average gained 1.3% to finish at 34,870 as big banks Goldman Sachs (GS, +3.6%) and JPMorgan Chase (JPM, +3.2%) surged ahead of next week's earnings reports, while the S&P 500 Index jumped 1.1% to 4,369.
SEE MORE 14 Best Infrastructure Stocks for Biden's Big Building Spend Also moving higher today were reopening stocks like American Airlines (AAL, +2.7%) and Carnival (CCL, +2.3%), as well as financials (+2.8%). The major market indexes finished a holiday-shortened week in fine fashion, leaving behind Thursday's Treasury-rate tumult to end today at record highs. Sign up for Kiplinger's FREE Investing Weekly e-letter for stock, ETF and mutual fund recommendations, and other investing advice.
4357.0
2021-07-09 00:00:00 UTC
Notable Friday Option Activity: AAL, PFE, DOV
AAL
https://www.nasdaq.com/articles/notable-friday-option-activity%3A-aal-pfe-dov-2021-07-09
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Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in American Airlines Group Inc (Symbol: AAL), where a total volume of 111,547 contracts has been traded thus far today, a contract volume which is representative of approximately 11.2 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 43.3% of AAL's average daily trading volume over the past month, of 25.7 million shares. Particularly high volume was seen for the $21 strike call option expiring July 09, 2021, with 11,087 contracts trading so far today, representing approximately 1.1 million underlying shares of AAL. Below is a chart showing AAL's trailing twelve month trading history, with the $21 strike highlighted in orange: Pfizer Inc (Symbol: PFE) saw options trading volume of 92,262 contracts, representing approximately 9.2 million underlying shares or approximately 43% of PFE's average daily trading volume over the past month, of 21.5 million shares. Especially high volume was seen for the $40 strike call option expiring July 16, 2021, with 11,408 contracts trading so far today, representing approximately 1.1 million underlying shares of PFE. Below is a chart showing PFE's trailing twelve month trading history, with the $40 strike highlighted in orange: And Dover Corp (Symbol: DOV) options are showing a volume of 2,706 contracts thus far today. That number of contracts represents approximately 270,600 underlying shares, working out to a sizeable 41.7% of DOV's average daily trading volume over the past month, of 648,935 shares. Especially high volume was seen for the $155 strike call option expiring July 16, 2021, with 1,001 contracts trading so far today, representing approximately 100,100 underlying shares of DOV. Below is a chart showing DOV's trailing twelve month trading history, with the $155 strike highlighted in orange: For the various different available expirations for AAL options, PFE options, or DOV options, visit StockOptionsChannel.com. Today's Most Active Call & Put Options of the S&P 500 » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Particularly high volume was seen for the $21 strike call option expiring July 09, 2021, with 11,087 contracts trading so far today, representing approximately 1.1 million underlying shares of AAL. Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in American Airlines Group Inc (Symbol: AAL), where a total volume of 111,547 contracts has been traded thus far today, a contract volume which is representative of approximately 11.2 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 43.3% of AAL's average daily trading volume over the past month, of 25.7 million shares.
Particularly high volume was seen for the $21 strike call option expiring July 09, 2021, with 11,087 contracts trading so far today, representing approximately 1.1 million underlying shares of AAL. Below is a chart showing AAL's trailing twelve month trading history, with the $21 strike highlighted in orange: Pfizer Inc (Symbol: PFE) saw options trading volume of 92,262 contracts, representing approximately 9.2 million underlying shares or approximately 43% of PFE's average daily trading volume over the past month, of 21.5 million shares. Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in American Airlines Group Inc (Symbol: AAL), where a total volume of 111,547 contracts has been traded thus far today, a contract volume which is representative of approximately 11.2 million underlying shares (given that every 1 contract represents 100 underlying shares).
Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in American Airlines Group Inc (Symbol: AAL), where a total volume of 111,547 contracts has been traded thus far today, a contract volume which is representative of approximately 11.2 million underlying shares (given that every 1 contract represents 100 underlying shares). Particularly high volume was seen for the $21 strike call option expiring July 09, 2021, with 11,087 contracts trading so far today, representing approximately 1.1 million underlying shares of AAL. Below is a chart showing AAL's trailing twelve month trading history, with the $21 strike highlighted in orange: Pfizer Inc (Symbol: PFE) saw options trading volume of 92,262 contracts, representing approximately 9.2 million underlying shares or approximately 43% of PFE's average daily trading volume over the past month, of 21.5 million shares.
Below is a chart showing AAL's trailing twelve month trading history, with the $21 strike highlighted in orange: Pfizer Inc (Symbol: PFE) saw options trading volume of 92,262 contracts, representing approximately 9.2 million underlying shares or approximately 43% of PFE's average daily trading volume over the past month, of 21.5 million shares. Below is a chart showing DOV's trailing twelve month trading history, with the $155 strike highlighted in orange: For the various different available expirations for AAL options, PFE options, or DOV options, visit StockOptionsChannel.com. Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in American Airlines Group Inc (Symbol: AAL), where a total volume of 111,547 contracts has been traded thus far today, a contract volume which is representative of approximately 11.2 million underlying shares (given that every 1 contract represents 100 underlying shares).
4358.0
2021-07-09 00:00:00 UTC
Biden will direct U.S. study of airport slots, aviation market structure - adviser
AAL
https://www.nasdaq.com/articles/biden-will-direct-u.s.-study-of-airport-slots-aviation-market-structure-adviser-2021-07-09
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By David Shepardson WASHINGTON, July 9 (Reuters) - An executive order to boost competition that President Joe Biden is to sign on Friday will direct U.S. regulators to review airport slots and aviation market structure issues, a White House adviser told Reuters. White House economic adviser Bharat Ramamurti said the U.S. Transportation Department "is going to look into slot issues and other market structure competition issues... It is our goal to have more competition in the airline industry," Ramamurti said. Rules on the allocation of airport slots have big ramifications for airline competition and market access for low-cost carriers. "That's an area that deserves further study to figure out how to balance a variety of competing interests," Ramamurti said. Biden's order also directs the Transportation Department to propose new rules to require passenger airlines to refund fees for bags that are significantly delayed and refunds for services like onboard Wi-Fi that do not work. Under existing U.S. Transportation Department rules, passengers are entitled to a fee refund if bags are lost, but not when delayed. Under the proposed rule to be released in the coming days, a “significantly delayed checked bag” is one not delivered to the passenger within 12 hours for domestic itineraries and within 25 hours for international itineraries. Airlines for America, a group representing major airlines including American Airlines, Delta Air Lines and United Airlines, wrote White House economic adviser Brian Deese on Thursday to discuss the proposals. The group said Friday that "robust competition in the U.S. airline industry has generated unprecedented levels of affordability and accessibility, benefiting the customer at every level." A draft of the executive order seen by Reuters directs the department to evaluate "existing commercial aviation programs, consumer protections" and to consult with the Justice Department "to ensure competition in air transportation and the ability of new entrants to gain access." It also directs considering "measures to support airport development and increased capacity and improve airport congestion management, gate access... and 'slot' administration." The administration proposal would also require airlines to promptly refund fees – such as for advance seat selection, Wi-Fi and other flight services – if the passenger does not receive the service or it does not work. U.S. airlines collected approximately $5.8 billion in baggage fees and $2.8 billion in change and cancellation fees in 2019, up from just $464 million in baggage fees and $915 million in change and cancellation fees in 2007. The Transportation Department also intends to issue a separate proposed rule to require upfront disclosure of baggage fees, change fees and cancellation fees. (Reporting by David Shepardson, Editing by Franklin Paul and Alistair Bell) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
By David Shepardson WASHINGTON, July 9 (Reuters) - An executive order to boost competition that President Joe Biden is to sign on Friday will direct U.S. regulators to review airport slots and aviation market structure issues, a White House adviser told Reuters. Rules on the allocation of airport slots have big ramifications for airline competition and market access for low-cost carriers. Under existing U.S. Transportation Department rules, passengers are entitled to a fee refund if bags are lost, but not when delayed.
By David Shepardson WASHINGTON, July 9 (Reuters) - An executive order to boost competition that President Joe Biden is to sign on Friday will direct U.S. regulators to review airport slots and aviation market structure issues, a White House adviser told Reuters. Biden's order also directs the Transportation Department to propose new rules to require passenger airlines to refund fees for bags that are significantly delayed and refunds for services like onboard Wi-Fi that do not work. The Transportation Department also intends to issue a separate proposed rule to require upfront disclosure of baggage fees, change fees and cancellation fees.
Biden's order also directs the Transportation Department to propose new rules to require passenger airlines to refund fees for bags that are significantly delayed and refunds for services like onboard Wi-Fi that do not work. Airlines for America, a group representing major airlines including American Airlines, Delta Air Lines and United Airlines, wrote White House economic adviser Brian Deese on Thursday to discuss the proposals. U.S. airlines collected approximately $5.8 billion in baggage fees and $2.8 billion in change and cancellation fees in 2019, up from just $464 million in baggage fees and $915 million in change and cancellation fees in 2007.
White House economic adviser Bharat Ramamurti said the U.S. Transportation Department "is going to look into slot issues and other market structure competition issues... Biden's order also directs the Transportation Department to propose new rules to require passenger airlines to refund fees for bags that are significantly delayed and refunds for services like onboard Wi-Fi that do not work. The Transportation Department also intends to issue a separate proposed rule to require upfront disclosure of baggage fees, change fees and cancellation fees.
4359.0
2021-07-09 00:00:00 UTC
Why I Am Long American Airlines (AAL) and Still Buying
AAL
https://www.nasdaq.com/articles/why-i-am-long-american-airlines-aal-and-still-buying-2021-07-09
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T he last few days have been volatile, but there are some things that are value right now, regardless of any short-term market moves. Large airline stocks would be a good example. They have been hit hard in recent months as the delta variant of Covid has delayed the recovery of international travel, but if there is one thing a 2-year chart for a major stock index makes clear, it is that human and economic resilience can beat even a pandemic, and that we will bounce back. The long-term case for stocks like American Airlines (AAL) and Delta (DAL) is therefore clear, but there is also a short-term argument for owning them, which I should point out, I do. I am long AAL right now and will probably add to that position over the next couple of weeks before the company’s earnings release on July 22. The reason for that is a combination of anecdotal evidence and simple logic. Last weekend, I took my first post-covid commercial flight. It was a holiday weekend, so I was not surprised that the flight was full, but I was surprised to be told in a conversation with a flight attendant that that is an increasingly common thing. The numbers suggest it shouldn’t be, as domestic passenger volume, while it has recovered strongly, is still down around 26% from pre-covid levels, with the number of flights down only around 21%. Those data, however, are for a couple of months ago. Things have been moving faster since then, with more people flying on fewer flights, and with airlines combining flights to maximize loads. As a result, there is reason to believe that not only will earnings for last quarter be better than anticipated, but also that they will show a skew towards the end of the quarter that results in a relatively positive outlook. That should be enough to give stocks like AAL and DAL a boost that provides a higher launch point for the gains that will come when international travel begins to recover. Of course, it isn’t quite that simple; there are risks and potential pitfalls. The delta variant could prove to be the disease that confounds human ingenuity and science, I suppose, but that hasn’t happened yet in human existence and if it does, what stocks you own will be the least of your worries. Then there are more practical risks. There is a pilot shortage among airlines right now that will necessitate some expenditure to rectify, and if passenger numbers don’t recover quickly enough, that will create some cash flow problems that may lead to another capital raise. Those risks, however, are well known and pretty much priced in at this point. AAL, for example, has a forward P/E of only around 7, way below average, but they have enough cash on hand to survive about a year and a half of losses at last quarter’s rate. Assuming that negative cash flow declines, which the evidence indicates will happen, that will be more than enough and AAL at around $20 will prove to be incredibly cheap. Ultimately, though, this is a play on the fact that markets tend to overreact to headlines, just as people do. The delta variant proves that viruses can be unpredictable and hard to defeat, but the fact that humankind has been living with and progressing despite various strains of the flu and other viruses for centuries shows that even if we have to live with this one to some extent, the global economy will continue to expand and airlines will, before too long, be profitable again. Do you want more of Martin? If you are familiar with Martin’s work, you will know that he brings a unique perspective to markets and actionable ideas based on that perspective. In addition to writing here, Martin also writes a free weekly newsletter with in-depth analysis and trade ideas focused on just one long-time underperforming sector that is bouncing fast. To find out more and sign up for the free newsletter, just click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The long-term case for stocks like American Airlines (AAL) and Delta (DAL) is therefore clear, but there is also a short-term argument for owning them, which I should point out, I do. I am long AAL right now and will probably add to that position over the next couple of weeks before the company’s earnings release on July 22. That should be enough to give stocks like AAL and DAL a boost that provides a higher launch point for the gains that will come when international travel begins to recover.
The long-term case for stocks like American Airlines (AAL) and Delta (DAL) is therefore clear, but there is also a short-term argument for owning them, which I should point out, I do. I am long AAL right now and will probably add to that position over the next couple of weeks before the company’s earnings release on July 22. That should be enough to give stocks like AAL and DAL a boost that provides a higher launch point for the gains that will come when international travel begins to recover.
The long-term case for stocks like American Airlines (AAL) and Delta (DAL) is therefore clear, but there is also a short-term argument for owning them, which I should point out, I do. I am long AAL right now and will probably add to that position over the next couple of weeks before the company’s earnings release on July 22. That should be enough to give stocks like AAL and DAL a boost that provides a higher launch point for the gains that will come when international travel begins to recover.
The long-term case for stocks like American Airlines (AAL) and Delta (DAL) is therefore clear, but there is also a short-term argument for owning them, which I should point out, I do. I am long AAL right now and will probably add to that position over the next couple of weeks before the company’s earnings release on July 22. That should be enough to give stocks like AAL and DAL a boost that provides a higher launch point for the gains that will come when international travel begins to recover.
4360.0
2021-07-09 00:00:00 UTC
US STOCKS-Wall Street set to open higher as banks, energy stocks rebound
AAL
https://www.nasdaq.com/articles/us-stocks-wall-street-set-to-open-higher-as-banks-energy-stocks-rebound-2021-07-09
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By Devik Jain and Shreyashi Sanyal July 9 (Reuters) - U.S. stock indexes were set to open higher on Friday, as energy and banking shares rebounded from a sharp selloff that was triggered by growth worries and has put the indexes on track for their biggest weekly fall since mid-June. Energy firms such as Exxon Mobil Corp XOM.N, Devon Energy Corp DVN.N, Schlumberger NV SLB.N, Occidental Petroleum Corp OXY.N and Halliburton Co HAL.N rose between 0.9% and 1.4% in premarket trading, tracking firmer oil prices. O/R Rate-sensitive lenders Wells Fargo & Co WFC.N, Morgan Stanley MS.N, JP Morgan Chase & Co JPM.N, Citigroup Inc C.N, Goldman Sachs Group Inc GS.N and Bank of America Corp BAC.N gained between 1.5% and 1.7%, as the benchmark 10-year Treasury yield US10YT=RR snapped an eight-day losing streak. US/ Among companies benefiting from economic reopenings, cruise operators Royal Caribbean Cruises Ltd RCL.N and Carnival Corp CCL.N added more than 2.5% each, while carriers United Airlines Holdings UAL.O and American Airlines Group Inc AAL.O rose about 2% each. Wall Street's main indexes slid on Thursday, with the S&P 500 .SPX and the Nasdaq .IXIC pulling back from record closing highs as investors flocked to bond markets on concerns that the domestic economic recovery was losing steam. "The market was at a high point and it needed to pull back a little bit and it did yesterday," said Peter Cardillo, chief market economist at Spartan Capital Securities in New York. The focus will now shift to second-quarter earnings, with big banks reporting next week. Analysts expect earnings growth of 65.4% for companies in the S&P 500 index in the quarter, up from a previous forecast of 54% growth at the start of the period, according to Refinitiv IBES data. "Once we enter earnings season, we will expect a sort of cushion for the market ... it won't just be a certain group of companies that are expected to report strong earnings, it will be most sectors of the market," Cardillo said. The S&P 500 is down 0.7% so far this week, while the Dow has declined 1%. The Nasdaq is set to post a smaller weekly decline of 0.5%, helped by a recent move into growth companies, but was still on course for its worst week since mid-May. At 8:19 a.m. ET, Dow e-minis 1YMcv1 were up 253 points, or 0.74%, S&P 500 e-minis EScv1 were up 21 points, or 0.49% Nasdaq 100 e-minis NQcv1 lagged its peers as it rose 11.75 points, or 0.08%, with mega-cap technology stocks Google owner-Alphabet Inc GOOGL.O, Facebook Inc FB.O, Apple Inc AAPL.O, Microsoft Corp MSFT.O and Amazon.com AMZN.O trading mixed. Levi Strauss & Co LEVI.N gained 3.7% as it forecast a strong full-year profit after beating quarterly earnings estimates on improving demand across its markets for jeans, tops, and jackets. U.S.-listed shares of Chinese ride-hailing company Didi Global Inc DIDI.N rose 3.1% after four sessions of losses as it was recently hit by an investigation from China's internet watchdog. General Motors Co GM.N firmed 3.7% after Wedbush started coverage of the automaker's stock with an "outperform" rating. Q2 expected to see peak results for U.S. companieshttps://tmsnrt.rs/3AySkeC (Reporting by Devik Jain and Shreyashi Sanyal in Bengaluru; Editing by Arun Koyyur, Aditya Soni) ((Devik.Jain@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2062; ;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
US/ Among companies benefiting from economic reopenings, cruise operators Royal Caribbean Cruises Ltd RCL.N and Carnival Corp CCL.N added more than 2.5% each, while carriers United Airlines Holdings UAL.O and American Airlines Group Inc AAL.O rose about 2% each. Wall Street's main indexes slid on Thursday, with the S&P 500 .SPX and the Nasdaq .IXIC pulling back from record closing highs as investors flocked to bond markets on concerns that the domestic economic recovery was losing steam. Levi Strauss & Co LEVI.N gained 3.7% as it forecast a strong full-year profit after beating quarterly earnings estimates on improving demand across its markets for jeans, tops, and jackets.
US/ Among companies benefiting from economic reopenings, cruise operators Royal Caribbean Cruises Ltd RCL.N and Carnival Corp CCL.N added more than 2.5% each, while carriers United Airlines Holdings UAL.O and American Airlines Group Inc AAL.O rose about 2% each. By Devik Jain and Shreyashi Sanyal July 9 (Reuters) - U.S. stock indexes were set to open higher on Friday, as energy and banking shares rebounded from a sharp selloff that was triggered by growth worries and has put the indexes on track for their biggest weekly fall since mid-June. "Once we enter earnings season, we will expect a sort of cushion for the market ... it won't just be a certain group of companies that are expected to report strong earnings, it will be most sectors of the market," Cardillo said.
US/ Among companies benefiting from economic reopenings, cruise operators Royal Caribbean Cruises Ltd RCL.N and Carnival Corp CCL.N added more than 2.5% each, while carriers United Airlines Holdings UAL.O and American Airlines Group Inc AAL.O rose about 2% each. By Devik Jain and Shreyashi Sanyal July 9 (Reuters) - U.S. stock indexes were set to open higher on Friday, as energy and banking shares rebounded from a sharp selloff that was triggered by growth worries and has put the indexes on track for their biggest weekly fall since mid-June. "Once we enter earnings season, we will expect a sort of cushion for the market ... it won't just be a certain group of companies that are expected to report strong earnings, it will be most sectors of the market," Cardillo said.
US/ Among companies benefiting from economic reopenings, cruise operators Royal Caribbean Cruises Ltd RCL.N and Carnival Corp CCL.N added more than 2.5% each, while carriers United Airlines Holdings UAL.O and American Airlines Group Inc AAL.O rose about 2% each. By Devik Jain and Shreyashi Sanyal July 9 (Reuters) - U.S. stock indexes were set to open higher on Friday, as energy and banking shares rebounded from a sharp selloff that was triggered by growth worries and has put the indexes on track for their biggest weekly fall since mid-June. Analysts expect earnings growth of 65.4% for companies in the S&P 500 index in the quarter, up from a previous forecast of 54% growth at the start of the period, according to Refinitiv IBES data.
4361.0
2021-07-08 00:00:00 UTC
3 Top Stocks to Buy for the Second Half of 2021
AAL
https://www.nasdaq.com/articles/3-top-stocks-to-buy-for-the-second-half-of-2021-2021-07-08
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The stock market has been unstoppable this year, with bullishness continuing from 2020 and the S&P 500 index now up over 15% since the start of January. Given that context, it's natural to be a little apprehensive about buying stocks right now -- many look a bit expensive. But there could be more gains ahead, as the U.S. economy is still in the early stages of returning to normalcy after the coronavirus pandemic. Three stocks that look to be great buys for the latter half of the year include Walgreens (NASDAQ: WBA), Alphabet (NASDAQ: GOOG) (NASDAQ:GOOGL), and American Airlines (NASDAQ: AAL). They have all been outperforming the S&P 500; here's why their gains could get even bigger as the year progresses. Image source: Getty Images. 1. Walgreens Walgreens' stock has been falling since the company released its latest quarterly results on July 1. Although the pharmacy retailer beat expectations for sales and profits, investors only saw that the business did well due to a boost from COVID-19 vaccinations. Already looking ahead (perhaps too far), they hit the sell button on concerns that the trend would subside -- even though management forecasted 10% growth in its adjusted earnings. And while it is completely reasonable to expect numbers to taper off as coronavirus vaccination rates continue to increase, Walgreens is still likely to get a boost from flu shots. Cases of influenza were at record lows this past flu season, and a resurgence this fall could offset any drop-off in vaccine-related traffic to its stores. Looking further ahead, booster shots for COVID-19 could become an annual occurrence and may even be combined with flu shots. Investors may be selling off Walgreens stock prematurely. With shares of the healthcare company trading at the lowest levels they've seen since March, now may be a good time to buy on the dip. And with the stock's yield of 3.9%, investors will also be securing a payout that is well above the S&P 500 average of just 1.4%. 2. Alphabet A return to normalcy is also great news for tech giant Alphabet, which could experience a surge in ad revenue as businesses go back to spending money on promoting their operations. Media investment company GroupM is seeing advertising growth exceed its expectations at the midyear mark, specifically when it comes to digital media. In December 2020, the company was expecting to see 15% growth in ad spending related to digital media for this year, but it now projects that number will rise as high as 26%. That's great news for Alphabet, which is already coming off an improved quarter. In its latest results, released April 27, revenue for the first three months of 2021 totaled $55 billion, growing 34% year over year -- up from a growth rate of just 13% in the same period of 2020. The company credited the results to "broad-based growth in advertiser revenue" -- a trend that doesn't look to be dying down anytime soon. Although Alphabet's shares are already up 47% this year, it still may not be too late to invest in the company. The stock is trading at a price-to-earnings multiple of 34, and it's often traded even higher in the past. Strong earnings later this year could bring that number down. 3. American Airlines Investing in American Airlines used to be a contrarian bet, but not anymore. Pent-up travel demand could be a catalyst behind a strong second half for the company. On July 4, just under 1.7 million people passed through TSA travel checkpoints -- more than double last year's tally of more than 730,000. The demand is strong, but the company has been canceling flights due to labor shortages and weather-related issues to ensure that it "minimizes surprises at the airport." While that isn't great news and it means there will likely be some lost revenue, it could prove to be a temporary issue if American Airlines can hire enough staff in the near term to help manage these challenges. The surge in travel, even despite cancelled flights, should give American Airlines' numbers a big boost this year. Investors have already been anticipating that, with shares of the airline up more than 35% year to date. But it likely won't be until investors see just how strong the earnings numbers are that the stock will likely hit a peak. Sales of $4 billion for the first three months of 2021 were still underwhelming and down more than 50% from the previous year. Over the next few earnings reports, however, when stronger demand translates into a much better top line for the company, that should drive even more bullishness behind American Airlines stock -- likely sending it back to its pre-pandemic highs of more than $30 per share before the end of the year. Investors should expect to see the company's next earnings report (which will cover the three-month period up until the end of June) later this month. With last year's numbers of $1.6 billion for the period being down more than 86% versus 2019's totals due to lockdowns, the airline should crush its year-over-year comparables this time around. 10 stocks we like better than Walgreens Boots Alliance When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Walgreens Boots Alliance wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. David Jagielski has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Alphabet (A shares) and Alphabet (C shares). The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Three stocks that look to be great buys for the latter half of the year include Walgreens (NASDAQ: WBA), Alphabet (NASDAQ: GOOG) (NASDAQ:GOOGL), and American Airlines (NASDAQ: AAL). And while it is completely reasonable to expect numbers to taper off as coronavirus vaccination rates continue to increase, Walgreens is still likely to get a boost from flu shots. While that isn't great news and it means there will likely be some lost revenue, it could prove to be a temporary issue if American Airlines can hire enough staff in the near term to help manage these challenges.
Three stocks that look to be great buys for the latter half of the year include Walgreens (NASDAQ: WBA), Alphabet (NASDAQ: GOOG) (NASDAQ:GOOGL), and American Airlines (NASDAQ: AAL). Walgreens Walgreens' stock has been falling since the company released its latest quarterly results on July 1. The surge in travel, even despite cancelled flights, should give American Airlines' numbers a big boost this year.
Three stocks that look to be great buys for the latter half of the year include Walgreens (NASDAQ: WBA), Alphabet (NASDAQ: GOOG) (NASDAQ:GOOGL), and American Airlines (NASDAQ: AAL). Over the next few earnings reports, however, when stronger demand translates into a much better top line for the company, that should drive even more bullishness behind American Airlines stock -- likely sending it back to its pre-pandemic highs of more than $30 per share before the end of the year. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors.
Three stocks that look to be great buys for the latter half of the year include Walgreens (NASDAQ: WBA), Alphabet (NASDAQ: GOOG) (NASDAQ:GOOGL), and American Airlines (NASDAQ: AAL). Investors may be selling off Walgreens stock prematurely. The surge in travel, even despite cancelled flights, should give American Airlines' numbers a big boost this year.
4362.0
2021-07-07 00:00:00 UTC
These 2 Dow Leaders Are Hurting the Stock Market
AAL
https://www.nasdaq.com/articles/these-2-dow-leaders-are-hurting-the-stock-market-2021-07-07
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Summer is often a positive time for the stock market, but that's not proving to be the case this week. Wednesday morning brought continued volatility on Wall Street, as investors are trying to work through whether recent inflationary indications will reverse themselves just as quickly as they emerged. As of 11:30 a.m. EDT today, the Dow Jones Industrial Average (DJINDICES: ^DJI) was up 67 points to 34,644. The S&P 500 (SNPINDEX: ^GSPC) had moved higher by 5 points to 4,348, but the Nasdaq Composite (NASDAQINDEX: ^IXIC) had fallen 46 points to 14,617. Many investors look to the Dow as an indicator of the health of the broader stock market. In that context, declines from Boeing (NYSE: BA) and Goldman Sachs (NYSE: GS) stood out in holding back the average from bigger gains. Below, we'll look more closely at what's hurting these companies and whether this could be the beginning of a larger pullback. Losing its lift Shares of Boeing were down nearly 2% on Wednesday morning. The aerospace giant continues to deal with uncertainty related to the pace of the reopening of the global economy and progress against the pandemic around the world. A Boeing 737. Image source: Boeing. Major international airlines were all broadly lower on Wednesday, with Delta Air Lines (NYSE: DAL), American Airlines Group (NASDAQ: AAL), and United Airlines Holdings (NASDAQ: UAL) off between 2% and 3% on the day. Domestically, air travel has rebounded nicely, with traffic through TSA checkpoints topping their 2019 level earlier this month for the first time since the pandemic began. Yet airlines are still waiting for international routes to return to full capacity, and that could potentially weigh on order activity for Boeing. Industry leaders foresee that travel between the U.S. and the U.K. could reopen in just weeks, and there's also optimism that Canada could reopen its border to vaccinated U.S. residents sooner rather than later. A lot depends on the speed of vaccine rollouts both in the U.S. and overseas, as well as the potential impact of the Delta variant and other COVID-19 variants. If existing vaccines prove ineffective against future variants, then air travel could be right back at square one -- and that could prove extremely problematic for Boeing and its expectations of a return to normal in the near future. Banking on higher rates? Elsewhere, shares of Goldman Sachs were down almost 1%. That's not a lot, but given Goldman's high share price and the fact that the Dow is a price-weighted index, the investment bank's decline had a relatively significant downward influence on the Dow overall. Until last month, Goldman had had an extraordinary year in 2021. Prospects for higher interest rates given the recovering economy were a big positive for the banking industry, especially with the prospects for boosting net interest income by passing through interest rate increases to loan and credit card customers. Goldman isn't the biggest bank on the retail side, but it has worked to make a bigger impression in the space through its Marcus unit. It's true that Goldman can rely on its leadership position in mergers and acquisitions, initial public offerings, and trading for its own account to generate reliable cash flow and profits. But shareholders are increasingly looking at the retail side of Goldman's business for future growth prospects. Accordingly, when Treasury rates fall to their lowest levels in six months, it weighs on the stock's potential. Goldman will be a long-term winner, but it's vulnerable to short-term macroeconomic impacts. As long as interest rates go lower, Goldman is likely to have a tough time returning to its all-time highs. 10 stocks we like better than Boeing When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Boeing wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Dan Caplinger owns shares of Boeing. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Major international airlines were all broadly lower on Wednesday, with Delta Air Lines (NYSE: DAL), American Airlines Group (NASDAQ: AAL), and United Airlines Holdings (NASDAQ: UAL) off between 2% and 3% on the day. Wednesday morning brought continued volatility on Wall Street, as investors are trying to work through whether recent inflationary indications will reverse themselves just as quickly as they emerged. Domestically, air travel has rebounded nicely, with traffic through TSA checkpoints topping their 2019 level earlier this month for the first time since the pandemic began.
Major international airlines were all broadly lower on Wednesday, with Delta Air Lines (NYSE: DAL), American Airlines Group (NASDAQ: AAL), and United Airlines Holdings (NASDAQ: UAL) off between 2% and 3% on the day. In that context, declines from Boeing (NYSE: BA) and Goldman Sachs (NYSE: GS) stood out in holding back the average from bigger gains. The Motley Fool recommends Delta Air Lines.
Major international airlines were all broadly lower on Wednesday, with Delta Air Lines (NYSE: DAL), American Airlines Group (NASDAQ: AAL), and United Airlines Holdings (NASDAQ: UAL) off between 2% and 3% on the day. Prospects for higher interest rates given the recovering economy were a big positive for the banking industry, especially with the prospects for boosting net interest income by passing through interest rate increases to loan and credit card customers. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Dan Caplinger owns shares of Boeing.
Major international airlines were all broadly lower on Wednesday, with Delta Air Lines (NYSE: DAL), American Airlines Group (NASDAQ: AAL), and United Airlines Holdings (NASDAQ: UAL) off between 2% and 3% on the day. A Boeing 737. Banking on higher rates?
4363.0
2021-07-07 00:00:00 UTC
IATA airlines head sees transatlantic re-opening in weeks
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https://www.nasdaq.com/articles/iata-airlines-head-sees-transatlantic-re-opening-in-weeks-2021-07-07
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Adds background, additional comments LONDON, July 7 (Reuters) - The head of global airline body IATA said he was cautiously optimistic about demand for travel in the second half of the year, adding that he expects transatlantic flying between Britain and the United States to re-open in the coming weeks. Schedules are expanding as airlines sense consumer demand for travel rising and progress with COVID-19 vaccinations means shuttered routes could resume, International Air Transport Association Director General Willie Walsh told reporters. "I think we have to be optimistic that we will see a relaxation in relation to transatlantic flying during the coming weeks," Walsh said on Wednesday. Major airlines including American Airlines AAL.O, IAG ICAG.L unit British Airways, Delta Air Lines DAL.N and United Airlines UAL.O have for some months been pushing the U.S. and UK governments to re-open travel between the two countries citing the pair's advanced vaccination programmes. Walsh said there had been no announcement on the matter at the G7 leaders meeting in June due to a lack of data about the vaccine's efficacy against the Delta variant of the virus, but that had changed now. A transatlantic re-opening would be a huge boost for the airlines. Walsh's optimism came after IATA published figures for May showing that passenger air travel demand remains subdued globally, 63% lower in May 2021 compared to the same month two years ago before the pandemic struck. Walsh blamed ongoing restrictions and a lack of co-ordination between governments for creating consumer confusion and hindering the speed at which aviation can recover. He said data showed that the risk of re-opening borders was very, very low where people were fully vaccinated or where sensible testing regimes were used to facilitate travel. Governments would come under increasing pressure to allow travel, he forecast, as growing numbers of vaccinated consumers, who were reluctant to holiday at the height of the pandemic, demand their freedom again. "What we're seeing is a shift in the consumer attitudes over time and I think that's going to accelerate now, as people become more frustrated at the pace at which governments are moving," he said. (Reporting by Sarah Young and Tim Hepher; Editing by Kirsten Donovan) ((sarah.young@thomsonreuters.com; +44 20 7542 1109; Reuters Messaging: sarah.young.thomsonreuters@reuters.net)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Major airlines including American Airlines AAL.O, IAG ICAG.L unit British Airways, Delta Air Lines DAL.N and United Airlines UAL.O have for some months been pushing the U.S. and UK governments to re-open travel between the two countries citing the pair's advanced vaccination programmes. Adds background, additional comments LONDON, July 7 (Reuters) - The head of global airline body IATA said he was cautiously optimistic about demand for travel in the second half of the year, adding that he expects transatlantic flying between Britain and the United States to re-open in the coming weeks. Schedules are expanding as airlines sense consumer demand for travel rising and progress with COVID-19 vaccinations means shuttered routes could resume, International Air Transport Association Director General Willie Walsh told reporters.
Major airlines including American Airlines AAL.O, IAG ICAG.L unit British Airways, Delta Air Lines DAL.N and United Airlines UAL.O have for some months been pushing the U.S. and UK governments to re-open travel between the two countries citing the pair's advanced vaccination programmes. "I think we have to be optimistic that we will see a relaxation in relation to transatlantic flying during the coming weeks," Walsh said on Wednesday. Walsh's optimism came after IATA published figures for May showing that passenger air travel demand remains subdued globally, 63% lower in May 2021 compared to the same month two years ago before the pandemic struck.
Major airlines including American Airlines AAL.O, IAG ICAG.L unit British Airways, Delta Air Lines DAL.N and United Airlines UAL.O have for some months been pushing the U.S. and UK governments to re-open travel between the two countries citing the pair's advanced vaccination programmes. Adds background, additional comments LONDON, July 7 (Reuters) - The head of global airline body IATA said he was cautiously optimistic about demand for travel in the second half of the year, adding that he expects transatlantic flying between Britain and the United States to re-open in the coming weeks. Schedules are expanding as airlines sense consumer demand for travel rising and progress with COVID-19 vaccinations means shuttered routes could resume, International Air Transport Association Director General Willie Walsh told reporters.
Major airlines including American Airlines AAL.O, IAG ICAG.L unit British Airways, Delta Air Lines DAL.N and United Airlines UAL.O have for some months been pushing the U.S. and UK governments to re-open travel between the two countries citing the pair's advanced vaccination programmes. Adds background, additional comments LONDON, July 7 (Reuters) - The head of global airline body IATA said he was cautiously optimistic about demand for travel in the second half of the year, adding that he expects transatlantic flying between Britain and the United States to re-open in the coming weeks. Schedules are expanding as airlines sense consumer demand for travel rising and progress with COVID-19 vaccinations means shuttered routes could resume, International Air Transport Association Director General Willie Walsh told reporters.
4364.0
2021-07-06 00:00:00 UTC
American Airlines says air travel jumped over July 4 weekend versus 2020
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https://www.nasdaq.com/articles/american-airlines-says-air-travel-jumped-over-july-4-weekend-versus-2020-2021-07-06
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WASHINGTON, July 6 (Reuters) - American Airlines AAL.O said on Tuesday it carried nearly 2.7 million customers on more than 26,000 flights from July 1 through July 5 -- nearly three times the passengers it carried in 2020. The U.S. air carrier flew more than twice as many flights over the five-day period this year versus 2020 including combined mainline and regional flights as more Americans get vaccinated against COVID-19. "After a challenging year, this weekend proved that people are ready to travel again and that the American team stands ready to deliver," American chief operating officer David Seymour said in the memo to employees seen by Reuters. (Reporting by David Shepardson; Editing by Sandra Maler) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
WASHINGTON, July 6 (Reuters) - American Airlines AAL.O said on Tuesday it carried nearly 2.7 million customers on more than 26,000 flights from July 1 through July 5 -- nearly three times the passengers it carried in 2020. The U.S. air carrier flew more than twice as many flights over the five-day period this year versus 2020 including combined mainline and regional flights as more Americans get vaccinated against COVID-19. "After a challenging year, this weekend proved that people are ready to travel again and that the American team stands ready to deliver," American chief operating officer David Seymour said in the memo to employees seen by Reuters.
WASHINGTON, July 6 (Reuters) - American Airlines AAL.O said on Tuesday it carried nearly 2.7 million customers on more than 26,000 flights from July 1 through July 5 -- nearly three times the passengers it carried in 2020. "After a challenging year, this weekend proved that people are ready to travel again and that the American team stands ready to deliver," American chief operating officer David Seymour said in the memo to employees seen by Reuters. (Reporting by David Shepardson; Editing by Sandra Maler) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
WASHINGTON, July 6 (Reuters) - American Airlines AAL.O said on Tuesday it carried nearly 2.7 million customers on more than 26,000 flights from July 1 through July 5 -- nearly three times the passengers it carried in 2020. "After a challenging year, this weekend proved that people are ready to travel again and that the American team stands ready to deliver," American chief operating officer David Seymour said in the memo to employees seen by Reuters. (Reporting by David Shepardson; Editing by Sandra Maler) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
WASHINGTON, July 6 (Reuters) - American Airlines AAL.O said on Tuesday it carried nearly 2.7 million customers on more than 26,000 flights from July 1 through July 5 -- nearly three times the passengers it carried in 2020. The U.S. air carrier flew more than twice as many flights over the five-day period this year versus 2020 including combined mainline and regional flights as more Americans get vaccinated against COVID-19. "After a challenging year, this weekend proved that people are ready to travel again and that the American team stands ready to deliver," American chief operating officer David Seymour said in the memo to employees seen by Reuters.
4365.0
2021-07-06 00:00:00 UTC
EXCLUSIVE-Peru's Castillo expects mining firms to accept 'prudent' tax changes, adviser says
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https://www.nasdaq.com/articles/exclusive-perus-castillo-expects-mining-firms-to-accept-prudent-tax-changes-adviser-says
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By Marco Aquino LIMA, July 6 (Reuters) - Peru's socialist president-in-waiting expects mining firms enjoying high metals prices to be won over to "prudent" plans to hike taxes on mineral resources, a top adviser told Reuters on Tuesday. In a sign that the gap between the business sector in the world's no. 2 copper producer and the incoming leftist government is closing, Pedro Francke, Castillo's economic adviser, said he expected firms would not oppose a planned review of tax rules after dozens of meetings with businesses. Castillo is set to be confirmed president after a review of ballots from the June 6 vote. The political novice and former teacher has rattled Peru's elite with plans to redraft the constitution and sharply hike taxes on miners he once said had "plundered" the country's wealth. But as he has approached power Castillo has moderated his rhetoric, and Francke has also sought to calm market concerns. He told Reuters he had held dozens of virtual meetings in recent weeks with domestic and foreign investors and some business leaders from the mining sector. "In general, a good dialogue has been established, in which a significant part of the concerns they had have been eliminated, and I think there is a lot of openness," he said by telephone. "The mining sector isn't close-minded to new revisions of the taxation system, if done with prudence," said Francke, adding those he had talked with saw the plans as "reasonable" given high global metal prices. Peru's mining chamber was not immediately available to comment. Francke added that he believed it was important to take care to not "kill" incentives for mining and ensure funds raised were well spent. Castillo has previously talked about hiking taxes as high as 70% on mining profits. Castillo has also proposed to review contracts with mining companies that lock in tax rates in the longer term. Francke said talks were planned with the firms and any agreement would "strictly depend on the acceptance of these companies." Peru has such agreements with six mining companies, among them China's MMG Ltd 1208.HK, Aluminum Corp of China 601600.SS, and Anglo American AAL.L, which has a Peru copper project set to come online from 2022. Francke said that Castillo was open to dialogue with business leaders and would respect pledges he had made, including to protect private property and private investment. Castillo has a lead of some 44,000 votes ahead of right-wing Keiko Fujimori, though the run-off election result has yet to be officially confirmed, with electoral authorities reviewing disputed ballots after challenges by Fujimori. (Reporting by Marco Aquino; Editing by Adam Jourdan and Rosalba O'Brien) ((adam.jourdan@thomsonreuters.com; +54 1155446882; Reuters Messaging: adam.jourdan.thomsonreuters.com@reuters.net)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Peru has such agreements with six mining companies, among them China's MMG Ltd 1208.HK, Aluminum Corp of China 601600.SS, and Anglo American AAL.L, which has a Peru copper project set to come online from 2022. 2 copper producer and the incoming leftist government is closing, Pedro Francke, Castillo's economic adviser, said he expected firms would not oppose a planned review of tax rules after dozens of meetings with businesses. The political novice and former teacher has rattled Peru's elite with plans to redraft the constitution and sharply hike taxes on miners he once said had "plundered" the country's wealth.
Peru has such agreements with six mining companies, among them China's MMG Ltd 1208.HK, Aluminum Corp of China 601600.SS, and Anglo American AAL.L, which has a Peru copper project set to come online from 2022. By Marco Aquino LIMA, July 6 (Reuters) - Peru's socialist president-in-waiting expects mining firms enjoying high metals prices to be won over to "prudent" plans to hike taxes on mineral resources, a top adviser told Reuters on Tuesday. 2 copper producer and the incoming leftist government is closing, Pedro Francke, Castillo's economic adviser, said he expected firms would not oppose a planned review of tax rules after dozens of meetings with businesses.
Peru has such agreements with six mining companies, among them China's MMG Ltd 1208.HK, Aluminum Corp of China 601600.SS, and Anglo American AAL.L, which has a Peru copper project set to come online from 2022. By Marco Aquino LIMA, July 6 (Reuters) - Peru's socialist president-in-waiting expects mining firms enjoying high metals prices to be won over to "prudent" plans to hike taxes on mineral resources, a top adviser told Reuters on Tuesday. 2 copper producer and the incoming leftist government is closing, Pedro Francke, Castillo's economic adviser, said he expected firms would not oppose a planned review of tax rules after dozens of meetings with businesses.
Peru has such agreements with six mining companies, among them China's MMG Ltd 1208.HK, Aluminum Corp of China 601600.SS, and Anglo American AAL.L, which has a Peru copper project set to come online from 2022. By Marco Aquino LIMA, July 6 (Reuters) - Peru's socialist president-in-waiting expects mining firms enjoying high metals prices to be won over to "prudent" plans to hike taxes on mineral resources, a top adviser told Reuters on Tuesday. He told Reuters he had held dozens of virtual meetings in recent weeks with domestic and foreign investors and some business leaders from the mining sector.
4366.0
2021-07-05 00:00:00 UTC
Is It Time to Buy 5 of the S&P 500's Worst-Performing June Stocks?
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https://www.nasdaq.com/articles/is-it-time-to-buy-5-of-the-sp-500s-worst-performing-june-stocks-2021-07-05
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Good stocks are better buys when they've been beaten down, but not all beaten-down stocks are good buys. That's the conundrum investors are facing with several constituents of the S&P 500 index right now. Whereas the index itself gained another 2.2% in June, some of the index's stocks fell by double digits. Are these steep sell-offs buying opportunities or a glimpse of what's to come? It's likely the latter. At the very least, however, these losses are reasons to steer clear and shop for other opportunities. There's nuance in the pullback for these five stocks that suggests this is more than typical volatility. Birds of a feather There's no need to dance around the issue. Freeport-McMoRan (NYSE: FCX) and Newmont Corporation (NYSE: NEM) were among the S&P 500's biggest losers last month, falling 13.1% and 13.7%, respectively. You'll also find American Airlines Group (NASDAQ: AAL), Alaska Air Group (NYSE: ALK), and Southwest Airlines (NYSE: LUV) among that group with respective losses of 12.5%, 12.8%, and 13.6%. The common threads are clear. Freeport-McMoRan and Newmont are mining outfits, while the other three are airlines. This is not an insignificant detail. Image source: Getty Images. In his book How to Make Money in Stocks, William J. O'Neil -- also the founder of Investors Business Daily -- lays out years' worth of findings about what makes the stock market tick. One of the most important of these findings was that 37% of any given stock's movement can be attributed to the influence exerted on it by its industry peers, while another 12% of a stock's performance can be chalked up to its broad sector's influence. In other words, picking the right group is half the battle! We're certainly seeing this idea play out with mineral mining and airline stocks right now. Airlines as a group fell nearly 12% in June, with much of that setback spurred by warnings from American Airlines and Delta Air Lines that the all-important business travel category isn't recovering as quickly as leisure travel is. Indeed, Delta estimates that revenue for its recently ended second quarter will still be about half of what it was in the comparable quarter of a pre-COVID 2019. Meanwhile, mineral mining stocks tumbled 10% last month, mostly in response to China's new efforts to cool overheating metals prices. It appears to have worked. Gold prices suffered the biggest daily loss in months back on June 17 with selling boosted by comments from the Federal Reserve suggesting it's finally looking to curb inflation with higher interest rates. UBS downgraded Rio Tinto later in the month on concerns that iron ore prices would remain suppressed for the foreseeable future. Although it's not always the case, in this instance, investors are taking all of these red flags to heart in a big way. That's telling in and of itself. Take the hint Just because whole peer groups are falling, that doesn't inherently mean these pullbacks can't suddenly reverse course -- anything's possible. This sweeping, industrywide weakness suggests, however, that investors are seeing bigger and more structural problems for the mining and airline industries. Such assessments don't materialize from nothing, and these companies seem to be facing headwinds that are not the sort that can be quickly overcome. Even if the sell-offs from airline and mining stocks cool off from here, there's still too much uncertainty to deem them buys. 10 stocks we like better than Freeport-McMoRan Inc When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Freeport-McMoRan Inc wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 James Brumley has no position in any of the stocks mentioned. The Motley Fool recommends Alaska Air Group, Delta Air Lines, and Southwest Airlines. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
You'll also find American Airlines Group (NASDAQ: AAL), Alaska Air Group (NYSE: ALK), and Southwest Airlines (NYSE: LUV) among that group with respective losses of 12.5%, 12.8%, and 13.6%. Meanwhile, mineral mining stocks tumbled 10% last month, mostly in response to China's new efforts to cool overheating metals prices. Gold prices suffered the biggest daily loss in months back on June 17 with selling boosted by comments from the Federal Reserve suggesting it's finally looking to curb inflation with higher interest rates.
You'll also find American Airlines Group (NASDAQ: AAL), Alaska Air Group (NYSE: ALK), and Southwest Airlines (NYSE: LUV) among that group with respective losses of 12.5%, 12.8%, and 13.6%. Airlines as a group fell nearly 12% in June, with much of that setback spurred by warnings from American Airlines and Delta Air Lines that the all-important business travel category isn't recovering as quickly as leisure travel is. The Motley Fool recommends Alaska Air Group, Delta Air Lines, and Southwest Airlines.
You'll also find American Airlines Group (NASDAQ: AAL), Alaska Air Group (NYSE: ALK), and Southwest Airlines (NYSE: LUV) among that group with respective losses of 12.5%, 12.8%, and 13.6%. Good stocks are better buys when they've been beaten down, but not all beaten-down stocks are good buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 James Brumley has no position in any of the stocks mentioned.
You'll also find American Airlines Group (NASDAQ: AAL), Alaska Air Group (NYSE: ALK), and Southwest Airlines (NYSE: LUV) among that group with respective losses of 12.5%, 12.8%, and 13.6%. Freeport-McMoRan and Newmont are mining outfits, while the other three are airlines. Even if the sell-offs from airline and mining stocks cool off from here, there's still too much uncertainty to deem them buys.
4367.0
2021-07-05 00:00:00 UTC
Glencore names Kalidas Madhavpeddi as new chairman
AAL
https://www.nasdaq.com/articles/glencore-names-kalidas-madhavpeddi-as-new-chairman-2021-07-05
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Updates with details, quote LONDON, July 5 (Reuters) - Swiss commodities trader Glencore GLEN.L said on Monday Kalidas Madhavpeddi will take over as its new chairman at the end of the month, when Tony Hayward retires after eight years in the role. U.S.-based Madhavpeddi joined the board of the London-listed miner in February 2020 and is better known as the chief executive of China Molybdenum International (CMOC), a role he covered for almost ten years until 2018. During his time at the Chinese producer, Madhavpeddi made a series of sizable acquisitions, including U.S. Freeport-McMoRan Inc.'s FCX.N majority stake in the Tenke copper project in the Democratic Republic of Congo for $2.65 billion and Anglo American's AAL.L niobium and phosphates business in Brazil. "I am delighted to have been appointed Chairman at such an exciting time for the business," Madhavpeddi said in a statement. "As the world transitions to cleaner forms of energy and mobility, our portfolio of commodities will allow Glencore to play a key role in helping us achieve the goals of Paris and play a key role in the ongoing energy and mobility transition." Miners are under pressure from investors and policymakers to cut out carbon emissions and tackle climate change. Glencore has this month completed a management reshuffle with the appointment of new chief Gary Nagle, a shift to a younger leadership for the mining company. (Reporting by Clara Denina and Yadarisa Shabong; Editing by Shounak Dasgupta and Louise Heavens) ((Yadarisa.Shabong@thomsonreuters.com; Twitter: https://twitter.com/Yadarisa; +919742735150)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
During his time at the Chinese producer, Madhavpeddi made a series of sizable acquisitions, including U.S. Freeport-McMoRan Inc.'s FCX.N majority stake in the Tenke copper project in the Democratic Republic of Congo for $2.65 billion and Anglo American's AAL.L niobium and phosphates business in Brazil. Updates with details, quote LONDON, July 5 (Reuters) - Swiss commodities trader Glencore GLEN.L said on Monday Kalidas Madhavpeddi will take over as its new chairman at the end of the month, when Tony Hayward retires after eight years in the role. U.S.-based Madhavpeddi joined the board of the London-listed miner in February 2020 and is better known as the chief executive of China Molybdenum International (CMOC), a role he covered for almost ten years until 2018.
During his time at the Chinese producer, Madhavpeddi made a series of sizable acquisitions, including U.S. Freeport-McMoRan Inc.'s FCX.N majority stake in the Tenke copper project in the Democratic Republic of Congo for $2.65 billion and Anglo American's AAL.L niobium and phosphates business in Brazil. Updates with details, quote LONDON, July 5 (Reuters) - Swiss commodities trader Glencore GLEN.L said on Monday Kalidas Madhavpeddi will take over as its new chairman at the end of the month, when Tony Hayward retires after eight years in the role. "I am delighted to have been appointed Chairman at such an exciting time for the business," Madhavpeddi said in a statement.
During his time at the Chinese producer, Madhavpeddi made a series of sizable acquisitions, including U.S. Freeport-McMoRan Inc.'s FCX.N majority stake in the Tenke copper project in the Democratic Republic of Congo for $2.65 billion and Anglo American's AAL.L niobium and phosphates business in Brazil. Updates with details, quote LONDON, July 5 (Reuters) - Swiss commodities trader Glencore GLEN.L said on Monday Kalidas Madhavpeddi will take over as its new chairman at the end of the month, when Tony Hayward retires after eight years in the role. "As the world transitions to cleaner forms of energy and mobility, our portfolio of commodities will allow Glencore to play a key role in helping us achieve the goals of Paris and play a key role in the ongoing energy and mobility transition."
During his time at the Chinese producer, Madhavpeddi made a series of sizable acquisitions, including U.S. Freeport-McMoRan Inc.'s FCX.N majority stake in the Tenke copper project in the Democratic Republic of Congo for $2.65 billion and Anglo American's AAL.L niobium and phosphates business in Brazil. Updates with details, quote LONDON, July 5 (Reuters) - Swiss commodities trader Glencore GLEN.L said on Monday Kalidas Madhavpeddi will take over as its new chairman at the end of the month, when Tony Hayward retires after eight years in the role. U.S.-based Madhavpeddi joined the board of the London-listed miner in February 2020 and is better known as the chief executive of China Molybdenum International (CMOC), a role he covered for almost ten years until 2018.
4368.0
2021-07-02 00:00:00 UTC
GRAPHIC-COVID Delta variant worries bubble to the surface in some asset prices
AAL
https://www.nasdaq.com/articles/graphic-covid-delta-variant-worries-bubble-to-the-surface-in-some-asset-prices-2021-07-0
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By Saqib Iqbal Ahmed NEW YORK, July 2 (Reuters) - Worries over the spread of the Delta coronavirus variant are emerging in various corners of global financial markets, even as U.S. stocks hover near record highs. The Delta variant is now present in over 90 countries and has become the most prevalent variant among new COVID-19 cases in the United States, according to California-based genomics company Helix. So far, however, it is hard to tell how much the new strain will disrupt the global growth rebound that has helped power risk assets higher in recent months. Here are some assets where concerns over the Delta variant may be moving the needle. TRAVEL AND LEISURE STOCKS Southwest Airlines LUV.N, American Airlines AAL.O, Delta DAL.N and Carnival Corp CCL.N made the list of the 25 worst performing stocks over the last 1 month, a Reuters analysis showed. The Dow Jones U.S. Travel & Leisure Index .DJUSCJ fell 3.35% in June, compared with a 2.2% gain for the S&P 500 Index .SPX. Oil prices, which were hammered in the wake of the pandemic, rose about 10% in June, however. CURRENCIES Worries over the Delta variant are weighing on the currencies of countries where it is spreading quickly, including the Australian dollar and British pound. The moves have contributed to a rally in the U.S. dollar that was sparked by the Federal Reserve’s hawkish shift and saw the U.S. currency gain 2.7% against a basket of peers in June. "Early on I think the risks of the Delta variant were most apparent in British pound," said John Doyle, vice president of dealing and trading at FX payments firm Tempus Inc. "Now I think it is most apparent in the Oceanic currencies that are generally tied to Asian risk sentiment." TREASURIES Some investors have piled into Treasuries in recent weeks, fueled by expectations that U.S. growth may be peaking and the Fed will be less tolerant of rising consumer prices. Some investors believe fresh uncertainty over Covid-19 may be accelerating the move in yields on U.S. government bonds, which are among the world’s most popular haven assets. "The fear that incremental lockdowns could reappear has recently been a factor" in Treasury positioning, wrote Arnim Holzer, strategist with EAB Investment Group, in a note on Wednesday. "Multi-asset and safety seeking does look to be gaining a bit of interest with U.S. Treasury and dollar strength," Holzer said. GROWTH VS VALUE So-called value stocks - companies that trade at low multiples to book value and tend to be more sensitive to economic cycles - ripped higher earlier this year on expectations of an economic rebound but have stumbled lately. Meanwhile, shares of growth names, including stay-at-home bets like Amazon.com AMZN.O, Netflix NFLX.O, and Zoom Video Communications ZM.O and ETSY Inc ETSY.O, have risen. JP Morgan's Marko Kolanovic believes the shift resembles one that took place in February, when investors briefly grew defensive on worries over the Alpha variant, only to sell bonds and pile back into value stocks when the threat had passed. "We expect this to repeat now as investors assess the so-called Delta variant," Kolanovic said. GRAPHIC: U.S. travel and leisure stocks diphttps://tmsnrt.rs/3h7k5TY GRAPHIC: FX performancehttps://tmsnrt.rs/3xbdhdD GRAPHIC: Paring gainshttps://tmsnrt.rs/3wc0je7 GRAPHIC: Growth narrows gap with valuehttps://tmsnrt.rs/3wevNjM (Reporting by Saqib Iqbal Ahmed; Editing by Ira Iosebashvili and Stephen Coates) ((saqib.ahmed@thomsonreuters.com; @SaqibReports; +1 646 223 6054; Reuters Messaging: saqib.ahmed.thomsonreuters.com@reuters.net)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Southwest Airlines LUV.N, American Airlines AAL.O, Delta DAL.N and Carnival Corp CCL.N made the list of the 25 worst performing stocks over the last 1 month, a Reuters analysis showed. By Saqib Iqbal Ahmed NEW YORK, July 2 (Reuters) - Worries over the spread of the Delta coronavirus variant are emerging in various corners of global financial markets, even as U.S. stocks hover near record highs. "The fear that incremental lockdowns could reappear has recently been a factor" in Treasury positioning, wrote Arnim Holzer, strategist with EAB Investment Group, in a note on Wednesday.
Southwest Airlines LUV.N, American Airlines AAL.O, Delta DAL.N and Carnival Corp CCL.N made the list of the 25 worst performing stocks over the last 1 month, a Reuters analysis showed. By Saqib Iqbal Ahmed NEW YORK, July 2 (Reuters) - Worries over the spread of the Delta coronavirus variant are emerging in various corners of global financial markets, even as U.S. stocks hover near record highs. So far, however, it is hard to tell how much the new strain will disrupt the global growth rebound that has helped power risk assets higher in recent months.
Southwest Airlines LUV.N, American Airlines AAL.O, Delta DAL.N and Carnival Corp CCL.N made the list of the 25 worst performing stocks over the last 1 month, a Reuters analysis showed. By Saqib Iqbal Ahmed NEW YORK, July 2 (Reuters) - Worries over the spread of the Delta coronavirus variant are emerging in various corners of global financial markets, even as U.S. stocks hover near record highs. "Early on I think the risks of the Delta variant were most apparent in British pound," said John Doyle, vice president of dealing and trading at FX payments firm Tempus Inc. "Now I think it is most apparent in the Oceanic currencies that are generally tied to Asian risk sentiment."
Southwest Airlines LUV.N, American Airlines AAL.O, Delta DAL.N and Carnival Corp CCL.N made the list of the 25 worst performing stocks over the last 1 month, a Reuters analysis showed. Worries over the Delta variant are weighing on the currencies of countries where it is spreading quickly, including the Australian dollar and British pound. "Multi-asset and safety seeking does look to be gaining a bit of interest with U.S. Treasury and dollar strength," Holzer said.
4369.0
2021-07-02 00:00:00 UTC
GRAPHIC-COVID Delta variant worries bubble to the surface in some asset prices
AAL
https://www.nasdaq.com/articles/graphic-covid-delta-variant-worries-bubble-to-the-surface-in-some-asset-prices-2021-07-02
nan
nan
By Saqib Iqbal Ahmed NEW YORK, July 2 (Reuters) - Worries over the spread of the Delta coronavirus variant are emerging in various corners of global financial markets, even as U.S. stocks hover near record highs. The Delta variant is now present in over 90 countries and has become the most prevalent variant among new COVID-19 cases in the United States, according to California-based genomics company Helix. So far, however, it is hard to tell how much the new strain will disrupt the global growth rebound that has helped power risk assets higher in recent months. Here are some assets where concerns over the Delta variant may be moving the needle. TRAVEL AND LEISURE STOCKS Southwest Airlines LUV.N, American Airlines AAL.O, Delta DAL.N and Carnival Corp CCL.N made the list of the 25 worst performing stocks over the last 1 month, a Reuters analysis showed. The Dow Jones U.S. Travel & Leisure Index .DJUSCJ fell 3.35% in June, compared with a 2.2% gain for the S&P 500 Index .SPX. Oil prices, which were hammered in the wake of the pandemic, rose about 10% in June, however. CURRENCIES Worries over the Delta variant are weighing on the currencies of countries where it is spreading quickly, including the Australian dollar and British pound. The moves have contributed to a rally in the U.S. dollar that was sparked by the Federal Reserve’s hawkish shift and saw the U.S. currency gain 2.7% against a basket of peers in June. "Early on I think the risks of the Delta variant were most apparent in British pound," said John Doyle, vice president of dealing and trading at FX payments firm Tempus Inc. "Now I think it is most apparent in the Oceanic currencies that are generally tied to Asian risk sentiment." TREASURIES Some investors have piled into Treasuries in recent weeks, fueled by expectations that U.S. growth may be peaking and the Fed will be less tolerant of rising consumer prices. Some investors believe fresh uncertainty over Covid-19 may be accelerating the move in yields on U.S. government bonds, which are among the world’s most popular haven assets. "The fear that incremental lockdowns could reappear has recently been a factor" in Treasury positioning, wrote Arnim Holzer, strategist with EAB Investment Group, in a note on Wednesday. "Multi-asset and safety seeking does look to be gaining a bit of interest with U.S. Treasury and dollar strength," Holzer said. GROWTH VS VALUE So-called value stocks - companies that trade at low multiples to book value and tend to be more sensitive to economic cycles - ripped higher earlier this year on expectations of an economic rebound but have stumbled lately. Meanwhile, shares of growth names, including stay-at-home bets like Amazon.com AMZN.O, Netflix NFLX.O, and Zoom Video Communications ZM.O and ETSY Inc ETSY.O, have risen. JP Morgan's Marko Kolanovic believes the shift resembles one that took place in February, when investors briefly grew defensive on worries over the Alpha variant, only to sell bonds and pile back into value stocks when the threat had passed. "We expect this to repeat now as investors assess the so-called Delta variant," Kolanovic said. GRAPHIC: U.S. travel and leisure stocks diphttps://tmsnrt.rs/3h7k5TY GRAPHIC: FX performancehttps://tmsnrt.rs/3xbdhdD GRAPHIC: Paring gainshttps://tmsnrt.rs/3wc0je7 GRAPHIC: Growth narrows gap with valuehttps://tmsnrt.rs/3wevNjM (Reporting by Saqib Iqbal Ahmed; Editing by Ira Iosebashvili and Stephen Coates) ((saqib.ahmed@thomsonreuters.com; @SaqibReports; +1 646 223 6054; Reuters Messaging: saqib.ahmed.thomsonreuters.com@reuters.net)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Southwest Airlines LUV.N, American Airlines AAL.O, Delta DAL.N and Carnival Corp CCL.N made the list of the 25 worst performing stocks over the last 1 month, a Reuters analysis showed. By Saqib Iqbal Ahmed NEW YORK, July 2 (Reuters) - Worries over the spread of the Delta coronavirus variant are emerging in various corners of global financial markets, even as U.S. stocks hover near record highs. "The fear that incremental lockdowns could reappear has recently been a factor" in Treasury positioning, wrote Arnim Holzer, strategist with EAB Investment Group, in a note on Wednesday.
Southwest Airlines LUV.N, American Airlines AAL.O, Delta DAL.N and Carnival Corp CCL.N made the list of the 25 worst performing stocks over the last 1 month, a Reuters analysis showed. By Saqib Iqbal Ahmed NEW YORK, July 2 (Reuters) - Worries over the spread of the Delta coronavirus variant are emerging in various corners of global financial markets, even as U.S. stocks hover near record highs. So far, however, it is hard to tell how much the new strain will disrupt the global growth rebound that has helped power risk assets higher in recent months.
Southwest Airlines LUV.N, American Airlines AAL.O, Delta DAL.N and Carnival Corp CCL.N made the list of the 25 worst performing stocks over the last 1 month, a Reuters analysis showed. By Saqib Iqbal Ahmed NEW YORK, July 2 (Reuters) - Worries over the spread of the Delta coronavirus variant are emerging in various corners of global financial markets, even as U.S. stocks hover near record highs. "Early on I think the risks of the Delta variant were most apparent in British pound," said John Doyle, vice president of dealing and trading at FX payments firm Tempus Inc. "Now I think it is most apparent in the Oceanic currencies that are generally tied to Asian risk sentiment."
Southwest Airlines LUV.N, American Airlines AAL.O, Delta DAL.N and Carnival Corp CCL.N made the list of the 25 worst performing stocks over the last 1 month, a Reuters analysis showed. Worries over the Delta variant are weighing on the currencies of countries where it is spreading quickly, including the Australian dollar and British pound. "Multi-asset and safety seeking does look to be gaining a bit of interest with U.S. Treasury and dollar strength," Holzer said.
4370.0
2021-07-01 00:00:00 UTC
The Top 50 Robinhood Stocks in July
AAL
https://www.nasdaq.com/articles/the-top-50-robinhood-stocks-in-july-2021-07-01
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Though volatility has tapered off in recent weeks, investors have received something of a crash course in being patient over the past 17 months. Despite the broad-based S&P 500 shedding 34% of its value in about a month during the first quarter of 2020, we've watched the benchmark index catapult more than 90% off of its lows. For some investors, volatility is something they fear. But for predominantly young and novice retail investors, volatility is the impetus that's driven them to put their money to work in the stock market. Image source: Getty Images. As volatility has whipsawed the market, these younger retail investors have found their home with online investing app Robinhood. We know this because Robinhood added approximately 3 million new users in 2020. There are a number of lures for retail investors with Robinhood. For example, Robinhood doesn't charge a commission when stocks that are listed on the New York Stock Exchange or Nasdaq exchange are bought or sold. Robinhood is also one of many brokerages that allows for fractional share investing. And, who can forget that Robinhood also gifts free shares of stock to new users. In one respect, it's a fantastic thing to see young people putting their money to work. Time is the biggest ally investors have. The earlier they start putting their money to work, the better chance they have of compounding their nest egg. On the other hand, Robinhood's retail investors have been buying some really awful stocks. Instead of thinking for the long-term, their buying activity demonstrates a willingness to chase momentum plays, penny stocks, and money-losing businesses. If you don't believe me, here's a closer look at the 50 most-held Robinhood stocks as we enter July. COMPANY COMPANY 1. Tesla Motors (NASDAQ: TSLA) 26. Snap 2. Apple 27. Alibaba 3. AMC Entertainment (NYSE: AMC) 28. Bank of America 4. Sundial Growers (NASDAQ: SNDL) 29. OrganiGram Holdings 5. Ford Motor 30. Coinbase Global 6. General Electric 31. Tilray 7. NIO 32. Facebook 8. Walt Disney 33. Canopy Growth 9. Microsoft 34. Advanced Micro Devices 10. Amazon 35. Starbucks 11. American Airlines Group (NASDAQ: AAL) 36. Twitter 12. Plug Power 37. AT&T 13. Nokia 38. Moderna 14. Carnival 39. NVIDIA 15. Aurora Cannabis (NASDAQ: ACB) 40. FuelCell Energy 16. Pfizer 41. Vanguard S&P 500 ETF 17. Zomedica 42. Coca-Cola 18. GoPro 43. Norwegian Cruise Line (NYSE: NCLH) 19. Naked Brand Group 44. Ideanomics 20. Palantir Technologies 45. Workhorse Group 21. GameStop (NYSE: GME) 46. SPDR S&P 500 ETF 22. Delta Air Lines 47. Virgin Galactic 23. BlackBerry 48. General Motors 24. Churchill Capital 49. Zynga 25. Netflix 50. United Airlines Data source: Robinhood, as of June 26, 2021. Table by author. Continuing to chase meme stocks Like bees to honey, retail investors have been inseparable from meme stocks for almost six months. A meme stock is a company valued more for its social media favorability/hype than its operating performance. Since mid-January, retail investors have been banding together to buy shares and out-of-the-money call options on stocks with high levels of short interest. In many instances, companies with high levels of short interest have poor-performing businesses. This is how we've witnessed GameStop and AMC Entertainment become extremely popular on Robinhood. The good news for GameStop is that it's been able to use its monumental run to sell shares of common stock and raise capital. It's completely erased its debt and given itself more than enough cash to oversee its ongoing transformation into a digital gaming company. To be clear, this doesn't negate the fact that GameStop's previous management team completely dropped the ball on the shift to digital gaming. What it does do is give the company enough capital to at least attempt a transformation. The same can't be said for AMC, which sold the vast majority of its shares six months ago to avoid bankruptcy. Even with a handful of recent capital raises, AMC has well over $3 billion in net debt, and its 2027 bond prices indicate the company is still a bankruptcy risk. To make matters worse, movie theater ticket sales have been in a 19-year decline. Even with a larger share of the movie theater industry, AMC's pie is shrinking. It's pretty clear that social media hype, ignorance of fundamental data, and misinformation are the key drivers behind AMC's irrational rally. Image source: Getty Images. Canadian cannabis binge Robinhood's retail investors also have quite the crush on Canadian marijuana stocks. Five of the 33 most-held companies on Robinhood's leaderboard hail from our neighbor to the north. Even though cannabis-focused research company BDSA has forecasted weed sales growth in Canada from $2.6 billion in 2020 to $6.4 billion by 2026, the Canadian pot industry has been a disaster. Regulators have caused all sorts of supply chain issues, consumers have flocked to lower-margin value brands, and Canadian marijuana stocks overzealously expanded and, in some instances, decimated their balance sheets in the process. Robinhood investors' fascination with Sundial Growers is nothing short of frustrating. It may well be the single most-avoidable marijuana stock. Although its management team was able to pay off the company's existing debt by issuing stock and conducting debt-for-equity swaps, these share offerings simply haven't stopped. In a little over a seven-month stretch, more than 1.35 billion shares were issued. Sundial is showing zero regard for its shareholders, and its management team hasn't even laid out a concrete plan for how it'll spend its cash. We've seen similar issues from Aurora Cannabis, the second most-popular Canadian weed stock. Once the most-held stock on Robinhood, Aurora has drowned its shareholders in dilution. Even after selling one of its greenhouses and shuttering a number of other cultivation facilities, its cost-cutting has put it nowhere near close to generating a profit. As long as Aurora keeps burning through cash, its management team will continue to issue stock. Image source: American Airlines. An obsession with travel companies Another absolute head-scratcher is Robinhood investors' obsession with travel companies -- specifically airlines and cruise ship operators. On one hand, the case could be made that the coronavirus pandemic overly punished the travel industry. Though we remain firmly in a global pandemic, increased domestic vaccination rates offer hope that the U.S. could soon put the pandemic in the rearview mirror. For instance, the Transportation Security Administration screened over 2 million passengers in a single day in mid-June for the first time since before the pandemic was declared. On the other hand, the travel industry tends to be built on mediocre margins, at best, and it typically requires the economy to be running on all cylinders. Despite recovering from a recession, most airline stocks are now lugging around billions in extra debt that they didn't have two years ago. American Airlines, which I've previously anointed as the worst airline stock, has $34 billion in net debt and $48 billion in aggregate debt. The interest American Airlines is going to have to pay to service this debt could cripple its growth initiatives for the next decade. Meanwhile, companies like Norwegian Cruise Line came perilously close to bankruptcy during the pandemic. Unlike airlines, which are essential for business travel, cruise ships aren't essential. They'll remain at the mercy of the pandemic until it's firmly in the rearview mirror. That means Norwegian may continue losing money well into 2022, if not beyond. A Tesla Model S plugged in for charging. Image source: Tesla. Alternative energy for autos in focus Lastly, Robinhood investors appear to be going all-in on anything that has to do with alternative/clean energy for vehicles. Electric vehicle (EV) kingpin Tesla has surpassed Apple to become the most-held stock on the platform, while Ford, General Motors, Workhorse Group, NIO, and Churchill Capital are other EV producers that found their way into the top 50 leaderboard (GM and Ford predominantly produce combustion-engine vehicles at the moment). If we also include Plug Power, FuelCell Energy, and Ideanomics, that's nine of the top 48 Robinhood stocks that are devoted to alternative energy adoption for autos. There's pretty much no question at this point that EVs and potentially hydrogen fuel cells represent the future of the automotive industry. There's a multi-decade opportunity for consumers and enterprise fleets to switch over to alternative solutions, as well as for ancillary players to build the infrastructure necessary to support EVs and hydrogen fuel-cell vehicles. The issue is that investors have a tendency to overestimate how quickly new technology is adopted, and that's likely what we're witnessing with EVs. The fact that Tesla is worth $647 billion is ludicrous considering that it hasn't demonstrated it can generate a profit from selling its EVs. The only way Tesla has been able to generate a profit is by selling renewable energy credits or taking a one-time benefit from the sale of Bitcoin. The EV space is growing increasingly more crowded, and the major auto stocks are investing tens of billions into new models. It's unlikely that Tesla will be able to hold onto its competitive edge for much longer. 10 stocks we like better than Tesla When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Tesla wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Bank of America is an advertising partner of The Ascent, a Motley Fool company. Teresa Kersten, an employee of LinkedIn, a Microsoft subsidiary, is a member of The Motley Fool's board of directors. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to its CEO, Mark Zuckerberg, is a member of The Motley Fool's board of directors. Sean Williams owns shares of AT&T, Amazon, Bank of America, and Facebook. The Motley Fool owns shares of and recommends Alibaba Group Holding Ltd., Amazon, Apple, Bitcoin, Facebook, Microsoft, NIO Inc., NVIDIA, Netflix, OrganiGram Holdings, Palantir Technologies Inc., Starbucks, Tesla, Twitter, Vanguard S&P 500 ETF, Virgin Galactic Holdings Inc, Walt Disney, and Zynga. The Motley Fool recommends BlackBerry, Carnival, Delta Air Lines, Moderna Inc., and Nasdaq and recommends the following options: long January 2022 $1,920 calls on Amazon, long March 2023 $120 calls on Apple, short January 2022 $1,940 calls on Amazon, short July 2021 $120 calls on Starbucks, and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines Group (NASDAQ: AAL) 36. Regulators have caused all sorts of supply chain issues, consumers have flocked to lower-margin value brands, and Canadian marijuana stocks overzealously expanded and, in some instances, decimated their balance sheets in the process. Although its management team was able to pay off the company's existing debt by issuing stock and conducting debt-for-equity swaps, these share offerings simply haven't stopped.
American Airlines Group (NASDAQ: AAL) 36. Electric vehicle (EV) kingpin Tesla has surpassed Apple to become the most-held stock on the platform, while Ford, General Motors, Workhorse Group, NIO, and Churchill Capital are other EV producers that found their way into the top 50 leaderboard (GM and Ford predominantly produce combustion-engine vehicles at the moment). The Motley Fool owns shares of and recommends Alibaba Group Holding Ltd., Amazon, Apple, Bitcoin, Facebook, Microsoft, NIO Inc., NVIDIA, Netflix, OrganiGram Holdings, Palantir Technologies Inc., Starbucks, Tesla, Twitter, Vanguard S&P 500 ETF, Virgin Galactic Holdings Inc, Walt Disney, and Zynga.
American Airlines Group (NASDAQ: AAL) 36. Electric vehicle (EV) kingpin Tesla has surpassed Apple to become the most-held stock on the platform, while Ford, General Motors, Workhorse Group, NIO, and Churchill Capital are other EV producers that found their way into the top 50 leaderboard (GM and Ford predominantly produce combustion-engine vehicles at the moment). The Motley Fool owns shares of and recommends Alibaba Group Holding Ltd., Amazon, Apple, Bitcoin, Facebook, Microsoft, NIO Inc., NVIDIA, Netflix, OrganiGram Holdings, Palantir Technologies Inc., Starbucks, Tesla, Twitter, Vanguard S&P 500 ETF, Virgin Galactic Holdings Inc, Walt Disney, and Zynga.
American Airlines Group (NASDAQ: AAL) 36. Electric vehicle (EV) kingpin Tesla has surpassed Apple to become the most-held stock on the platform, while Ford, General Motors, Workhorse Group, NIO, and Churchill Capital are other EV producers that found their way into the top 50 leaderboard (GM and Ford predominantly produce combustion-engine vehicles at the moment). The Motley Fool owns shares of and recommends Alibaba Group Holding Ltd., Amazon, Apple, Bitcoin, Facebook, Microsoft, NIO Inc., NVIDIA, Netflix, OrganiGram Holdings, Palantir Technologies Inc., Starbucks, Tesla, Twitter, Vanguard S&P 500 ETF, Virgin Galactic Holdings Inc, Walt Disney, and Zynga.
4371.0
2021-07-01 00:00:00 UTC
Buy The Dip In Spirit Airlines Stock?
AAL
https://www.nasdaq.com/articles/buy-the-dip-in-spirit-airlines-stock-2021-07-01
nan
nan
In recent months, progress in mass vaccination and growing passenger numbers at TSA checkpoints have been a boon for the airline industry. However, new coronavirus variants are triggering fears of more infection waves limiting international travel and tourism demand. The shares of Spirit Airlines (NYSE: SAVE) reached pre-Covid levels in March and have been trending downward in recent weeks. The company’s lower debt outstanding, coupled with the U.S. government’s third phase of payroll support, are key triggers of the stock’s recovery in the near-term. Moreover, passenger numbers at TSA checkpoints are just 20% below 2019 levels. As PSP-3 requires airlines to suspend dividends and share repurchases until September 2022, Trefis believes that SAVE stock is a good value investment. We highlight the historical trends in the company’s revenues, margins, and valuation multiple in an interactive dashboard analysis, Why Spirit Airlines (SAVE) Stock Has Lost 43% Since 2018? Government aid supported Spirit Airlines’ balance sheet in 2020 In 2020, Spirit Airlines reported $1.8 billion of total revenues and just $225 million of operating cash outflow assisted by $300 million of relief funds under the CARES Act. In Q1 2021, the company received $185 million of relief funds under PSP-2 and therefore reported $187 million of operating cash. Thus, government aid has been a key factor offsetting salary-related expenses (salary and wages account for 26% of operating expenses). The company’s long-term debt increased by $1.1 billion almost comparable to $800 million rise in cash and cash equivalents – highlighting efficient capital and operations management during the pandemic. Given the company’s superior margins in comparison with larger carriers, we believe that the stock will recoup short-term dips driven by market momentum. Lull in air travel business is waning Growth in passenger figures led to a guidance revision by all airline companies with an expectation of positive cash generation during the latter half of the year. Despite the resurgence in coronavirus cases affecting international and business travel demand, the third round of payroll support is likely to limit losses. The company will receive an aggregate of $200 million to support salaries and wages in the second and third quarters. Is there a better investment over Spirit Airlines? Spirit Airlines Stock Comparison With Peers summarizes how SAVE compares against peers on metrics that matter. You can find more such useful comparisons on Peer Comparisons. See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The company’s lower debt outstanding, coupled with the U.S. government’s third phase of payroll support, are key triggers of the stock’s recovery in the near-term. We highlight the historical trends in the company’s revenues, margins, and valuation multiple in an interactive dashboard analysis, Why Spirit Airlines (SAVE) Stock Has Lost 43% Since 2018? Lull in air travel business is waning Growth in passenger figures led to a guidance revision by all airline companies with an expectation of positive cash generation during the latter half of the year.
Government aid supported Spirit Airlines’ balance sheet in 2020 In 2020, Spirit Airlines reported $1.8 billion of total revenues and just $225 million of operating cash outflow assisted by $300 million of relief funds under the CARES Act. In Q1 2021, the company received $185 million of relief funds under PSP-2 and therefore reported $187 million of operating cash. Spirit Airlines Stock Comparison With Peers summarizes how SAVE compares against peers on metrics that matter.
We highlight the historical trends in the company’s revenues, margins, and valuation multiple in an interactive dashboard analysis, Why Spirit Airlines (SAVE) Stock Has Lost 43% Since 2018? Government aid supported Spirit Airlines’ balance sheet in 2020 In 2020, Spirit Airlines reported $1.8 billion of total revenues and just $225 million of operating cash outflow assisted by $300 million of relief funds under the CARES Act. Spirit Airlines Stock Comparison With Peers summarizes how SAVE compares against peers on metrics that matter.
We highlight the historical trends in the company’s revenues, margins, and valuation multiple in an interactive dashboard analysis, Why Spirit Airlines (SAVE) Stock Has Lost 43% Since 2018? Government aid supported Spirit Airlines’ balance sheet in 2020 In 2020, Spirit Airlines reported $1.8 billion of total revenues and just $225 million of operating cash outflow assisted by $300 million of relief funds under the CARES Act. Is there a better investment over Spirit Airlines?
4372.0
2021-07-01 00:00:00 UTC
Notable Thursday Option Activity: SBH, AAL, DBX
AAL
https://www.nasdaq.com/articles/notable-thursday-option-activity%3A-sbh-aal-dbx-2021-07-01
nan
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Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in Sally Beauty Holdings Inc (Symbol: SBH), where a total volume of 12,475 contracts has been traded thus far today, a contract volume which is representative of approximately 1.2 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 79.7% of SBH's average daily trading volume over the past month, of 1.6 million shares. Especially high volume was seen for the $25 strike call option expiring August 20, 2021, with 4,019 contracts trading so far today, representing approximately 401,900 underlying shares of SBH. Below is a chart showing SBH's trailing twelve month trading history, with the $25 strike highlighted in orange: American Airlines Group Inc (Symbol: AAL) saw options trading volume of 205,728 contracts, representing approximately 20.6 million underlying shares or approximately 78.7% of AAL's average daily trading volume over the past month, of 26.1 million shares. Particularly high volume was seen for the $23 strike call option expiring July 09, 2021, with 16,211 contracts trading so far today, representing approximately 1.6 million underlying shares of AAL. Below is a chart showing AAL's trailing twelve month trading history, with the $23 strike highlighted in orange: And Dropbox Inc (Symbol: DBX) saw options trading volume of 40,624 contracts, representing approximately 4.1 million underlying shares or approximately 76.4% of DBX's average daily trading volume over the past month, of 5.3 million shares. Particularly high volume was seen for the $31 strike call option expiring July 02, 2021, with 14,690 contracts trading so far today, representing approximately 1.5 million underlying shares of DBX. Below is a chart showing DBX's trailing twelve month trading history, with the $31 strike highlighted in orange: For the various different available expirations for SBH options, AAL options, or DBX options, visit StockOptionsChannel.com. Today's Most Active Call & Put Options of the S&P 500 » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Particularly high volume was seen for the $23 strike call option expiring July 09, 2021, with 16,211 contracts trading so far today, representing approximately 1.6 million underlying shares of AAL. Below is a chart showing SBH's trailing twelve month trading history, with the $25 strike highlighted in orange: American Airlines Group Inc (Symbol: AAL) saw options trading volume of 205,728 contracts, representing approximately 20.6 million underlying shares or approximately 78.7% of AAL's average daily trading volume over the past month, of 26.1 million shares. Below is a chart showing AAL's trailing twelve month trading history, with the $23 strike highlighted in orange: And Dropbox Inc (Symbol: DBX) saw options trading volume of 40,624 contracts, representing approximately 4.1 million underlying shares or approximately 76.4% of DBX's average daily trading volume over the past month, of 5.3 million shares.
Below is a chart showing SBH's trailing twelve month trading history, with the $25 strike highlighted in orange: American Airlines Group Inc (Symbol: AAL) saw options trading volume of 205,728 contracts, representing approximately 20.6 million underlying shares or approximately 78.7% of AAL's average daily trading volume over the past month, of 26.1 million shares. Particularly high volume was seen for the $23 strike call option expiring July 09, 2021, with 16,211 contracts trading so far today, representing approximately 1.6 million underlying shares of AAL. Below is a chart showing AAL's trailing twelve month trading history, with the $23 strike highlighted in orange: And Dropbox Inc (Symbol: DBX) saw options trading volume of 40,624 contracts, representing approximately 4.1 million underlying shares or approximately 76.4% of DBX's average daily trading volume over the past month, of 5.3 million shares.
Below is a chart showing SBH's trailing twelve month trading history, with the $25 strike highlighted in orange: American Airlines Group Inc (Symbol: AAL) saw options trading volume of 205,728 contracts, representing approximately 20.6 million underlying shares or approximately 78.7% of AAL's average daily trading volume over the past month, of 26.1 million shares. Below is a chart showing AAL's trailing twelve month trading history, with the $23 strike highlighted in orange: And Dropbox Inc (Symbol: DBX) saw options trading volume of 40,624 contracts, representing approximately 4.1 million underlying shares or approximately 76.4% of DBX's average daily trading volume over the past month, of 5.3 million shares. Particularly high volume was seen for the $23 strike call option expiring July 09, 2021, with 16,211 contracts trading so far today, representing approximately 1.6 million underlying shares of AAL.
Below is a chart showing SBH's trailing twelve month trading history, with the $25 strike highlighted in orange: American Airlines Group Inc (Symbol: AAL) saw options trading volume of 205,728 contracts, representing approximately 20.6 million underlying shares or approximately 78.7% of AAL's average daily trading volume over the past month, of 26.1 million shares. Particularly high volume was seen for the $23 strike call option expiring July 09, 2021, with 16,211 contracts trading so far today, representing approximately 1.6 million underlying shares of AAL. Below is a chart showing AAL's trailing twelve month trading history, with the $23 strike highlighted in orange: And Dropbox Inc (Symbol: DBX) saw options trading volume of 40,624 contracts, representing approximately 4.1 million underlying shares or approximately 76.4% of DBX's average daily trading volume over the past month, of 5.3 million shares.
4373.0
2021-06-30 00:00:00 UTC
Colombia first-quarter coal output down 28% on year, gold production up 23%
AAL
https://www.nasdaq.com/articles/colombia-first-quarter-coal-output-down-28-on-year-gold-production-up-23-2021-06-30
nan
nan
BOGOTA, June 30 (Reuters) - Colombia's coal production fell 28% in the first quarter of 2021 versus the year-earlier period, the national mining agency (ANM) said on Wednesday, due to changing coal prices and the effects of the coronavirus pandemic. In the three months to March 31 Colombia produced 13.9 million tonnes, down from 19.4 million tonnes in the first quarter of 2020. However, compared with the fourth quarter of 2020, Colombia's coal sector showed signs of recovery, with output up 52% from 9 million tonnes produced in the three months ended Dec. 31, the ANM said in a statement. "The recovery of coal, Colombia's main income-generating mineral for the sector, is due to reactivation of production in the north of the country," ANM President Juan Miguel Duran said in the statement. The production figures come just two days after Anglo-Swiss mining giant Glencore Plc GLEN.L said it will buy out its partners Anglo American Plc AAL.L and BHP BHP.AX at Colombia's Cerrejon coal mine. Gold production in the first quarter of the year rose close to 23% to 11.7 tonnes, from 9.53 tonnes in the first quarter of 2020. Compared with the final quarter of last year, first-quarter gold production dropped 16% from 13.9 tonnes. Nickel output fell sharply on year in the first quarter, declining 32% from 22.7 million pounds in the first quarter of 2020 to 15.4 million pounds in the three months ended March 31. A spokesman for Colombia's ministry of mines and energy said the fall was also due to the effects of the coronavirus pandemic. Compared with the fourth quarter of 2020, first-quarter nickel output rose 14% from 13.5 million pounds, the ANM said. (Reporting by Oliver Griffin; editing by Jonathan Oatis) ((Oliver.Griffin@thomsonreuters.com; +57 304-583-8931;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The production figures come just two days after Anglo-Swiss mining giant Glencore Plc GLEN.L said it will buy out its partners Anglo American Plc AAL.L and BHP BHP.AX at Colombia's Cerrejon coal mine. However, compared with the fourth quarter of 2020, Colombia's coal sector showed signs of recovery, with output up 52% from 9 million tonnes produced in the three months ended Dec. 31, the ANM said in a statement. "The recovery of coal, Colombia's main income-generating mineral for the sector, is due to reactivation of production in the north of the country," ANM President Juan Miguel Duran said in the statement.
The production figures come just two days after Anglo-Swiss mining giant Glencore Plc GLEN.L said it will buy out its partners Anglo American Plc AAL.L and BHP BHP.AX at Colombia's Cerrejon coal mine. However, compared with the fourth quarter of 2020, Colombia's coal sector showed signs of recovery, with output up 52% from 9 million tonnes produced in the three months ended Dec. 31, the ANM said in a statement. Nickel output fell sharply on year in the first quarter, declining 32% from 22.7 million pounds in the first quarter of 2020 to 15.4 million pounds in the three months ended March 31.
The production figures come just two days after Anglo-Swiss mining giant Glencore Plc GLEN.L said it will buy out its partners Anglo American Plc AAL.L and BHP BHP.AX at Colombia's Cerrejon coal mine. BOGOTA, June 30 (Reuters) - Colombia's coal production fell 28% in the first quarter of 2021 versus the year-earlier period, the national mining agency (ANM) said on Wednesday, due to changing coal prices and the effects of the coronavirus pandemic. However, compared with the fourth quarter of 2020, Colombia's coal sector showed signs of recovery, with output up 52% from 9 million tonnes produced in the three months ended Dec. 31, the ANM said in a statement.
The production figures come just two days after Anglo-Swiss mining giant Glencore Plc GLEN.L said it will buy out its partners Anglo American Plc AAL.L and BHP BHP.AX at Colombia's Cerrejon coal mine. In the three months to March 31 Colombia produced 13.9 million tonnes, down from 19.4 million tonnes in the first quarter of 2020. However, compared with the fourth quarter of 2020, Colombia's coal sector showed signs of recovery, with output up 52% from 9 million tonnes produced in the three months ended Dec. 31, the ANM said in a statement.
4374.0
2021-06-30 00:00:00 UTC
Buy American Airlines Stock as It Taxis to Take off This Summer
AAL
https://www.nasdaq.com/articles/buy-american-airlines-stock-as-it-taxis-to-take-off-this-summer-2021-06-30
nan
nan
InvestorPlace - Stock Market News, Stock Advice & Trading Tips With the global rollout of Covid-19 vaccines in full swing and people ready to travel again, now is the time to buy American Airlines (NASDAQ:AAL) stock. AAL) airplane waiting on the tarmac. Represents airline stocks." width="300" height="169"> Source: GagliardiPhotography / Shutterstock.com The entire aviation industry breathed a sigh of relief after data showed that air travel in the U.S. reached a new peak during the Memorial Day weekend at the end of May, hitting its highest level since the Covid-19 pandemic began in March 2020. The Transportation Security Administration (TSA) reported that it screened a total of 7.1 million people at U.S. airports during the Memorial Day weekend, processing nearly two million people on the Friday alone. Those numbers were six times greater than during the Memorial Day weekend of 2020. 7 of the Hottest Energy Stocks to Buy This Summer While the number of people traveling by air this Memorial Day was still 22% below the holiday weekend in 2019, it clearly showed that air travel is recovering and that there is demand for people to fly again. That is welcome news to AAL stock, which is the largest airline in the world and now seems to have some tailwinds working in its favor. American Airlines says that it anticipates its domestic U.S. network will reach 90% of its 2019 seat capacity this summer based on recent booking trends. Turbulent Year for AAL Stock The tourism and aviation sectors were among the hardest hit during the pandemic. The International Civil Aviation Organization (ICAO) estimates that airlines collectively lost $371 billion in revenue as passenger volumes plunged more than 60% last year. For American Airlines, which has more international routes than any other U.S-based carrier with 350 destinations worldwide, the losses were devastating. American Airline’s passenger capacity was slashed by more than half in 2020. A total of 85 million passengers flew on American Airlines last year compared to 215 million passengers in 2019. As a result, American Airlines revenues fell 62% year-over-year to $17.3 billion, resulting in a net loss for all of last year of $10.4 billion. To remain aloft, American Airlines initiated several cost-saving measures such as the permanent retirement of more than 150 aircraft and a 30% reduction in management staff. In all, the carrier achieved $1.3 billion in annual cost-savings. Going forward, American Airlines says it will operate 10% fewer aircrafts due to improved efficiencies. Taking to the Skies Again Coming out of the pandemic, American Airlines is taking several steps to further strengthen its operations. The company has bolstered its flights to locations on the U.S. West Coast and across the Northeast. It also extended its existing partnership with domestic carriers Alaska Airlines and JetBlue, which involves code-sharing on select routes. The partnership, which is pending regulatory approval, would create one of the largest domestic and international travel networks in the world. The airline has also added more than 150 new routes to its summer schedule and upgraded hundreds of its domestic flights with wide-body planes to accommodate more passengers and help the airline maximize its market share. The steps taken have helped American Airlines to steadily improve its financial situation. The carrier reported positive cash flows worth $174 million in this year’s first quarter, which was the first of its kind since the onset of the pandemic. Strong Outlook With nearly half of Americans now fully vaccinated against Covid-19, the U.S. is approaching the level needed to achieve herd immunity. Combined with government stimulus checks, spending on travel in this year’s second half is expected to be extremely strong, and the outlook for domestic air travel is looking much improved. Multiple polls show that more than half of Americans plan to travel this summer. The aviation sector forecasts that domestic travel in the U.S. will fully recover by early 2022. Despite the ravages of the pandemic, and a crop of new domestic discount carriers, American has retained its position as the dominant airline in the world. Management has taken several prudent steps to quickly and efficiently return American Airlines to it pre-pandemic glory. The company is already talking publicly about paying down debt and deleveraging its balance sheet in the coming months as the recovery of its operations gathers steam. Buy AAL Stock As would be expected, AAL stock got hurt badly during the pandemic. Before Covid-19, the airline’s share price was close to $60 a share. It then plunged 85% to a low of $9.04 in May 2020. Since then, the stock has rallied 144% to now trade at $22.14 per share. With growing demand for air travel in the U.S. and international flights starting to recover, American Airlines stock can be expected to retest its pre-pandemic highs over the next year or two. Investors wanting to profit from the economic reopening should look to buy American Airlines stock as it wings its way higher. Disclosure: On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. The post Buy American Airlines Stock as It Taxis to Take off This Summer appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips With the global rollout of Covid-19 vaccines in full swing and people ready to travel again, now is the time to buy American Airlines (NASDAQ:AAL) stock. AAL) airplane waiting on the tarmac. That is welcome news to AAL stock, which is the largest airline in the world and now seems to have some tailwinds working in its favor.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips With the global rollout of Covid-19 vaccines in full swing and people ready to travel again, now is the time to buy American Airlines (NASDAQ:AAL) stock. AAL) airplane waiting on the tarmac. That is welcome news to AAL stock, which is the largest airline in the world and now seems to have some tailwinds working in its favor.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips With the global rollout of Covid-19 vaccines in full swing and people ready to travel again, now is the time to buy American Airlines (NASDAQ:AAL) stock. AAL) airplane waiting on the tarmac. That is welcome news to AAL stock, which is the largest airline in the world and now seems to have some tailwinds working in its favor.
Buy AAL Stock As would be expected, AAL stock got hurt badly during the pandemic. InvestorPlace - Stock Market News, Stock Advice & Trading Tips With the global rollout of Covid-19 vaccines in full swing and people ready to travel again, now is the time to buy American Airlines (NASDAQ:AAL) stock. AAL) airplane waiting on the tarmac.
4375.0
2021-06-30 00:00:00 UTC
Delta Air Lines Stock Looks Attractive
AAL
https://www.nasdaq.com/articles/delta-air-lines-stock-looks-attractive-2021-06-30
nan
nan
The shares of Delta Air Lines (NYSE: DAL) continue to trade 25% below pre-Covid levels despite a sizable recovery in domestic air travel demand. The domestic business contributes almost 78% of total revenues and currently passenger numbers at TSA checkpoints are 20% below 2019 figures. Moreover, the third round of payroll support from the U.S. government is assisting employee salaries and mitigating losses through September 30, 2021. During this pandemic period, the company reported $3.1 billion of operating cash outflow – much lower than the $10 billion fall in DAL stock’s market capitalization. Thus, Trefis believes that the stock can observe strong gains as investors overlook pandemic losses. Our prior analysis, Pick Delta Over Southwest Airlines Stock To Extend Gains, highlights the key aspects in favor of an upside in DAL stock. Our interactive dashboard highlights Delta Air Lines stock performance during the current crisis with that during the 2008 recession. 2020 Coronavirus Crisis Timeline of 2020 Crisis So Far: 12/12/2019: Coronavirus cases first reported in China 1/31/2020: WHO declares a global health emergency 2/19/2020: Signs of effective containment in China and hopes of monetary easing by major central banks helps S&P 500 reach a record high 3/23/2020: S&P 500 drops 34% from the peak level seen on Feb 19, as Covid-19 cases accelerate outside China. Doesn’t help that oil prices crash in mid-March amid Saudi-led price war From 3/24/2020: S&P 500 recovers 91% from the lows seen on Mar 23, as the Fed’s multi-billion dollar stimulus package suppresses near-term survival anxiety and infuses liquidity into the system In contrast, here’s how DAL and the broader market performed during the 2007/2008 crisis. Timeline of 2007-08 Crisis 10/1/2007: Approximate pre-crisis peak in S&P 500 index 9/1/2008 – 10/1/2008: Accelerated market decline corresponding to Lehman bankruptcy filing (9/15/08) 3/1/2009: Approximate bottoming out of S&P 500 index 1/1/2010: Initial recovery to levels before accelerated decline (around 9/1/2008) Delta Air Lines vs S&P 500 Performance Over 2007-08 Financial Crisis DAL stock declined from levels of around $18 in October 2007 (pre-crisis peak) to levels of around $5 in March 2009 (as the markets bottomed out). However, the stock gained significantly post-2008 crisis to levels of about $11 in early 2010 – rising by 126% between March 2009 and January 2010. In comparison, the S&P 500 Index first fell 51% in the wake of the recession before recovering 48% by January 2010. Delta Air Lines’ Fundamentals Prior To The Pandemic Were Stable Delta Air Lines’ revenues grew by 14% from $41 billion in 2017 to $47 billion in 2019, assisted by capacity growth and ticket prices. Moreover, the company’s margins improved due to lower operating costs and interest expenses. Thus, the EPS surged by 64% from $4.45 in 2017 to $7.32 in 2019. In 2020, the company’s revenues fell by 60% (y-o-y) as the capacity (ASMs) dropped by 51% and the passenger load factor plummeted to 55%. CONCLUSION Phases of Covid-19 crisis: Early- to mid-March 2020: Fear of the coronavirus outbreak spreading rapidly translates into reality, with the number of cases accelerating globally Late-March 2020 onward: Social distancing measures + lockdowns April 2020: Fed stimulus suppresses near-term survival anxiety May-June 2020: Recovery of demand, with gradual lifting of lockdowns – no panic anymore despite a steady increase in the number of cases Since late 2020: Weak quarterly results, but continued improvement in demand and progress with vaccine development buoy market sentiment Another round of payroll support and the current trajectory of demand recovery are key factors for a strong upside in Delta Air Lines stock. What if you’re looking for a more balanced portfolio instead? Here’s a high-quality portfolio that’s beaten the market since 2016 See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Our interactive dashboard highlights Delta Air Lines stock performance during the current crisis with that during the 2008 recession. Doesn’t help that oil prices crash in mid-March amid Saudi-led price war From 3/24/2020: S&P 500 recovers 91% from the lows seen on Mar 23, as the Fed’s multi-billion dollar stimulus package suppresses near-term survival anxiety and infuses liquidity into the system In contrast, here’s how DAL and the broader market performed during the 2007/2008 crisis. Phases of Covid-19 crisis: Early- to mid-March 2020: Fear of the coronavirus outbreak spreading rapidly translates into reality, with the number of cases accelerating globally Late-March 2020 onward: Social distancing measures + lockdowns April 2020: Fed stimulus suppresses near-term survival anxiety May-June 2020: Recovery of demand, with gradual lifting of lockdowns – no panic anymore despite a steady increase in the number of cases Since late 2020: Weak quarterly results, but continued improvement in demand and progress with vaccine development buoy market sentiment Another round of payroll support and the current trajectory of demand recovery are key factors for a strong upside in Delta Air Lines stock.
Timeline of 2007-08 Crisis 10/1/2007: Approximate pre-crisis peak in S&P 500 index 9/1/2008 – 10/1/2008: Accelerated market decline corresponding to Lehman bankruptcy filing (9/15/08) 3/1/2009: Approximate bottoming out of S&P 500 index 1/1/2010: Initial recovery to levels before accelerated decline (around 9/1/2008) Delta Air Lines vs S&P 500 Performance Over 2007-08 Financial Crisis DAL stock declined from levels of around $18 in October 2007 (pre-crisis peak) to levels of around $5 in March 2009 (as the markets bottomed out). Delta Air Lines’ Fundamentals Prior To The Pandemic Were Stable Delta Air Lines’ revenues grew by 14% from $41 billion in 2017 to $47 billion in 2019, assisted by capacity growth and ticket prices. Phases of Covid-19 crisis: Early- to mid-March 2020: Fear of the coronavirus outbreak spreading rapidly translates into reality, with the number of cases accelerating globally Late-March 2020 onward: Social distancing measures + lockdowns April 2020: Fed stimulus suppresses near-term survival anxiety May-June 2020: Recovery of demand, with gradual lifting of lockdowns – no panic anymore despite a steady increase in the number of cases Since late 2020: Weak quarterly results, but continued improvement in demand and progress with vaccine development buoy market sentiment Another round of payroll support and the current trajectory of demand recovery are key factors for a strong upside in Delta Air Lines stock.
Timeline of 2007-08 Crisis 10/1/2007: Approximate pre-crisis peak in S&P 500 index 9/1/2008 – 10/1/2008: Accelerated market decline corresponding to Lehman bankruptcy filing (9/15/08) 3/1/2009: Approximate bottoming out of S&P 500 index 1/1/2010: Initial recovery to levels before accelerated decline (around 9/1/2008) Delta Air Lines vs S&P 500 Performance Over 2007-08 Financial Crisis DAL stock declined from levels of around $18 in October 2007 (pre-crisis peak) to levels of around $5 in March 2009 (as the markets bottomed out). Delta Air Lines’ Fundamentals Prior To The Pandemic Were Stable Delta Air Lines’ revenues grew by 14% from $41 billion in 2017 to $47 billion in 2019, assisted by capacity growth and ticket prices. Phases of Covid-19 crisis: Early- to mid-March 2020: Fear of the coronavirus outbreak spreading rapidly translates into reality, with the number of cases accelerating globally Late-March 2020 onward: Social distancing measures + lockdowns April 2020: Fed stimulus suppresses near-term survival anxiety May-June 2020: Recovery of demand, with gradual lifting of lockdowns – no panic anymore despite a steady increase in the number of cases Since late 2020: Weak quarterly results, but continued improvement in demand and progress with vaccine development buoy market sentiment Another round of payroll support and the current trajectory of demand recovery are key factors for a strong upside in Delta Air Lines stock.
Our interactive dashboard highlights Delta Air Lines stock performance during the current crisis with that during the 2008 recession. However, the stock gained significantly post-2008 crisis to levels of about $11 in early 2010 – rising by 126% between March 2009 and January 2010. Phases of Covid-19 crisis: Early- to mid-March 2020: Fear of the coronavirus outbreak spreading rapidly translates into reality, with the number of cases accelerating globally Late-March 2020 onward: Social distancing measures + lockdowns April 2020: Fed stimulus suppresses near-term survival anxiety May-June 2020: Recovery of demand, with gradual lifting of lockdowns – no panic anymore despite a steady increase in the number of cases Since late 2020: Weak quarterly results, but continued improvement in demand and progress with vaccine development buoy market sentiment Another round of payroll support and the current trajectory of demand recovery are key factors for a strong upside in Delta Air Lines stock.
4376.0
2021-06-29 00:00:00 UTC
It May Be a While Before American Airlines Stock Takes Off Again
AAL
https://www.nasdaq.com/articles/it-may-be-a-while-before-american-airlines-stock-takes-off-again-2021-06-29
nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips When a company burns through $8.5 billion in cash over a one-year period, the money has to come from somewhere. It can come from either cash on the balance sheet, from issuing more debt or from selling more equity. For American Airlines Group (NASDAQ:AAL), it was mostly debt financed. In 2020, total debt (including operating lease liabilities) increased from $33.4 billion to $41.4 billion. It was also able to raise almost $3 billion from selling shares. With 2021 expected to show a little bit of a recovery, AAL stock remains highly levered as a result of the Covid-19 pandemic. AAL) airplane waiting on the tarmac. Represents airline stocks." width="300" height="169"> Source: GagliardiPhotography / Shutterstock.com American Airlines, along with third-party regional carriers, operates almost 6,700 flights per day to 350 destinations in 50 countries. Major hubs include Chicago, Dallas/Fort Worth, Los Angeles, Miami, New York, Philadelphia, Phoenix and Washington, D.C. Currently, AAL is the largest airline in the world. AAL Stock as a Recovery Play AAL, along with most companies in the travel industry, is expected to be a potential recovery play as the worst of the Covid-19 pandemic winds down and global travel returns to some degree of normalcy. There are tailwinds for the airline industry currently. In fact, the Transportation Security Administration (TSA) stated 7.1 million people were screened at airports over the Memorial Day weekend. That was one of the busiest travel times since the pandemic began. Covid-19 Damage As might have been expected, AAL’s revenues and cash flow got demolished in 2020 as airline travel ground to a halt. Total revenues declined 62%, and the company report a GAAP pre-tax net loss of $11.5 billion. Negative cash flow operations totaled $6.5 billion. 7 of the Hottest Energy Stocks to Buy This Summer Total debt ballooned as mentioned above, and AAL now has a 5x debt/EBITDA (earnings before interest, taxes, depreciation and amortization) leverage ratio (compared to the industry average of about 2.5x). In response to the devastating financial effects caused by the pandemic, AAL has employed multiple aggressive cost-saving initiatives to permanently lower costs and increase efficiency of operations. These include taking certain aircraft out of operation and partnering with other airlines. If anybody knows something about cost-cutting, it’s American Airlines. Recall this fantastic story from former CEO Robert Crandall. 2022: The Recovery Year Profitability and free cash flow should return in 2022 but not at peak levels, which may not occur until 2023. AAL had one of the highest debt levels in the industry even prior to Covid-19. So balance sheet repair may be a struggle for many years into the future. But can you imagine what would happen to AAL if a global recession occurs before that balance sheet can be fixed? A highly levered fixed-cost business is not one to own in the next recession. AAL stock won’t get back in the $50 range until its balance sheet is fixed. On the date of publication, Tom Kerr did not hold a position in any security mentioned in the article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Tom Kerr has worked in the financial services industry for over 25 years. Currently he is a Senior Portfolio Manager at Rocky Peak Capital Management. Prior to that he was Chief Investment Officer and Director of Research of SGL Investment Advisors, and has served in a number of positions at other finance-related organizations. Mr. Kerr has also been a contributing writer to TheStreet.com, RagingBull.com and InvestorPlace.com. He’s a CFA charterholder and obtained a B.B.A in Finance from Texas Tech University. The post It May Be a While Before American Airlines Stock Takes Off Again appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
7 of the Hottest Energy Stocks to Buy This Summer Total debt ballooned as mentioned above, and AAL now has a 5x debt/EBITDA (earnings before interest, taxes, depreciation and amortization) leverage ratio (compared to the industry average of about 2.5x). In response to the devastating financial effects caused by the pandemic, AAL has employed multiple aggressive cost-saving initiatives to permanently lower costs and increase efficiency of operations. For American Airlines Group (NASDAQ:AAL), it was mostly debt financed.
AAL Stock as a Recovery Play AAL, along with most companies in the travel industry, is expected to be a potential recovery play as the worst of the Covid-19 pandemic winds down and global travel returns to some degree of normalcy. For American Airlines Group (NASDAQ:AAL), it was mostly debt financed. With 2021 expected to show a little bit of a recovery, AAL stock remains highly levered as a result of the Covid-19 pandemic.
For American Airlines Group (NASDAQ:AAL), it was mostly debt financed. AAL Stock as a Recovery Play AAL, along with most companies in the travel industry, is expected to be a potential recovery play as the worst of the Covid-19 pandemic winds down and global travel returns to some degree of normalcy. Covid-19 Damage As might have been expected, AAL’s revenues and cash flow got demolished in 2020 as airline travel ground to a halt.
For American Airlines Group (NASDAQ:AAL), it was mostly debt financed. AAL had one of the highest debt levels in the industry even prior to Covid-19. With 2021 expected to show a little bit of a recovery, AAL stock remains highly levered as a result of the Covid-19 pandemic.
4377.0
2021-06-29 00:00:00 UTC
Hot Stocks To Buy Now? 3 Travel Stocks To Watch
AAL
https://www.nasdaq.com/articles/hot-stocks-to-buy-now-3-travel-stocks-to-watch-2021-06-29
nan
nan
Are These The Best Travel Stocks To Buy Now? After dealing with the pandemic for more than a year now, travel is on plenty of consumers’ minds. Likewise, investors could be eyeing the top travel stocks in the stock market today, because of this. Now, as most would know, travel stocks are among the key names in the reopening trade. After all, as countries reopen, loosening travel restrictions would follow suit. Additionally, pent-up demand for tourism services from eager tourists would also be another major tailwind for the sector. When you consider these two factors, we could be looking at a perfect storm for the travel industry ahead. For the most part, when it comes to travel, investors would likely turn to airline stocks or cruise line stocks now. No doubt, companies across both industries are more than eager to facilitate the return of tourism activities as well. In fact, Delta (NYSE: DAL) and American Airlines (NASDAQ: AAL) are actively restructuring their holiday flight schedules to account for staffing shortages now. To remedy this, Delta is looking to hire over 1,000 pilots through summer 2022. This would be a strategic move as airline companies continue to report surges in flight ticket bookings. Meanwhile, cruise line operator Royal Caribbean (NYSE: RCL) is currently halfway through a seven-night voyage via its Celebrity Edge ship. Notably, this marks the first passenger cruise from a U.S. port in over 15-months. If that wasn’t enough, RCL is also preparing for the U.K. summer season at the same time. The company’s Anthem of the Seas vessel is looking to set sail on July 7. Overall, there still seems to be room for the travel and tourism-related sectors to run. Should you feel the same way, here are three top travel stocks to watch in the stock market now. Best Travel Stocks To Watch This Week United Airlines Holdings Inc. (NASDAQ: UAL) Airbnb Inc. (NASDAQ: ABNB) Carnival Corporation (NYSE: CCL) United Airlines Holdings Inc. United is an airlines company that is headquartered in Chicago, Illinois. It is one of the largest airlines in the world and has 8 hubs. It is a founding member of the world’s largest airline alliance with a total of 28 member airlines. UAL stock currently trades at $52.52 as of 1:16 p.m. ET and has been up by over 25% year-to-date. Today, the company announced an exciting piece of news with Boeing (NYSE: BA). In detail, United says that it plans to add 200 Boeing 737 MAX and 70 Airbus (OTCMKTS: EADSY) A321neo to its fleet. This would be the largest order in United’s history and also the biggest by a single carrier in a decade. Also, the company will retrofit 100% of its remaining mainline, narrow-body fleet to facilitate the customer experience and create a new signature interior. This would include an approximately 75% increase in premium seats per North American departure, larger overhead bins, seatback entertainment in every seat, and a wide array of other benefits. In early June, the company also launched a new corporate venture fund, United Airlines Ventures. The venture fund will allow the airline to continue investing in emerging companies that have the potential to influence the future of travel. The new fund will concentrate on sustainability concepts that will complement United’s goal of net-zero emissions by 2050. This is an impressive goal considering that the company will not rely on traditional carbon offsets. The new funds could help revolutionary aerospace developments and innovative technologies that would ultimately create value for United’s customers and operations. For these reasons, is UAL stock worth watching today? Source: TD Ameritrade TOS [Read More] Top Fintech Stocks To Buy Right Now? 3 To Watch Airbnb Inc. Airbnb is a travel company that focuses on connecting Hosts to guests all around the world. In essence, the company operates its online marketplace for lodging which primarily includes homestays for vacation rentals and other tourism activities. Impressively, the company says it has connected 4 million Hosts to over 800 million guest arrivals in almost every country across the globe. ABNB stock currently trades at $147.96 as of 1:16 p.m. ET. Last month, the company announced its first-quarter financials and showed major signs of recovery based on the economy reopening and improving travel trends. For instance, the company reported 64.4 million bookings for the quarter, a 13% increase year-over-year. Gross booking value (GBV) was $10.3 billion for the quarter, a 52% increase year-over-year. Revenue for the quarter was $887 million, a 5% increase year-over-year. Airbnb says that its business model is adaptable, and its business has rebounded faster than expected. Last month, the company announced over 100 comprehensive upgrades to refine and improve its operations. This would include its website and mobile app to its community support and policies. Among the features added would be to give guests even more flexibility when planning their travel and to make it simple for anyone who wants to be a Host. “We are seeing three fundamental shifts in travel as people become less tethered and more flexible,” said Brian Chesky, Co-Founder, and CEO of Airbnb. “People can travel anytime, they are traveling to more places and they are staying longer. The lines between travel, living, and working are blurring and we are upgrading our service to make it easier for people to integrate travel into their lives, and for more people to become Hosts.” With the excitement surrounding the company, will you consider buying ABNB stock? Source: TD Ameritrade TOS Read More 4 Top EV Charging Stocks To Watch This Week Best Quantum Computing Stock To Buy Now? 4 To Know Carnival Corporation Topping off our list today is the Carnival Corporation. In short, it is one of the biggest names in the leisure travel industry globally today. As such, it would make sense then that CCL stock is among the top travel stocks to know today. For some context, Carnival’s industry-leading cruise line portfolio consists of nine brands. The likes of which offer consumers sailing experiences across all seven continents. As travel trends eventually pick up the pace, it would not surprise me to see CCL stock following suit. Evidently, the company’s shares have already more than tripled in value since its pandemic-era low. CCL stock currently trades at $25.94 a share as of 1:16 p.m. ET. If anything, Carnival appears to be pulling out all the stops right now. Namely, Carnival announced plans to sell roughly $500 million in stock, yesterday. This would mark yet another key means of raising capital. After all, Carnival, among other travel industry veterans, is still dealing with pandemic-boosted cash burn rates. As a result, some investors were quick to trim their positions in the company, explaining a 7% dip in CCL stock on Monday. However, a recent update from CEO Arnold Donald may suggest that things appear to be looking up for business now. According to Donald, demand for Carnival’s cruises is already surpassing pre-pandemic levels. He explained, “Honestly, people are chomping at the bit to cruise again. We do not have an issue with being able to fill the ships.” With Carnival kicking into high gear now, would you consider CCL stock a top watch? Source: TD Ameritrade TOS The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
In fact, Delta (NYSE: DAL) and American Airlines (NASDAQ: AAL) are actively restructuring their holiday flight schedules to account for staffing shortages now. Meanwhile, cruise line operator Royal Caribbean (NYSE: RCL) is currently halfway through a seven-night voyage via its Celebrity Edge ship. Last month, the company announced its first-quarter financials and showed major signs of recovery based on the economy reopening and improving travel trends.
In fact, Delta (NYSE: DAL) and American Airlines (NASDAQ: AAL) are actively restructuring their holiday flight schedules to account for staffing shortages now. Best Travel Stocks To Watch This Week United Airlines Holdings Inc. (NASDAQ: UAL) Airbnb Inc. (NASDAQ: ABNB) Carnival Corporation (NYSE: CCL) United Airlines Holdings Inc. United is an airlines company that is headquartered in Chicago, Illinois. In early June, the company also launched a new corporate venture fund, United Airlines Ventures.
In fact, Delta (NYSE: DAL) and American Airlines (NASDAQ: AAL) are actively restructuring their holiday flight schedules to account for staffing shortages now. For the most part, when it comes to travel, investors would likely turn to airline stocks or cruise line stocks now. Best Travel Stocks To Watch This Week United Airlines Holdings Inc. (NASDAQ: UAL) Airbnb Inc. (NASDAQ: ABNB) Carnival Corporation (NYSE: CCL) United Airlines Holdings Inc. United is an airlines company that is headquartered in Chicago, Illinois.
In fact, Delta (NYSE: DAL) and American Airlines (NASDAQ: AAL) are actively restructuring their holiday flight schedules to account for staffing shortages now. Best Travel Stocks To Watch This Week United Airlines Holdings Inc. (NASDAQ: UAL) Airbnb Inc. (NASDAQ: ABNB) Carnival Corporation (NYSE: CCL) United Airlines Holdings Inc. United is an airlines company that is headquartered in Chicago, Illinois. 4 To Know Carnival Corporation Topping off our list today is the Carnival Corporation.
4378.0
2021-06-29 00:00:00 UTC
These 3 Stocks Will Plunge 50% or More -- If You Believe Wall Street's Bears
AAL
https://www.nasdaq.com/articles/these-3-stocks-will-plunge-50-or-more-if-you-believe-wall-streets-bears-2021-06-29
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There's a lot of controversy right now about stocks going through difficult times. Many institutional investors on Wall Street and elsewhere take the opportunity to take short positions against companies whose shares they anticipate falling precipitously from current levels. Yet the WallStreetBets phenomenon has crushed some major institutions that have tried using that strategy, sending some stocks sharply higher despite their challenges. Wall Street analysts are usually reluctant to recommend against stocks, and they certainly don't have a perfect track record. However, seeing where analysts believe there are difficulties ahead for certain stocks could be a great place to start your research -- whether you agree with them or vehemently disagree. Below, we'll look at three stocks that the most pessimistic analysts on Wall Street see plunging 50% or more in the near future, with the goal of providing some insight that could help you make your own decision. Image source: Getty Images. 1. Transocean Shares of drilling specialist Transocean (NYSE: RIG) have seen a lot of ups and downs in recent years, and unfortunately, long-term investors have suffered through a lot more down times. With oil prices having fallen from triple-digit levels, Transocean's stock has lost more than 90% of its value since the early to mid-2010s. Yet more recently, the stock has perked up along with rising crude prices, jumping nearly sevenfold from its worst levels just last October. Most analysts seem to think the driller's shares have come too far too quickly. Currently trading at nearly $4.50 per share, the average price target is 44% lower at $2.50. The lowest target is at just $0.50 per share -- nearly 90% lower than current share prices. Comments from Barclays are fairly representative of what Wall Street is saying about Transocean. In March, Barclays cut its rating from equal weight to underweight, and its $2 price target for the stock represented a more than 50% haircut from where the stock was trading at the time. Barclays argued the share price seemed overly optimistic about a recovery in offshore drilling activity. Nevertheless, crude prices have continued to rise since then, and the stock has climbed despite short interest of about 14% of Transocean's current float. Further strength in oil markets should help Transocean's business, but it's unclear whether the stock has already taken a recovery into account. 2. American Airlines Group A different recovery play is somewhat more controversial. American Airlines Group (NASDAQ: AAL) saw its stock plunge at the beginning of the COVID-19 pandemic, as air travel ground to a halt. Massive losses have plagued the airline since, and those losses could continue well into the future. Yet hopes for a long-term recovery have helped American's stock regain much of the ground it lost. Analysts are also divided on American's prospects. Jefferies upgraded the stock from underperform to hold and set a $25 per share price target, pointing to recovery prospects that should outweigh the danger from high debt levels. Analysts at Susquehanna, however, haven't budged from their negative rating on American, and its $10 per share price target reflected the belief that domestic-only airlines would likely outperform in the early stage of the recovery as international pandemic-related restrictions have remained in place. With short interest of more than 14% of the stock's float, American has a large contingent of investors betting against it. Yet the airlines have been popular picks among retail investors, and that sets up the tug of war that we've seen with many companies in recent months. 3. AMC Entertainment Holdings Finally, AMC Entertainment Holdings (NYSE: AMC) is a big battleground in the investing community. The movie theater operator's stock has soared 2,500% since the beginning of the year. Yet analysts are universally convinced that the share price will fall back to earth, with price targets ranging from $16 on the high side to just $1 on the low side. Those calls imply declines of 70% to 98% from current levels. Here, though, the investment community itself has defied those analyst calls. In early June, AMC raised $587 million by selling 11.55 million shares at a price above $50 per share. That was a huge improvement over an earlier capital raise in late April and early May of 43 million shares at an average stock price just under $10. Despite -- or perhaps because of -- the huge run-up in AMC's stock price, short interest remains high at 17% of float. It's inevitable that AMC's business will improve when people return to theaters again in full force, but whether the stock can hold onto its gains is a different story entirely. Will Wall Street win? Wall Street has been notoriously wrong with some of its short-selling calls in recent months. In many investors' minds, that makes bearish picks like these potential buy candidates rather than stocks to be shunned. Nevertheless, all three of these stocks serve as reminders that stock prices rise in advance of improving industry conditions. It's entirely possible that even if their underlying businesses see ongoing signs of recovery, their shares could still fall in the short run from current levels. 10 stocks we like better than Transocean When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Transocean wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Dan Caplinger has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines Group (NASDAQ: AAL) saw its stock plunge at the beginning of the COVID-19 pandemic, as air travel ground to a halt. Jefferies upgraded the stock from underperform to hold and set a $25 per share price target, pointing to recovery prospects that should outweigh the danger from high debt levels. Analysts at Susquehanna, however, haven't budged from their negative rating on American, and its $10 per share price target reflected the belief that domestic-only airlines would likely outperform in the early stage of the recovery as international pandemic-related restrictions have remained in place.
American Airlines Group (NASDAQ: AAL) saw its stock plunge at the beginning of the COVID-19 pandemic, as air travel ground to a halt. AMC Entertainment Holdings Finally, AMC Entertainment Holdings (NYSE: AMC) is a big battleground in the investing community. In early June, AMC raised $587 million by selling 11.55 million shares at a price above $50 per share.
American Airlines Group (NASDAQ: AAL) saw its stock plunge at the beginning of the COVID-19 pandemic, as air travel ground to a halt. In March, Barclays cut its rating from equal weight to underweight, and its $2 price target for the stock represented a more than 50% haircut from where the stock was trading at the time. 10 stocks we like better than Transocean When our award-winning analyst team has a stock tip, it can pay to listen.
American Airlines Group (NASDAQ: AAL) saw its stock plunge at the beginning of the COVID-19 pandemic, as air travel ground to a halt. Many institutional investors on Wall Street and elsewhere take the opportunity to take short positions against companies whose shares they anticipate falling precipitously from current levels. The lowest target is at just $0.50 per share -- nearly 90% lower than current share prices.
4379.0
2021-06-29 00:00:00 UTC
Is United Airlines Stock Poised For Sizable Gains?
AAL
https://www.nasdaq.com/articles/is-united-airlines-stock-poised-for-sizable-gains-2021-06-29
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The shares of United Airlines (NASDAQ: UAL) continue to trade 30% below pre-Covid levels despite a substantial improvement in air travel demand. Notably, passenger numbers at TSA checkpoints are almost 20% below 2019 figures – highlighting the ongoing recovery in the travel and tourism sector. The company has received a third round of payroll support from the U.S. government to assist employee salaries through September 30, 2021. During this pandemic period, the company reported $4 billion of operating cash outflow and Trefis believes that the stock can observe strong gains if investors overlook pandemic losses. Our prior analysis, Should You Consider United Airlines Stock For A Bull Rally?, highlights the key aspects in favor of an upside in United Airlines stock. But how would these numbers change if you are interested in holding United Airlines stock for a shorter or a longer time period? You can test the answer and many other combinations on the Trefis Machine Learning Engine to test United Airlines stock chances of a rise after a fall. You can test the chance of recovery over different time intervals of a quarter, month, or even just one day! MACHINE LEARNING ENGINE – try it yourself: IF UAL stock moved by -5% over 5 trading days, THEN over the next twenty-one trading days, UAL stock moves an average of 4.2 , with a 62% probability of a positive return Some Fun Scenarios, FAQs & Making Sense of United Airlines Stock Movements: Question 1: Is the average return for United Airlines stock higher after a drop? Answer: Consider two situations, Case 1: United Airlines Holdings stock drops by -5% or more in a week Case 2: United Airlines Holdings stock rises by 5% or more in a week Is the average return for United Airlines Holdings stock higher over the subsequent month after Case 1 or Case 2? UAL stock fares better after Case 1, with an average return of 4.2% over the next month (21 trading days) under Case 1 (where the stock has just suffered a 5% loss over the previous week), versus, an average return of 0% for Case 2. In comparison, the S&P 500 has an average return of 3.1% over the next 21 trading days under Case 1, and an average return of just 0.5% for Case 2 as detailed in our dashboard that details the average return for the S&P 500 after a fall or rise. Try the Trefis machine learning engine above to see for yourself how United Airlines Holdings stock is likely to behave after any specific gain or loss over a period. Question 2: Does patience pay? Answer: If you buy and hold United Airlines Holdings stock, the expectation is over time the near-term fluctuations will cancel out, and the long-term positive trend will favor you – at least if the company is otherwise strong. Overall, according to data and Trefis machine learning engine’s calculations, patience absolutely pays for most stocks! For UAL stock, the returns over the next N days after a -5% change over the last 5 trading days is detailed in the table below, along with the returns for the S&P500: Question 3: What about the average return after a rise if you wait for a while? Answer: The average return after a rise is understandably lower than after a fall as detailed in the previous question. Interestingly, though, if a stock has gained over the last few days, you would do better to avoid short-term bets for most stocks – although UAL stock appears to be an exception to this general observation. UAL’s returns over the next N days after a 5% change over the last 5 trading days is detailed in the table below, along with the returns for the S&P500: It’s pretty powerful to test the trend for yourself for United Airlines Holdings stock by changing the inputs in the charts above. Do United Airlines’ peers offer better gains? United Airlines Stock Comparison With Peers summarizes how UAL compares against peers on metrics that matter. You can find more such useful comparisons on Peer Comparisons. See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The shares of United Airlines (NASDAQ: UAL) continue to trade 30% below pre-Covid levels despite a substantial improvement in air travel demand. Notably, passenger numbers at TSA checkpoints are almost 20% below 2019 figures – highlighting the ongoing recovery in the travel and tourism sector. Try the Trefis machine learning engine above to see for yourself how United Airlines Holdings stock is likely to behave after any specific gain or loss over a period.
You can test the answer and many other combinations on the Trefis Machine Learning Engine to test United Airlines stock chances of a rise after a fall. MACHINE LEARNING ENGINE – try it yourself: IF UAL stock moved by -5% over 5 trading days, THEN over the next twenty-one trading days, UAL stock moves an average of 4.2 , with a 62% probability of a positive return Some Fun Scenarios, FAQs & Making Sense of United Airlines Stock Movements: Question 1: Is the average return for United Airlines stock higher after a drop? Answer: Consider two situations, Case 1: United Airlines Holdings stock drops by -5% or more in a week Case 2: United Airlines Holdings stock rises by 5% or more in a week Is the average return for United Airlines Holdings stock higher over the subsequent month after Case 1 or Case 2?
MACHINE LEARNING ENGINE – try it yourself: IF UAL stock moved by -5% over 5 trading days, THEN over the next twenty-one trading days, UAL stock moves an average of 4.2 , with a 62% probability of a positive return Some Fun Scenarios, FAQs & Making Sense of United Airlines Stock Movements: Question 1: Is the average return for United Airlines stock higher after a drop? Answer: Consider two situations, Case 1: United Airlines Holdings stock drops by -5% or more in a week Case 2: United Airlines Holdings stock rises by 5% or more in a week Is the average return for United Airlines Holdings stock higher over the subsequent month after Case 1 or Case 2? UAL stock fares better after Case 1, with an average return of 4.2% over the next month (21 trading days) under Case 1 (where the stock has just suffered a 5% loss over the previous week), versus, an average return of 0% for Case 2.
You can test the answer and many other combinations on the Trefis Machine Learning Engine to test United Airlines stock chances of a rise after a fall. Try the Trefis machine learning engine above to see for yourself how United Airlines Holdings stock is likely to behave after any specific gain or loss over a period. UAL’s returns over the next N days after a 5% change over the last 5 trading days is detailed in the table below, along with the returns for the S&P500: It’s pretty powerful to test the trend for yourself for United Airlines Holdings stock by changing the inputs in the charts above.
4380.0
2021-06-28 00:00:00 UTC
Inflation Concerns and a Very Large SPAC Deal
AAL
https://www.nasdaq.com/articles/inflation-concerns-and-a-very-large-spac-deal-2021-06-28
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Billionaire investor Bill Ackman recently announced that the megadeal is now official in which special-purpose acquisition company (SPAC) Pershing Square Tontine Holdings (NYSE: PSTH) is acquiring 10% of Universal Music. We also have some new details. And after a volatile week in the markets triggered by the Federal Reserve meeting, many investors are concerned about inflation. In this week's Industry Focus: Financials, Matt Frankel and Jason Moser break down the inflation numbers, what's causing it, and how it could affect your investments. To catch full episodes of all The Motley Fool's free podcasts, check out our podcast center. To get started investing, check out our quick-start guide to investing in stocks. A full transcript follows the video. 10 stocks we like better than Pershing Square Tontine Holdings, Ltd. When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Pershing Square Tontine Holdings, Ltd. wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 This video was recorded on June 21, 2021. Jason Moser: It's Monday, June 21. I'm your host, Jason Moser, and on this week's financial show, we get the latest from Bill SPACman. That's right, Bill SPACman. What should investors make of all of this inflation talk and how are the banks, how is the Fed, how are they dealing with it all? We'll also wrap up the show with a couple of stocks to watch, as always. Joining me this week, it's Certified Financial Planner and hey, he's found this Saturday he's not the biggest Star Wars guy and that's OK. It's Matt Frankel. Matt, how's everything going? Matt Frankel: Pretty good. It's a beautiful day in South Carolina. How are you doing today? Moser: No complaints. Back at it after a lovely Father's Day. It's lovely weather here in Virginia. Very hot, very sunny, but it does feel like things are pretty much back to normal. You get outside, and you can see people out doing stuff left and right. It's nice, so a good day. Matt, we were talking about last week, really leading up to last week, the ongoing, I don't want to say saga, but it's really an interesting story, I think with Bill Ackman. I love to call him Bill SPACman now because the reason why this matters with Tontine, it was the biggest SPAC ever when it raised $4 billion for its IPOs. I think that this is a story worth following, but Bill Ackman's SPAC has officially signed, I think this is a really big deal in a market that is going to remain relevant, I suspect at the very least the rest of our lifetimes. Frankel: Yeah. It's not only a very relevant deal, but it's a very complex one. I think actually it was so complex that the title of our last episode on Industry Focus was a very complex SPAC deal when we discussed this. We learned a little bit more over the weekend about this. Bill Ackman, a little after 1 o'clock, he tweeted out, "Happy Father's Day," and then at 2 o'clock he tweeted out an updated press release that said the deal had been finalized. If not long enough of a show for me to go through the complex deal again. [laughs] Going through the new points, but there's three points to the deal. I want to briefly just discuss the new stuff we learned, if that's OK. Moser: Sure. Frankel: And see what Jason has to say about this. Moser: Sure. Frankel: First, the Universal Music business in general, which is not taking up all of the SPAC's money, but it's the primary focus of the deal. They are buying the 10% stake. They're going to distribute those shares to investors. We already knew all that. We got a few more details about Universal's business. According to the press release, Universal has a 32% share of the worldwide music market. That's pretty big. About a third of the music market is Universal. They have all of the top 10 artists in the world. All 10 are Universal recording artists. Not only is it a valuable business generating revenue; they're building up some of the most valuable intellectual property in the industry. They've grown revenue at about a 10% annual rate recently. It was down to 5% last year because of COVID, which is to be expected. The music business wasn't having a good year in a year when no one could do anything. The businesses were running at a pretty impressive 19% operating margin. The bottom-line operating margin, 19%, is pretty impressive. Moser: Particularly, when you look at the economics of the music business. Generally speaking, it is a business that seems fraught with red tape, but then also probably most investors out there when they think about the music business, they're thinking about Spotify or Apple Music. Really, Spotify and Apple Music, are the ones that are licensing that music from Universal, aren't they? Frankel: Yeah. Universal is considered like a legacy player. That's the margin a tech company would like to get. Roughly 20% bottom-line operating margin. That's pretty impressive for any company. That's what we learned about Universal; that's the big part of the deal, money-wise. Then you have the remaining SPAC. Pershing Square Tontine Holdings is still going to be trading under PSTH. We had a few new details about that. Ackman gave a lot of new details about what happens with the warrants. Remember, all SPACs were issued with warrants as well. He gave us some color on them. That was a big unanswered question from the original press release. Some time after the deal starts going, they're going to have a warrant exchange period, where current warrant holders can just exchange their awards for a certain amount of shares. There's a whole table that says what exchanges are going to be, and the Tontine part of it, it means a community aspect of those. Ackman wants this to be like the most shareholder-friendly SPAC. So, the units of the SPAC originally came with one-third of a warrant. Only one-ninth of a warrant was distributed to shareholders. The other two-ninths are still attached to their shares, and it's only given to people who hold through the business combination. As an incentive to not sell. Moser: I like that. Frankel: Those are called the Tontine warrants in the presentation. Moser: That does sound like a Star Wars sequel or something. I'm just saying. You can go on. Frankel: Yes, it does. For every nine shares you own, you'll get two of those Tontine warrants upon the business combination. They will be adjusted in price because about three-quarters of the SPAC's assets are going to buy the Universal stake. The remaining shares will be worth like $5. I think it was $5.50 or so that is going to be remaining in asset value. The exercise price will be adjusted downwards. It will no longer be a SPAC, which means now they have a total of almost $3 billion to find another business acquisition, which Ackman specifically said it's going to be an acquisition, not something like the Universal deal when they're buying a stake. Moser: So full-on acquisition? Frankel: Full-on SPAC acquisition. Moser: Gotcha. OK. Frankel: But it's no longer a SPAC now because it already did the Universal deal, which means that they no longer have that two-year time frame working against them. They have a $3 billion war chess and they can pick and choose their spot. They can work on whatever timeline works best for their shareholders, which is nice. That's what we learned about the remaining assets and immediately after that, they undergo a four for one reverse split or one for four reverse split. Because like I said, their shares are going to be like five dollars after Universal comes out. He wants to bring it up to a $22 net asset value per share in the remaining SPAC. Moser: That's interesting. It does go to show you, and I always like to say this, but investing is as easy or as difficult as you want to make it. It does feel like that's a pretty complicated process. This has been going through. Frankel: We're not done yet. Moser: OK. Well, go on. Frankel: That was part two of the three. Then you have the SPARC, which is like the new SPAC. Moser: That's right. Frankel: I discussed what the SPARC was. Essentially, it's a blank-check company that's not raising any money initially. They don't raise money until they actually find an acquisition target. It's a cross between a SPAC and the traditional IPO. By the time they're raising money, investors know what they are buying. For every share of Pershing Square Tontine Holdings you own, you'll get one of these SPARC warrants that will allow you to participate in whatever the eventual business combination is, at an exercise price of $20. This SPARC will have up to $10.6 billion, which is a lot more than Pershing Square Tontine had even, to pursue a mega-acquisition, and they have a 10 year time frame, which is a big competitive advantage over a SPAC. If one of these big companies says, we're not quite ready to go public yet, but give us five years, Ackman can wait for that. Other SPACs can't. That's a big competitive advantage here. Everyone's getting one of these warrants, which I think is probably the most underappreciated part of this transaction. The Universal part alone is worth about what the shares are trading for today. Then you are getting that remaining part of the company, then you're getting that SPARC warrant, which the Pershing Square Tontine SPAC warrants trade for like $7 right now and they have a higher $23 exercise price. They are about to be forced to be exercised. These could be worth more than that and you're getting one for every share you own. I like the value in this deal a lot. I have actually increased my position since they announced it. Now, because I know what the deal is, I call this a lot more of a value investment than a growth investment, especially since Universal is a big established company. The SPARC warrants are very investor friendly. I would actually call this a lot more of a value investment than a growth investment at this point. I actually bought some in my retirement account. Moser: For an investor, obviously he's a very smart man. He clearly knows what he's doing and the financial media loves to have fun with him when something goes south. But the fact of the matter is he's had a lot of successes as an investor, and while this is clearly a complicated deal, it does seem like it's something very intentional. It seems like he's going into this with something in mind, to be honest with you, it seems like he's going into this. Do you feel like he has in mind that next acquisition he's looking to bring in? Frankel: It feels like he does for the remaining SPAC not for the SPARC, not for that new big $10 billion company, but for the roughly $3 billion he'll have to play within Pershing Square Tontine. It sounds like you have something in mind. I don't know that for a fact that's just my opinion from reading this, and by the way, I didn't go over the new information we learned, it's not that long of a show. [laughs] If you look at Bill Ackman's Twitter handle, all these press releases are right there. There is a link to the website with the press release. If you want to read through it. It's a heavy read. The other thing is we're having an Investor Day on Wednesday so they're going to have a hopefully more easily digestible investor presentation that you can view on Wednesday on their website. Moser: Absolutely, that'll be well worth turning into. If nothing else you should learn something from it. But also it will be fascinating to see where this goes. Because one thing I do know about Bill Ackman and this is just through interviews I've seen with him through the years, he's a big fan of the restaurant business. He does like the restaurant business a lot, and I get that, when you find a good operator, hey, everybody has got to eat and it does feel like in this day and age, more and more folks are relying on restaurants than ever before, and hey, there's always going to be that opportunity and the attraction there of those repeat sales. I think, because he was talking about an investment in Domino's he made recently that he was really fond of because it is such a good operator. Frankel: Remember, on our show a while ago we went over the list of the rumor mill for projects of Tontine and Subway was one of the top picks. That's a big private company, while I was in another one. Moser: A lot of people didn't realize, this has been the case for a while, but Subway being the largest restaurant company, I think in the world. Frankel: Yeah, and it's private. Moser: Yeah and folks would think, well, it was McDonald's and the fact of the matter was the Subway is larger, which is just amazing to think about. But then when you take note of wherever you are, it does feel like there's a Subway everywhere. Frankel: Yes, sir. I think there's three within walking distance of where I'm standing right now. Moser: I totally believe it. Well, this will be a fascinating one to follow up. Complicated, yes, but I appreciate you digging into that. Matt, let's pivot here a little bit. Talk about some more big picture stuff and really, we've heard more and more about inflation here over the past several weeks than probably we have over the last decade. I think the conversation over the last decade was well, inflation and interest rates will stay low and moving on, and now we're at a point where inflation is starting to become a bit more of a concern and we've seen the Fed is accelerating its timeline a little bit. We're seeing how banks are going into this period of time, how they are preparing themselves. It just seems like there's a lot to discuss in regard to this. Let's just start it off with the Fed meeting from last week. I personally wasn't terribly surprised to see the headlines that they are essentially accelerating their timeframe on when they plan to raise interest rates next, it's been so long. The status quo, at some point or another, you got to start having that other conversation and it sounds like the Fed is accelerating that timeframe. What do you think there? Frankel: Yes. We're not used to being in this type of situation where there's real inflation happening. Do you remember the last time we were in a real inflationary environment? It had to be in the '90s. Moser: I would imagine that was it. It certainly didn't feel like it's been anything over the last couple of decades. Frankel: In the last decade, since the financial crisis. The Fed has tried. They can't buy an inflation rate. They tried to. Remember, they've had this 2% target for 12 years now and they just can't get there. They've edged up against that once or twice, but they just can't get there, and now we're seeing, I just run through some of the numbers, the CPI is up 5% year over year, as at the latest data. The PPI, the Producer Price Index, is up 6.6% year over year. These are the highest inflation numbers in about 30 years. Core inflation is up 3.8% when you back out things like energy, which tends to be the most volatile part of it. Moser: Sure. Frankel: We talked about this a few shows ago that inflation is generally bad for stocks, right? Moser: Yes and no. Yes, but by the same token, one less than we've always used with our Fool School, and when we're teaching younger folks the value of investing, and teaching them the dangers of inflation. If you just put that money in a piggy bank, overtime, it ultimately really is losing value. Whereas if you're invested, you've diversified, you do it in the good times and the bad, that is really going to be one of the greatest ways, one of the best ways to counter that inflation, but go on. Frankel: I'm glad you brought up that your money is losing value just sitting there. Investors, it's important to focus on real returns. Real returns are the difference, of course, between your actual investment returns in the inflation rate. If inflation is at 3% a year and your portfolio went up by 3%, your real return was 4%, the difference between them. Historically, the sweet spot is a 2%-3% inflation, which is why the Fed targets that range. Stocks have generally produced the best of real returns in periods where inflation is between 2% and 3%, if you go back 50 years. We're a little above that now, which is scaring investors. That's why we're having this whole conversation. Just a couple of things, and then I'll get into some specifics on why we're seeing all this inflation and all that. Generally, value stocks tend to outperform growth stocks, which is great for us at the financial show. You want to focus on stocks that have pricing power. Some stocks have the ability to raise prices along with inflation without losing any demand whatsoever. Utilities are a great example. If my electric company raised rates by 5%, I would still be turning my lights on as much as I am now. That's a perfect example of a company with pricing power. Financials that we've talked about to some degree, they don't do great in a hyperinflationary environment. But when inflation is a little high, they get to raise rates, and they make more money on loans, things like that. Why are we seeing all this inflation? I can narrow down to five reasons if we can go into those. Moser: Absolutely, let's do it. Frankel: Everyone blames it on the Fed. That's reason No. 1 out of five. The Fed has the mandate to control inflation. That's one of the reasons we have the Fed, or at least the policy-making guard, the FOMC. The Fed's monetary policy is very loose and guided even more so after the COVID pandemic hit. They're doing their quantitative easing, which means they're buying bonds at a rate of $120 billion a month to inject more capital into the system. Interest rates are at or near zero levels. We had just really been in the middle of a rate hike increase from the rate hike cycle when COVID hit, and now we're back to zero. When money is cheap and they are just injecting liquidity into the system, that is going to produce some inflationary pressure. That's not the only reason we're seeing inflation, so that's one. No. 2 is all the stimulus we've been seeing. This is separate from the Fed. All the CARES Act with the stimulus checks, we've had three rounds of stimulus checks now. People are about to start getting monthly checks for an increased child tax credit. The second half of the year, we had the PPP, which injected billions of dollars into the system. A lot of stimulus creates a lot of inflationary pressure. That's another thing that I'd have to call the No. 2 that people blame this on. Everyone is going out and spending their stimulus checks, they're just thinking about this inflation. Jason didn't take his family to the stables and I didn't take my family to Disney World a month ago because we got stimulus checks, it's because we wanted to get out. That really brings me to No. 3, demand. Inflation is really supply and demand driven when you get outside of the policy sphere. Too many people want something and there isn't enough of it, the price is going to go up. If anyone has tried to book a plane ticket or a hotel in the past month or two, it got a whole lot more expensive. The reason is supply and demand, demand has just gone through the roof lately. In a lot of ways, the reopening is tougher on the economy than shutting down, because of the big spike in demand. Moser: I'm glad you said that, because I know that probably grinds someone's gears but there is some truth to that. You are right that when you have all of this money chasing a somewhat limited amount of goods, the impact is obvious. Now, I guess then the question is, we hear this word "transitory" mentioned and we'll get into that. But it does make you wonder, is this something that's lasting or is it something that is just a temporary blip? Frankel: Right. A lot of it depends on the Fed. That's, I guess, the most control you could have out of any of these factors. You can't tell people to stop taking vacations. You can't tell people to stop going to the store. But the Fed can adjust monetary policy to control inflation. Those are three. Going further, the supply chain disruptions. That's another temporary one, like the transitory factors you're just watching. I don't know. Have you driven by any new car dealerships in the past few months? Moser: Not where I've paid any attention, no. Frankel: Next time you do, pay attention. The big Nissan dealership near my house normally has 300 or so new cars on the lot. You know how many they have right now? Moser: No, I don't. Frankel: Seven. Moser: Really? I was going to say 50. I'd have been way off even with that. Frankel: The Chevy dealership near me normally has a few hundred cars. They have some trucks. Do you know how many actual cars they have, like sedans? Zero. There is not one new Chevy car in the Columbia, South Carolina dealership. That's a big supply chain disruption. That's led to used car values, which are part of inflation, really spiking. My Ford SUV that I bought two years ago is worth more now than I paid for it new. Moser: That's just insane to even think about. Frankel: I will go sell it to the dealership but then I have to buy another inflated car, so it's a paper gain. Moser: It's the same thing with the inflated home value. You can sell your house for twice what you bought it. That sounds great, but then I got to go buy another house. Unless you know that you're going to be moving somewhere where it's just substantially lower cost of living, listen, that's a lot of work for probably not a lot of gain. Frankel: There are a lot of supply chain disruptions going on in food service right now. You can't get chicken wings in a lot of places. That's a big supply chain thing. Moser: It's the chicken wars. Frankel: We went out to dinner for Father's Day with my wife, who wanted wings. They didn't have any because it was Sunday and they ran out. It was a supply chain thing. My Costco was out of wings. When I walked into Chipotle, there was a big sign that said, "Due to supply chain limitations, we're out of several items. Apologies for the inconvenience." That is driving prices in a lot of cases. Not just the cars. That's just a really visible example. Most people don't notice. But if you drive by a new-car dealership, you'll see a lot of empty parking lots these days. The high-end models are going crazy too. The Range Rover dealership near me, it's right on the interstate, so you can see right into it. Empty showroom. There's three spots for cars. There's not one in the showroom, not one. Moser: That's amazing. Frankel: That's four. I'd say probably the more controversial of the five is wage pressure. Right now, you've probably heard there's a worker shortage. American Airlines have been canceling flights for this very reason. Moser: I have heard. Frankel: That's very real. The question is, what's causing it? Everyone blames it on the unemployment benefit boost. But whatever the reason is, the companies, especially in the food service and retail industries, are really having to raise wages to compete and to get employees. I know a restaurant owner here who had to close Mondays and Tuesdays because they didn't have enough staff. He said he raised their starting wage by $3 an hour and now he has too many applications. Moser: Well, this is supply and demand. It's economics at work. At least we know that the world hasn't gone completely crazy. Frankel: That $3 an hour he raised it. Who's going to pay for that? Moser: Oh, yeah. I know what you mean. Someone has got to pay for it. Frankel: Whatever the cause, there's a bunch of causes. It's not just unemployment. A lot of parents don't have child care and can't work right now. A lot of daycares haven't reopened since the pandemic in some places. Or they're just getting ramped back up. There are a bunch of reasons why. But the fact of the matter is, companies are raising wages. Chipotle, I mentioned already; they just announced they're raising their prices by 5% in order to raise wages to be more competitive and get staff. There's an hour wait for burritos at the Chipotle by me because they don't have staff. Moser: Man. Frankel: I didn't wait there. I left. I left and just went home and ate. The wage pressure is very real and that is always passed onto the consumer. Companies cannot just take it to their profit margin. That's always passed on to the consumer. Moser: No. But by the same token, you do see one thing to look for and it is nice to see companies that do take that longer view and maybe don't necessarily view putting at all on the consumer. Maybe stepping back a little bit and realizing that, hey, they've got a good thing going and even if we take a little bit of short-term pain in this price increase, it can still ultimately work out in favor in the long run. Frankel: I feel like the retailers really won that part of the game. Costco, Target, the big-box retailers, really won that battle, I guess you'd say. Which is really contributing to why the restaurants are having such trouble right now. Costco's minimum wage, right by me, I don't know what it is, but it is an even higher cost area, in Columbia, South Carolina at $17, Target at $15. The restaurant minimum wage here is still $2.13 an hour plus tips. I come from the restaurant industry. I ran a restaurant for several years in a previous lifetime, but it's not an easy job to work at a restaurant. These workers are saying, I can go work at Costco and make $17 an hour, what am I going to do with $2.13 plus tips? Moser: Well, you also remember that the tip environment is certainly far different than it used to be. That word "tip" used to mean something much different than it means today. Frankel: It used to be you left with cash every day. That's not the case anymore. Moser: Yeah. But I mean, the way we order our food even now, whether we go to a restaurant or have it delivered, tips are a little bit of a different thing now than they were just several years ago. Frankel: Like I said, the big-box retailers really just won the race by paying fair wages I guess you'd say. I wouldn't say one. It's not over yet. Walmart I think is still not at $15. But have done such a better job of making their starting pay much higher than minimum wage. Moser: Yeah. We had on Twitter here earlier today, and I think this guy must have been channeling what you and I were talking about as far as the show, because Gus Pendergrass, on Twitter, asked us a question for today's show, will the rising cost of homes and autos end up being good for banking stocks? Higher loan amounts and increasing length of loans. I think you and I had this discussion to an extent, I believe it was last week, but you do see in these types of times with home prices on the rise, automobile prices on the rise, ultimately, that kind of stuff, interest rates on the way up, that is good for banks. Frankel: On the home side, absolutely. Not just because they're going to see higher mortgage amounts; it's because the existing homeowners have so much more equity in their home right now to borrow against. I read that home equity in the United States is up by $2 trillion this year alone. Moser: It's a lot. Frankel: That's money that people can borrow against. If you refinance, you could borrow and take some of that money out. That's where you really get to see the banks making bigger and bigger loans. It's not necessarily the purchase market, right now home inventories are very low despite the rise in prices. It doesn't really matter if prices are up by 20% if inventory is 50% lower than it normally is. That's not a good thing for banks. Where it's good is people who are holding onto their houses and have appreciated in value, and now can use that money to borrow against. I've mentioned the supply chain disruptions. If auto prices are going through the roof but you can't get a car, it doesn't really matter how much they cost the banks; they're not doing a loan on a car that isn't on the lot. Wells Fargo is one of the biggest new car lenders. If new car dealerships don't have inventory, it doesn't matter what the price is, and how much demand has driven up the price, if there is no inventory, then they're not making loans. I think the refinancing thing is really what's the big news for banks right here. Moser: That makes sense. It was just very interesting too to see recently JP Morgan CEO Jamie Dimon talking about his belief that inflation to a degree may be more than transitory. He said the bank is hoarding cash, because he believes there's going to be an opportunity to take advantage of that here soon. Frankel: He said JP Morgan has $500 billion of cash on its balance sheet. I didn't just misspeak, $500 billion. That's not cash that they can spend, just to be clear. When we say that a bank has cash on its balance sheet, it's different from saying Apple has cash. But this is cash that they could loan, this is cash that they can invest in, treasury bonds, or something to that effect, or treasury notes, or the short-term. They don't want to right now, because they think rates are low and they're going to go up. They think the Fed is going to be forced to raise rates. The big news out of the Fed meeting was that it was originally projected, the last time the Fed made their projections, they weren't going to start raising rates till after 2023. First, rate hikes would be in 2024 rather. The latest projections that just came out said now we're calling for two rate hikes in 2023. The market consensus, based on the futures market, is that they are going to have to hike rates in 2022, a year earlier than even they think, and there are going to be at least four rate increases by 2023. The expectations keep getting higher and higher for interest rate increases. If inflation stays where it is now, they're going to get even more. Jamie Dimon is saying that as these rates rise, there are going to be exponentially better places for them to put that cash than there are right now. That's a bold projection. He could be wrong. Moser: He could be. But I feel like it seems like a reasonable bet. Frankel: I don't think he's being unreasonable, and I could see other banks following him into this. But they are definitely stockpiling some cash right now. If consumer demand goes through the roof, let's say the automakers get their act together and get the supply chain things worked out, now all of a sudden there's a ton of new cars to buy, people are going to need loans. Let's say that people decide to sell their house in large numbers in June and July, which historically the summer is the selling season. Moser: Yeah, it is. Frankel: It could be wise not just for investment purposes and treasuries and stuff, but just for consumer demand reasons, it could be a good idea to keep some cash on the sidelines. Moser: It feels like at least with this automobile supply chain issue, there have been all sorts of reasons for this, there's the pandemic, there are physical issues in regard to barriers, blockades, ways to actually physically move things from point A to point B. But then we've also been talking a lot about the semiconductor shortage, it's clearly something that's still playing out right now. Most of these companies that really run this space, the biggest names in the space, see that pressure abating a little bit here in the back half of 2021, but until it happens, it hasn't happened, and clearly that's been a big cause of the automobile shortage, cars are just rolling computers now. We've seen that semiconductor shortage just play out in all sorts of different markets. It's been a little bit of an issue. But again, that goes back to that, well, it's not a permanent thing. It doesn't look like it's something that should be permanent, therefore if we can see at least a little bit of easing on that front, that might help the cause. Frankel: I'm not saying that's the automakers' fault, but it's definitely a disruption, and as these supply chain disruptions get worked out, the supply starts to normalize, not just in the auto industry, but like you said, a bunch of industries that are being affected, we could see even more pent-up demand. We're seeing consumers spending up 20% from pre-pandemic levels right now, and that's with all these supply chain disruptions going on. Moser: We talked about that last week with Bank of America, and Brian Moynihan recent comments. Frankel: It's an interesting time. Moser: Indeed. Well, before we take off, Matt, we've got some stocks for our listeners to keep their eyes on this week. What is a stock that you'll be watching this week? Frankel: General Motors. Moser: Speaking of autos. Frankel: I've mentioned that a few times. I think you're going to see a lot of consumer demand when the supply chain issues get worked out that are going on right now. They recently upped their investment spending plan in electric vehicles, from I think $27 to $35 billion by 2025. They are spending heavily on EVs. They're partnering for hydrogen fuel cell technology, things like that. I think they are not only one of the most underappreciated opportunities in electric vehicles, but in the entire stock market. I think GM has 10X potential over the next decade. They're not only going after the passenger market, they're going after delivery, they're going after air transport, they're going after commercial vehicles. They're trying to just go into everything and they're willing to spend the money to do it right. They have the know-how. Their crew subsidiary itself could be worth more than GM is worth today. They see the autonomous transportation industry as a $7 trillion opportunity, when you talk about an automated version of Uber that they could eventually make, or something to that effect. I think that's one of the most overlooked stocks in the market. I am heavily invested in GM, and people give me a hard time about that, because it's seen as a legacy company. It's seen as a boring automaker. But I think in a decade you're going to look back and say that it was not so boring. Moser: Sometimes you gotta be able to get over that legacy opinion because, well, not all companies are able to make that pivot, some are. You've got to make sure to follow that. I'm sure every listener just heard GM and 10X and did a double-take, but we'll definitely be keeping an eye on that one. That's a good one. Sometimes you gotta get out there. Sometimes you gotta put yourself out there, Matt. You're doing that. I love it. I'm going to keep an eye on Nike this week talking about companies with pricing power, companies that could be impacted by inflation or supply chain concerns. Everybody knows what Nike is. They've got earnings coming out on Thursday, after the market closes. They've had a really good last 12 months given everything that's going on, it basically matched the market over the last 12 months. But year-to-date, the stock is down almost 10%, and that could be because it was a company that recovered a little bit earlier from the pandemic concerns. But given everything that we've talked about on today's show with inflation, with supply chain constraints, I'm just going to be interested to hear management's take on those concerns on Thursday during theearnings call So I'll be keeping an eye on Nike and earnings on Thursday. But Matt, I think that is going to do it for us this week. Thanks so much for taking the time to join. Remember, folks, you can always reach out to us on Twitter @MFIndustryFocus, or you can drop us an email at industryfocus@fool.com. As always, people on the program may have interest in the stocks they talk about, and The Motley Fool may have formal recommendations for or against, so don't buy or sell stocks based solely on what you hear. Thanks as always to Tim Sparks for putting the show together for us, for Matt Frankel, and I'm Jason Moser. Thanks for listening, and we'll see you next week. Bank of America is an advertising partner of The Ascent, a Motley Fool company. Wells Fargo is an advertising partner of The Ascent, a Motley Fool company. JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. Jason Moser owns shares of Apple, Nike, and Walt Disney. Matthew Frankel, CFP owns shares of Apple, Bank of America, General Motors, Pershing Square Tontine Holdings, Ltd., Walt Disney, and Wells Fargo and is short shares of Apple. The Motley Fool owns shares of and recommends Apple, Nike, Spotify Technology, and Walt Disney. The Motley Fool recommends Domino's Pizza and recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Billionaire investor Bill Ackman recently announced that the megadeal is now official in which special-purpose acquisition company (SPAC) Pershing Square Tontine Holdings (NYSE: PSTH) is acquiring 10% of Universal Music. This SPARC will have up to $10.6 billion, which is a lot more than Pershing Square Tontine had even, to pursue a mega-acquisition, and they have a 10 year time frame, which is a big competitive advantage over a SPAC. If consumer demand goes through the roof, let's say the automakers get their act together and get the supply chain things worked out, now all of a sudden there's a ton of new cars to buy, people are going to need loans.
Matthew Frankel, CFP owns shares of Apple, Bank of America, General Motors, Pershing Square Tontine Holdings, Ltd., Walt Disney, and Wells Fargo and is short shares of Apple. The Motley Fool owns shares of and recommends Apple, Nike, Spotify Technology, and Walt Disney. The Motley Fool recommends Domino's Pizza and recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple.
In this week's Industry Focus: Financials, Matt Frankel and Jason Moser break down the inflation numbers, what's causing it, and how it could affect your investments. If auto prices are going through the roof but you can't get a car, it doesn't really matter how much they cost the banks; they're not doing a loan on a car that isn't on the lot. If new car dealerships don't have inventory, it doesn't matter what the price is, and how much demand has driven up the price, if there is no inventory, then they're not making loans.
What should investors make of all of this inflation talk and how are the banks, how is the Fed, how are they dealing with it all? Moser: No, I don't. Moser: It's the same thing with the inflated home value.
4381.0
2021-06-28 00:00:00 UTC
Why American Airlines Stock Is Down Today
AAL
https://www.nasdaq.com/articles/why-american-airlines-stock-is-down-today-2021-06-28
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What happened International-focused airlines were under pressure on Monday due to new restrictions imposed by countries trying to fight the Delta variant of the coronavirus. Shares of American Airlines Group (NASDAQ: AAL) led the decline, down as much as 5% in midday trading. So what After a miserable 2020, airlines have rebounded nicely so far this year as vaccines have gained traction and travelers have returned to the skies. But for the most part, it has been a domestic recovery, and more-lucrative international travel remains muted. Image source: American Airlines. Fresh developments in fighting the pandemic suggest we will not see a return of robust international travel anytime soon. Parts of Australia have begun a two-week lockdown as cases of the so-called Delta variant of the virus have increased, and in Europe a number of countries are taking steps to limit international travel in response to the threat. In good times, full-service airlines including American, United Airlines Holdings (NASDAQ: UAL), and Delta Air Lines (NYSE: DAL) generate a significant portion of their profits from international travel. And even as progress is made in the U.S., the industry is going to suffer some until there is again unfettered travel around the globe. Now what The new virus threats are compounding an already murky future for the airlines, with American and others also facing pilot shortages and other staffing issues. These big companies tried to be conservative last year when cutting personnel in response to the outbreak, but are now struggling to adequately staff a recovery. Shares of American have doubled from spring 2020 lows, and it does seem clear that the worst is now over for an industry hard hit by the pandemic. But the news flow Monday is a reminder that it isn't all clear skies ahead, and that there is likely a limit to how high these shares can fly in the near term. The stocks are selling off as a result. 10 stocks we like better than American Airlines Group When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and American Airlines Group wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Lou Whiteman owns shares of Delta Air Lines. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Shares of American Airlines Group (NASDAQ: AAL) led the decline, down as much as 5% in midday trading. What happened International-focused airlines were under pressure on Monday due to new restrictions imposed by countries trying to fight the Delta variant of the coronavirus. Parts of Australia have begun a two-week lockdown as cases of the so-called Delta variant of the virus have increased, and in Europe a number of countries are taking steps to limit international travel in response to the threat.
Shares of American Airlines Group (NASDAQ: AAL) led the decline, down as much as 5% in midday trading. In good times, full-service airlines including American, United Airlines Holdings (NASDAQ: UAL), and Delta Air Lines (NYSE: DAL) generate a significant portion of their profits from international travel. The Motley Fool recommends Delta Air Lines.
Shares of American Airlines Group (NASDAQ: AAL) led the decline, down as much as 5% in midday trading. In good times, full-service airlines including American, United Airlines Holdings (NASDAQ: UAL), and Delta Air Lines (NYSE: DAL) generate a significant portion of their profits from international travel. 10 stocks we like better than American Airlines Group When our award-winning analyst team has a stock tip, it can pay to listen.
Shares of American Airlines Group (NASDAQ: AAL) led the decline, down as much as 5% in midday trading. Parts of Australia have begun a two-week lockdown as cases of the so-called Delta variant of the virus have increased, and in Europe a number of countries are taking steps to limit international travel in response to the threat. 10 stocks we like better than American Airlines Group When our award-winning analyst team has a stock tip, it can pay to listen.
4382.0
2021-06-28 00:00:00 UTC
ANALYSIS-Canadian aero suppliers face labor crunch as travel rebounds
AAL
https://www.nasdaq.com/articles/analysis-canadian-aero-suppliers-face-labor-crunch-as-travel-rebounds-2021-06-28
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By Allison Lampert MONTREAL, June 28 (Reuters) - Canadian aerospace firms are struggling to hire back workers to meet resurgent travel demand in the latest evidence of a post-pandemic labor crunch, industry executives said. The squeeze has emerged as a warning signal for aviation's recovery internationally and accelerates a shift in the workforce toward fast-growth sectors like electric vehicles, they said. As suppliers in the aerospace-making hub of Quebec return to hiring mode, several interviewed by Reuters said they feared the exodus of talent could get more acute with an aging workforce and some training programs facing lower enrollment. "Some companies are growing faster, others slower. But everyone is looking for workers," said Suzanne Benoit, president of Quebec aerospace trade group Aéro Montreal. Canada's flagship business-jet maker Bombardier BBDb.TO is experiencing a "competitive job market" as it goes back to recruiting, a spokeswoman said. Aerospace joins a list of sectors facing challenges to adjust to the sudden revving up of the North American economy. In the United States, statistics showing lower employment in manufacturing have raised concerns about supply constraints. And in Canada, where lockdowns stayed in place longer, economists are predicting a rush of hiring in June . Demand could push wages up for workers in popular categories like machinists, although some suppliers are also recruiting skilled immigrants from Mexico, Tunisia and Morocco. Montreal, the world's third-largest aerospace center, fears a delay in its economic recovery if jobs can't be filled. "The risk … is that we won’t have enough workers to carry out contracts so we will have to refuse contracts," Benoit said. Nancy Venneman, president of engineering firm Altitude Aerospace Canada, said pressure could pile up further in the fall when customer projects likeproduct upgrades and aircraft modifications delayed by the pandemic return. Aerospace was one of the world industries worst-hit by the pandemic as traffic plummeted in 2020, grounding fleets. But it has set ambitious plans to restore output in coming years. Some suppliers for Europe's Airbus AIR.PA have warned they may struggle to meet production goals . Boeing BA.N has warned of supply constraints after a “more robust” recovery than expected. And this week, American Airlines AAL.O canceled 1% of its July flights amid a labor shortage at some hubs. Aerospace and defense companies announced 115,089 job cuts for the U.S. market from March 2020 to May 2021, compared with 18,337 announced in 2018 and 2019 combined, according to global outplacement firm Challenger, Gray & Christmas. SECTOR COMPETITION Mario Sévigny, co-founder of MSB Group, which produces components for private jetmakers like Bombardier and General Dynamics Corp's GD.N Gulfstream, said it would take six to nine months to meet a potential production increase due to scarce labor. While a Canadian program protected some jobs by defraying part of workers' salaries, it didn't cover the entire amount which led to layoffs. Some local employers like a unit of Airbus criticized the level of support from Ottawa. The Aerospace Industries Association of Canada (AIAC), which accounts for over 95% of aerospace activity in Canada, said more than half its members had to lay off employees. Aerospace is, meanwhile, competing for young workers with fast-rising industries like electric transport. The average age of an aerospace manufacturing worker in Canada is 54, according to AIAC. The École nationale d'aérotechnique, Quebec's largest aeronautics college which offers training in fields like aviation maintenance, said registrations in its three-year programs aimed largely at recent high school graduates dropped 20% for the fall 2021 session. While aerospace has faced previous crises, the duration of COVID-19's impact has driven workers elsewhere, Benoit said. Some went to transport companies that make electric buses, like fast-growing Lion Electric Co LEV.TO and Nova Bus, a division of Sweden's Volvo Group VOLVb.ST. Hugue Meloche, chief executive of components maker Meloche Group which supplies the locally-produced Airbus A220 jet, needs to hire about 70 people a year over five years. "We are losing a lot of workers who are going to other sectors that weren't affected by the pandemic," he said. (Reporting By Allison Lampert in Montreal Editing by Nick Zieminski) ((Allison.Lampert@thomsonreuters.com; 514-796-4212; Reuters Messaging: allison.lampert.reuters.com@reuters.net)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
And this week, American Airlines AAL.O canceled 1% of its July flights amid a labor shortage at some hubs. By Allison Lampert MONTREAL, June 28 (Reuters) - Canadian aerospace firms are struggling to hire back workers to meet resurgent travel demand in the latest evidence of a post-pandemic labor crunch, industry executives said. Mario Sévigny, co-founder of MSB Group, which produces components for private jetmakers like Bombardier and General Dynamics Corp's GD.N Gulfstream, said it would take six to nine months to meet a potential production increase due to scarce labor.
And this week, American Airlines AAL.O canceled 1% of its July flights amid a labor shortage at some hubs. By Allison Lampert MONTREAL, June 28 (Reuters) - Canadian aerospace firms are struggling to hire back workers to meet resurgent travel demand in the latest evidence of a post-pandemic labor crunch, industry executives said. As suppliers in the aerospace-making hub of Quebec return to hiring mode, several interviewed by Reuters said they feared the exodus of talent could get more acute with an aging workforce and some training programs facing lower enrollment.
And this week, American Airlines AAL.O canceled 1% of its July flights amid a labor shortage at some hubs. By Allison Lampert MONTREAL, June 28 (Reuters) - Canadian aerospace firms are struggling to hire back workers to meet resurgent travel demand in the latest evidence of a post-pandemic labor crunch, industry executives said. But everyone is looking for workers," said Suzanne Benoit, president of Quebec aerospace trade group Aéro Montreal.
And this week, American Airlines AAL.O canceled 1% of its July flights amid a labor shortage at some hubs. By Allison Lampert MONTREAL, June 28 (Reuters) - Canadian aerospace firms are struggling to hire back workers to meet resurgent travel demand in the latest evidence of a post-pandemic labor crunch, industry executives said. But everyone is looking for workers," said Suzanne Benoit, president of Quebec aerospace trade group Aéro Montreal.
4383.0
2021-06-28 00:00:00 UTC
Glencore to buy out BHP, Anglo in Colombian coal mine
AAL
https://www.nasdaq.com/articles/glencore-to-buy-out-bhp-anglo-in-colombian-coal-mine-2021-06-28
nan
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Updates with background, details LONDON, June 28 (Reuters) - Diversified miner Glencore GLEN.L has agreed to buy out the stakes in Colombia's thermal coal mine Cerrejon held by its partners BHP BHP.LBHP.AX and Anglo American AAL.L. Glencore, which said it expects to pay $230 million for the stakes when the deal completes in the first half of 2022, sees production volumes at the mine declining materially by 2030. Mining companies have been reviewing their ownership of thermal coal assets as they transition out of the most polluting fossil fuels amid growing climate concerns and a shift towards sustainable investing. Glencore, which plans to become a net-zero emission company by 2050, has set a goal of managing the depletion of its coal mines by the mid-2040s, rather than selling them, and said owning 100% of Cerrejon would not compromise its climate commitments. "The disposal of Glencore's current stake in the mine would not be consistent with our stated commitment to a responsible managed decline of our coal portfolio, nor would it result in a genuine reduction of absolute greenhouse gas emissions," it said in a statement on Monday. Glencore wants to increase its medium-term absolute total emissions reduction target to 50% from 40% by 2035 compared to 2019 levels and said it will introduce a new short-term reduction target of 15% by 2026. The world's largest listed miner BHP Group is also looking to offload its coal assets in Australia, while Anglo spun off its coal portfolio in South Africa earlier this month. Cerrejon is an integrated mining and transportation complex in Colombia's La Guajira province, in the northeastern part of the country, which includes an open-pit mine, a 150-km (93-mile) railway line and a Caribbean port. Its current mining concessions are due to expire in 2034. Glencore's share price was down 0.7% by 0719 GMT, in line with the rest of the mining sector. (Reporting by Clara Denina, editing by Louise Heavens, Kirsten Donovan) ((Clara.Denina@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Updates with background, details LONDON, June 28 (Reuters) - Diversified miner Glencore GLEN.L has agreed to buy out the stakes in Colombia's thermal coal mine Cerrejon held by its partners BHP BHP.LBHP.AX and Anglo American AAL.L. Mining companies have been reviewing their ownership of thermal coal assets as they transition out of the most polluting fossil fuels amid growing climate concerns and a shift towards sustainable investing. "The disposal of Glencore's current stake in the mine would not be consistent with our stated commitment to a responsible managed decline of our coal portfolio, nor would it result in a genuine reduction of absolute greenhouse gas emissions," it said in a statement on Monday.
Updates with background, details LONDON, June 28 (Reuters) - Diversified miner Glencore GLEN.L has agreed to buy out the stakes in Colombia's thermal coal mine Cerrejon held by its partners BHP BHP.LBHP.AX and Anglo American AAL.L. Mining companies have been reviewing their ownership of thermal coal assets as they transition out of the most polluting fossil fuels amid growing climate concerns and a shift towards sustainable investing. Glencore wants to increase its medium-term absolute total emissions reduction target to 50% from 40% by 2035 compared to 2019 levels and said it will introduce a new short-term reduction target of 15% by 2026.
Updates with background, details LONDON, June 28 (Reuters) - Diversified miner Glencore GLEN.L has agreed to buy out the stakes in Colombia's thermal coal mine Cerrejon held by its partners BHP BHP.LBHP.AX and Anglo American AAL.L. Glencore, which plans to become a net-zero emission company by 2050, has set a goal of managing the depletion of its coal mines by the mid-2040s, rather than selling them, and said owning 100% of Cerrejon would not compromise its climate commitments. "The disposal of Glencore's current stake in the mine would not be consistent with our stated commitment to a responsible managed decline of our coal portfolio, nor would it result in a genuine reduction of absolute greenhouse gas emissions," it said in a statement on Monday.
Updates with background, details LONDON, June 28 (Reuters) - Diversified miner Glencore GLEN.L has agreed to buy out the stakes in Colombia's thermal coal mine Cerrejon held by its partners BHP BHP.LBHP.AX and Anglo American AAL.L. Glencore, which plans to become a net-zero emission company by 2050, has set a goal of managing the depletion of its coal mines by the mid-2040s, rather than selling them, and said owning 100% of Cerrejon would not compromise its climate commitments. "The disposal of Glencore's current stake in the mine would not be consistent with our stated commitment to a responsible managed decline of our coal portfolio, nor would it result in a genuine reduction of absolute greenhouse gas emissions," it said in a statement on Monday.
4384.0
2021-06-28 00:00:00 UTC
Glencore to buy out JV partners BHP, Anglo in Colombian coal mine
AAL
https://www.nasdaq.com/articles/glencore-to-buy-out-jv-partners-bhp-anglo-in-colombian-coal-mine-2021-06-28
nan
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LONDON, June 28 (Reuters) - Diversified miner Glencore GLEN.L said on Monday it has agreed to buy out its partners' stakes in Colombia's thermal coal mine Cerrejon from BHP BHP.LBHP.AX and Anglo American AAL.L. Glencore, which is expected to pay an aggregate price of $588 million for the deal and a final one of $230 million, sees production volumes at the mine decline materially by 2030. Thermal coal miners have been struggling to find investor favour amid growing climate concerns and a shift towards sustainable investing, with global mining giants offloading such assets as they transition out of the most polluting fossil fuels. Glencore said it has reviewed the impact of owning 100% of Cerrejón and expects its climate commitments will not be compromised by the partner buy-out. (Reporting by Clara Denina, editing by Louise Heavens) ((Clara.Denina@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
LONDON, June 28 (Reuters) - Diversified miner Glencore GLEN.L said on Monday it has agreed to buy out its partners' stakes in Colombia's thermal coal mine Cerrejon from BHP BHP.LBHP.AX and Anglo American AAL.L. Thermal coal miners have been struggling to find investor favour amid growing climate concerns and a shift towards sustainable investing, with global mining giants offloading such assets as they transition out of the most polluting fossil fuels. Glencore said it has reviewed the impact of owning 100% of Cerrejón and expects its climate commitments will not be compromised by the partner buy-out.
LONDON, June 28 (Reuters) - Diversified miner Glencore GLEN.L said on Monday it has agreed to buy out its partners' stakes in Colombia's thermal coal mine Cerrejon from BHP BHP.LBHP.AX and Anglo American AAL.L. Thermal coal miners have been struggling to find investor favour amid growing climate concerns and a shift towards sustainable investing, with global mining giants offloading such assets as they transition out of the most polluting fossil fuels. Glencore said it has reviewed the impact of owning 100% of Cerrejón and expects its climate commitments will not be compromised by the partner buy-out.
LONDON, June 28 (Reuters) - Diversified miner Glencore GLEN.L said on Monday it has agreed to buy out its partners' stakes in Colombia's thermal coal mine Cerrejon from BHP BHP.LBHP.AX and Anglo American AAL.L. Thermal coal miners have been struggling to find investor favour amid growing climate concerns and a shift towards sustainable investing, with global mining giants offloading such assets as they transition out of the most polluting fossil fuels. (Reporting by Clara Denina, editing by Louise Heavens) ((Clara.Denina@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
LONDON, June 28 (Reuters) - Diversified miner Glencore GLEN.L said on Monday it has agreed to buy out its partners' stakes in Colombia's thermal coal mine Cerrejon from BHP BHP.LBHP.AX and Anglo American AAL.L. Glencore, which is expected to pay an aggregate price of $588 million for the deal and a final one of $230 million, sees production volumes at the mine decline materially by 2030. Thermal coal miners have been struggling to find investor favour amid growing climate concerns and a shift towards sustainable investing, with global mining giants offloading such assets as they transition out of the most polluting fossil fuels.
4385.0
2021-06-27 00:00:00 UTC
A Massive Pilot Shortage Is Coming: What It Means for Airlines
AAL
https://www.nasdaq.com/articles/a-massive-pilot-shortage-is-coming%3A-what-it-means-for-airlines-2021-06-27
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Less than a year ago, many U.S. airlines were offering pilots generous early retirement packages, as they maneuvered to stretch their payroll support funds as far as possible. Since then, air travel demand has come roaring back, particularly in the domestic leisure market. In recent days, passenger throughput at TSA checkpoints has averaged 75% of 2019 levels -- and the summer peak season is just getting under way. As a result, the U.S. airline industry could soon face a huge pilot shortage. Here's how it could affect top airlines like American Airlines (NASDAQ: AAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and United Airlines (NASDAQ: UAL). A decade marked by mandatory retirements Airlines were struggling to hire pilots fast enough before the pandemic struck. The U.S. enforces a mandatory retirement age of 65 for commercial airline pilots. Due to demographic factors and the history of the U.S. airline industry's growth, a huge number of pilots will turn 65 during the 2020s. That means the industry needs to recruit lots of new pilots even before making any allowances for growth. A 2017 report by analysts at Cowen estimated that mandatory pilot retirements at the top five U.S. airlines combined would surge from 1,266 in 2017 to 2,397 by 2021, finally peaking at 2,641 in 2025. Image source: Getty Images. Including other airlines, U.S. mandatory pilot retirements could exceed 3,000 annually in the mid-2020s. Moreover, the pace of retirements will remain elevated into the 2030s. Replacing all of these retiring pilots won't be easy. The U.S. military is training far fewer pilots than it did a few decades ago, and training privately to become a commercial airline pilot is a long and expensive process. The pilot shortage fades and comes roaring back The COVID-19 pandemic abruptly changed the supply and demand balance for airline pilots. Airlines dramatically slashed capacity last year, driving a corresponding reduction in their need for pilots. Many offered generous early retirement packages to reduce their labor costs. More than 1,800 Delta Air Lines pilots accepted these offers, along with hundreds of pilots each at American, United, and Southwest. In effect, last year's early retirement programs accelerated some of the mandatory retirements that would have happened over the next five years. That will make the near-term pilot shortage worse, as U.S. airlines could surpass pre-pandemic capacity levels by the summer of 2023 (if not earlier). Airlines' fleet upgrades are exacerbating the problem, as many of their current pilots need to be retrained. Image source: American Airlines. Indeed, Delta recently announced that it intends to hire more than 1,000 pilots before next summer as it looks to replace those who retired last year. Many other airlines are returning to hiring mode, too. Making matters worse, airlines stopped recruiting new pilots during the pandemic. Moreover, the industry's deep downturn last year may have scared away some aspiring pilots, thinning out the pipeline of future pilots. As a result, there could be a shortage of more than 12,000 commercial airline pilots in North America by 2023, according to consultants at Oliver Wyman. Two potential victims The pilot shortage won't hit all airlines equally. Regional airlines pay much less than mainline carriers. That makes it harder for them to recruit new pilots, while their existing pilot ranks are routinely poached by higher-paying major airlines. A pilot crunch at regional airlines would, in turn, hit network carriers that rely heavily on regional partners to serve smaller communities. Thus, Southwest Airlines has nothing to worry about. A fourth-year first officer at Southwest is already making $150 per hour, far above what the most experienced regional airline captains earn. That ensures that the low-fare airline will get plenty of applications to fill available pilot positions. Delta Air Lines is also comparatively immune. Prior to the pandemic, its regional fleet numbered 442 aircraft, including 117 50-seat jets that will be fully retired by the end of 2023. The 325 regional jets that will remain in its fleet by 2024 are all two-class aircraft that generate enough revenue to cover higher wages for regional airline pilots. Image source: Delta Air Lines. By contrast, United Airlines ended 2019 with 326 50-seat jets in its fleet. As the pilot shortage worsens, it will become increasingly difficult to operate these aircraft profitably. However, whereas Delta has had great success funneling traffic from smaller markets through its megahub in Atlanta on small mainline jets, United's hubs tend to be smaller, making such a strategy harder to pull off. As a result, United Airlines could struggle to adapt if its low-paying regional airline affiliates run short on pilots. American Airlines has a different challenge. On the one hand, two-class jets represent the bulk of its regional flying. On the other hand, it has a lot of them: over 400 at the end of 2020. So while its regional operations may be more sustainable than United's current setup, American Airlines has the biggest exposure to regional flying -- and, by extension, the looming pilot shortage -- of any airline. 10 stocks we like better than American Airlines Group When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and American Airlines Group wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Adam Levine-Weinberg owns shares of Delta Air Lines. The Motley Fool recommends Delta Air Lines and Southwest Airlines. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Here's how it could affect top airlines like American Airlines (NASDAQ: AAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and United Airlines (NASDAQ: UAL). Less than a year ago, many U.S. airlines were offering pilots generous early retirement packages, as they maneuvered to stretch their payroll support funds as far as possible. A 2017 report by analysts at Cowen estimated that mandatory pilot retirements at the top five U.S. airlines combined would surge from 1,266 in 2017 to 2,397 by 2021, finally peaking at 2,641 in 2025.
Here's how it could affect top airlines like American Airlines (NASDAQ: AAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and United Airlines (NASDAQ: UAL). Less than a year ago, many U.S. airlines were offering pilots generous early retirement packages, as they maneuvered to stretch their payroll support funds as far as possible. Prior to the pandemic, its regional fleet numbered 442 aircraft, including 117 50-seat jets that will be fully retired by the end of 2023.
Here's how it could affect top airlines like American Airlines (NASDAQ: AAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and United Airlines (NASDAQ: UAL). As a result, United Airlines could struggle to adapt if its low-paying regional airline affiliates run short on pilots. So while its regional operations may be more sustainable than United's current setup, American Airlines has the biggest exposure to regional flying -- and, by extension, the looming pilot shortage -- of any airline.
Here's how it could affect top airlines like American Airlines (NASDAQ: AAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and United Airlines (NASDAQ: UAL). More than 1,800 Delta Air Lines pilots accepted these offers, along with hundreds of pilots each at American, United, and Southwest. In effect, last year's early retirement programs accelerated some of the mandatory retirements that would have happened over the next five years.
4386.0
2021-06-25 00:00:00 UTC
Trade AAL Shares While the Experts Are in a Holding Pattern
AAL
https://www.nasdaq.com/articles/trade-aal-shares-while-the-experts-are-in-a-holding-pattern-2021-06-25
nan
nan
InvestorPlace - Stock Market News, Stock Advice & Trading Tips In the past year we’ve had a few ah-ha moments. One of them involves challenging the traditional methods of investing. Experts for ages preached owning stocks, not trading them. Now everyone is a trader as the new breed settles in. Today, the goal is to share a trading opportunity for American Airlines (NASDAQ:AAL) stock. We do this while we also describe the long-term opportunity in details. AAL) airplane waiting on the tarmac. Represents airline stocks." width="300" height="169"> Source: GagliardiPhotography / Shutterstock.com The reopening process is going well in the United States. Those who want the vaccine got it, and there’s plenty more for the rest. I even dined indoors at a restaurant this week in southern California. This hasn’t happened in more than a year. The economic reports suggest that the U.S. is booming from last year’s base. This is a knife that cuts both ways, because it will bring about the end of QE faster. The airlines, on the other hand, are struggling on many fronts. Even though travel traffic exploded relative to 2020, it is still 30% below 2019. There’s a lot more to recover before they can call it business as usual. 10 Best Stocks to Buy to Build Up Passive Income Streams In addition, American airlines reported difficulties finding labor. My wife flew this airline six times in the last two months. Every leg was late, canceled or half empty. I’m not certain we know the whole story behind closed doors. One thing is for sure, business is definitely not as usual. AAL Stock Upside Opportunity Source: Chart by TradingView This is a problem now, but it’s the opportunity later. Most often when there’s room for improvement, there is upside potential in the equity. AAL stock is at the bottom end of a broad consolidation period. It spiked 40% in January, most likely in sympathy to the shenanigans on Reddit. Since then, the bulls and bears have been fighting it out in a clear sideways channel. There is an effort this week to stabilize and build a base at $22 per share. This is important because it’s exactly the January high when it failed miserably. This clearly is a pivotal zone and it should provide support on the way down. Investors who are seeking a swing trade have $5 of potential upside. However, if the goal is not to hold it for a long time, it’s best to set a stop loss level below $21. Technically, losing that would trigger a bearish pattern and invite more sellers. The next level of support is strong but $2 lower. The Long and the Short Long term, it is a viable thesis to expect more upside than downside in AAL stock. I personally would prefer not to engage in a full size investment because of extrinsic factors. The indices are breaking records again even when we know that the end of QE is closer now. The Federal Reserve rhetoric clearly changed. They are no longer unanimous in wanting to ignore inflation. Almost all of them now acknowledge it, yet so far, the official word is that it’s transient. I worry that they are wrong and then the stock market will have a tizzy if I’m correct. To be cautious, I would delay taking a full-size position now. For a long-term entry, there’s no harm of waiting out a few ticks. I called it a buy from lower levels, so I am being fair and consistent with my opinion. I even marked $23 as a resistance zone on the chart back then in early February. If the swing trade unfolds, I expect resistance going into $24 per share. The biggest catalyst will come if the bulls are able to exceed $26 per share. That’s 16% higher than current price, but it would make for one fantastic trigger. The upside of that pattern could bring it back above the pandemic accident scene. The recovery process is going well, but the business operation of AAL stock is not. Fans should acknowledge that and infuse a bit of doubt in their bullish thesis. We have never had conditions like these before, so nobody’s an expert. We should all be more humble than usual with our conviction. If I absolutely must buy shares today then I would rather sell puts 25% lower. This way I don’t need a rally to win, and I have a huge buffer just in case. On the date of publication, Nicolas Chahine did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Nicolas Chahine is the managing director of SellSpreads.com. The post Trade AAL Shares While the Experts Are in a Holding Pattern appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Today, the goal is to share a trading opportunity for American Airlines (NASDAQ:AAL) stock. AAL) airplane waiting on the tarmac. AAL Stock Upside Opportunity Source: Chart by TradingView This is a problem now, but it’s the opportunity later.
Today, the goal is to share a trading opportunity for American Airlines (NASDAQ:AAL) stock. AAL Stock Upside Opportunity Source: Chart by TradingView This is a problem now, but it’s the opportunity later. AAL) airplane waiting on the tarmac.
Today, the goal is to share a trading opportunity for American Airlines (NASDAQ:AAL) stock. AAL Stock Upside Opportunity Source: Chart by TradingView This is a problem now, but it’s the opportunity later. AAL) airplane waiting on the tarmac.
Today, the goal is to share a trading opportunity for American Airlines (NASDAQ:AAL) stock. The post Trade AAL Shares While the Experts Are in a Holding Pattern appeared first on InvestorPlace. AAL) airplane waiting on the tarmac.
4387.0
2021-06-24 00:00:00 UTC
August 6th Options Now Available For American Airlines Group (AAL)
AAL
https://www.nasdaq.com/articles/august-6th-options-now-available-for-american-airlines-group-aal-2021-06-24
nan
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Investors in American Airlines Group Inc (Symbol: AAL) saw new options begin trading today, for the August 6th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAL options chain for the new August 6th contracts and identified one put and one call contract of particular interest. The put contract at the $20.00 strike price has a current bid of 34 cents. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $20.00, but will also collect the premium, putting the cost basis of the shares at $19.66 (before broker commissions). To an investor already interested in purchasing shares of AAL, that could represent an attractive alternative to paying $22.34/share today. Because the $20.00 strike represents an approximate 10% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 100%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 1.70% return on the cash commitment, or 14.43% annualized — at Stock Options Channel we call this the YieldBoost. Below is a chart showing the trailing twelve month trading history for American Airlines Group Inc, and highlighting in green where the $20.00 strike is located relative to that history: Turning to the calls side of the option chain, the call contract at the $23.00 strike price has a current bid of 67 cents. If an investor was to purchase shares of AAL stock at the current price level of $22.34/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $23.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 5.95% if the stock gets called away at the August 6th expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AAL shares really soar, which is why looking at the trailing twelve month trading history for American Airlines Group Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAL's trailing twelve month trading history, with the $23.00 strike highlighted in red: Considering the fact that the $23.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 3.00% boost of extra return to the investor, or 25.46% annualized, which we refer to as the YieldBoost. Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 252 trading day closing values as well as today's price of $22.34) to be 57%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com. Top YieldBoost Calls of the S&P 500 » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Of course, a lot of upside could potentially be left on the table if AAL shares really soar, which is why looking at the trailing twelve month trading history for American Airlines Group Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAL's trailing twelve month trading history, with the $23.00 strike highlighted in red: Considering the fact that the $23.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in American Airlines Group Inc (Symbol: AAL) saw new options begin trading today, for the August 6th expiration.
Below is a chart showing AAL's trailing twelve month trading history, with the $23.00 strike highlighted in red: Considering the fact that the $23.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in American Airlines Group Inc (Symbol: AAL) saw new options begin trading today, for the August 6th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAL options chain for the new August 6th contracts and identified one put and one call contract of particular interest.
Below is a chart showing AAL's trailing twelve month trading history, with the $23.00 strike highlighted in red: Considering the fact that the $23.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in American Airlines Group Inc (Symbol: AAL) saw new options begin trading today, for the August 6th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAL options chain for the new August 6th contracts and identified one put and one call contract of particular interest.
Below is a chart showing AAL's trailing twelve month trading history, with the $23.00 strike highlighted in red: Considering the fact that the $23.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in American Airlines Group Inc (Symbol: AAL) saw new options begin trading today, for the August 6th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAL options chain for the new August 6th contracts and identified one put and one call contract of particular interest.
4388.0
2021-06-24 00:00:00 UTC
Notable Thursday Option Activity: CLX, AAL, PAYC
AAL
https://www.nasdaq.com/articles/notable-thursday-option-activity%3A-clx-aal-payc-2021-06-24
nan
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Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in Clorox Co (Symbol: CLX), where a total of 6,451 contracts have traded so far, representing approximately 645,100 underlying shares. That amounts to about 49.1% of CLX's average daily trading volume over the past month of 1.3 million shares. Particularly high volume was seen for the $190 strike call option expiring July 16, 2021, with 2,436 contracts trading so far today, representing approximately 243,600 underlying shares of CLX. Below is a chart showing CLX's trailing twelve month trading history, with the $190 strike highlighted in orange: American Airlines Group Inc (Symbol: AAL) options are showing a volume of 133,601 contracts thus far today. That number of contracts represents approximately 13.4 million underlying shares, working out to a sizeable 47% of AAL's average daily trading volume over the past month, of 28.4 million shares. Especially high volume was seen for the $23.50 strike call option expiring June 25, 2021, with 11,127 contracts trading so far today, representing approximately 1.1 million underlying shares of AAL. Below is a chart showing AAL's trailing twelve month trading history, with the $23.50 strike highlighted in orange: And Paycom Software Inc (Symbol: PAYC) options are showing a volume of 1,576 contracts thus far today. That number of contracts represents approximately 157,600 underlying shares, working out to a sizeable 44.6% of PAYC's average daily trading volume over the past month, of 353,150 shares. Particularly high volume was seen for the $450 strike call option expiring January 21, 2022, with 279 contracts trading so far today, representing approximately 27,900 underlying shares of PAYC. Below is a chart showing PAYC's trailing twelve month trading history, with the $450 strike highlighted in orange: For the various different available expirations for CLX options, AAL options, or PAYC options, visit StockOptionsChannel.com. Today's Most Active Call & Put Options of the S&P 500 » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Especially high volume was seen for the $23.50 strike call option expiring June 25, 2021, with 11,127 contracts trading so far today, representing approximately 1.1 million underlying shares of AAL. Below is a chart showing CLX's trailing twelve month trading history, with the $190 strike highlighted in orange: American Airlines Group Inc (Symbol: AAL) options are showing a volume of 133,601 contracts thus far today. That number of contracts represents approximately 13.4 million underlying shares, working out to a sizeable 47% of AAL's average daily trading volume over the past month, of 28.4 million shares.
That number of contracts represents approximately 13.4 million underlying shares, working out to a sizeable 47% of AAL's average daily trading volume over the past month, of 28.4 million shares. Especially high volume was seen for the $23.50 strike call option expiring June 25, 2021, with 11,127 contracts trading so far today, representing approximately 1.1 million underlying shares of AAL. Below is a chart showing CLX's trailing twelve month trading history, with the $190 strike highlighted in orange: American Airlines Group Inc (Symbol: AAL) options are showing a volume of 133,601 contracts thus far today.
Especially high volume was seen for the $23.50 strike call option expiring June 25, 2021, with 11,127 contracts trading so far today, representing approximately 1.1 million underlying shares of AAL. Below is a chart showing CLX's trailing twelve month trading history, with the $190 strike highlighted in orange: American Airlines Group Inc (Symbol: AAL) options are showing a volume of 133,601 contracts thus far today. That number of contracts represents approximately 13.4 million underlying shares, working out to a sizeable 47% of AAL's average daily trading volume over the past month, of 28.4 million shares.
Especially high volume was seen for the $23.50 strike call option expiring June 25, 2021, with 11,127 contracts trading so far today, representing approximately 1.1 million underlying shares of AAL. Below is a chart showing PAYC's trailing twelve month trading history, with the $450 strike highlighted in orange: For the various different available expirations for CLX options, AAL options, or PAYC options, visit StockOptionsChannel.com. Below is a chart showing CLX's trailing twelve month trading history, with the $190 strike highlighted in orange: American Airlines Group Inc (Symbol: AAL) options are showing a volume of 133,601 contracts thus far today.
4389.0
2021-06-24 00:00:00 UTC
South Africa's Kumba Iron Ore flags a jump in half-year earnings
AAL
https://www.nasdaq.com/articles/south-africas-kumba-iron-ore-flags-a-jump-in-half-year-earnings-2021-06-24
nan
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JOHANNESBURG, June 24 (Reuters) - South African miner Kumba Iron Ore KIOJ.J said on Thursday it expected half-year earnings to rise by at least 150%, boosted by higher export iron ore prices and a stronger rand-to-dollar exchange rate. Headline earnings per share (HEPS) - the main profit measure used in South Africa - for the six months ending June 30 is expected to be at least 65.48 rand per share, an increase of 39.29 rand or 150%, compared to the 26.19 rand per share recorded during the same period a year earlier. The company did not provide a range for the period's expected profit increase in its trading statement. Kumba is expected to release its half-year results on July, 27. ($1 = 14.2148 rand) (Reporting by Akhona Matshoba; Editing by Tanisha Heiberg and Edmund Blair) ((Akhona.Matshoba@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
JOHANNESBURG, June 24 (Reuters) - South African miner Kumba Iron Ore KIOJ.J said on Thursday it expected half-year earnings to rise by at least 150%, boosted by higher export iron ore prices and a stronger rand-to-dollar exchange rate. The company did not provide a range for the period's expected profit increase in its trading statement. ($1 = 14.2148 rand) (Reporting by Akhona Matshoba; Editing by Tanisha Heiberg and Edmund Blair) ((Akhona.Matshoba@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
JOHANNESBURG, June 24 (Reuters) - South African miner Kumba Iron Ore KIOJ.J said on Thursday it expected half-year earnings to rise by at least 150%, boosted by higher export iron ore prices and a stronger rand-to-dollar exchange rate. Headline earnings per share (HEPS) - the main profit measure used in South Africa - for the six months ending June 30 is expected to be at least 65.48 rand per share, an increase of 39.29 rand or 150%, compared to the 26.19 rand per share recorded during the same period a year earlier. The company did not provide a range for the period's expected profit increase in its trading statement.
JOHANNESBURG, June 24 (Reuters) - South African miner Kumba Iron Ore KIOJ.J said on Thursday it expected half-year earnings to rise by at least 150%, boosted by higher export iron ore prices and a stronger rand-to-dollar exchange rate. Headline earnings per share (HEPS) - the main profit measure used in South Africa - for the six months ending June 30 is expected to be at least 65.48 rand per share, an increase of 39.29 rand or 150%, compared to the 26.19 rand per share recorded during the same period a year earlier. ($1 = 14.2148 rand) (Reporting by Akhona Matshoba; Editing by Tanisha Heiberg and Edmund Blair) ((Akhona.Matshoba@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
JOHANNESBURG, June 24 (Reuters) - South African miner Kumba Iron Ore KIOJ.J said on Thursday it expected half-year earnings to rise by at least 150%, boosted by higher export iron ore prices and a stronger rand-to-dollar exchange rate. Headline earnings per share (HEPS) - the main profit measure used in South Africa - for the six months ending June 30 is expected to be at least 65.48 rand per share, an increase of 39.29 rand or 150%, compared to the 26.19 rand per share recorded during the same period a year earlier. The company did not provide a range for the period's expected profit increase in its trading statement.
4390.0
2021-06-22 00:00:00 UTC
7 Stocks Winning the Hiring Crisis of 2021
AAL
https://www.nasdaq.com/articles/7-stocks-winning-the-hiring-crisis-of-2021-2021-06-22
nan
nan
It's been nearly two months since I wrote about the staffing crisis of the hospitality industry, detailing the surprising labor shortage in an economic recovery. If you're finally starting to revisit your favorite restaurants only to find that they're understaffed or shortening their hours you know exactly what I'm talking about. The phenomenon isn't limited to just local eateries, of course. We've seen regional amusement park operators trim their operating calendars, and even American Airlines Group is canceling hundreds of flights this summer in part because of a staffing crunch. This has become a politicized issue, but as I pointed out two months ago this isn't just about industries underpaying their workers or younger folks moving back in with their parents and getting by on government subsidies. A workforce revolution happened during the COVID-19 shutdown. A lot of people embraced side hustles, and they seem to like the scheduling flexibility and open-ended earning opportunity of hopping into the gig economy. Let's go over a few of these companies cashing in on the trend. Image source: Getty Images. Follow the workflow When restaurants had to close down their dining rooms last year they also had to reduce their waitstaff. Limiting operations to takeout orders and leaning on third-party deliveries meant having to keep the kitchens open and a bare-bones front line to handle the pick-up process. Working on your feet all day isn't easy, and it's not a surprise that many displaced hospitality hires switched from serving food and drinks at once-buzzing eateries to hopping in their cars and nailing the last mile of the delivery process. DoorDash (NYSE: DASH) saw its revenue nearly triple in its latest quarter. Uber Technologies (NYSE: UBER) isn't a pure play in third-party delivery, but Uber Eats has been growing faster than its namesake ride-hailing business even before the pandemic. Getting in your car and transporting people or merchandise around has become a popular job in the gig economy. Folks get to set their own hours. They can crank up their radios between passenger jobs. There's a lot more financial uncertainty than in jobs with set salaries or hourly wages, but flexibility and the opportunity for incremental revenue is ramping up the fleet of drivers at DoorDash, Uber, and Lyft (NASDAQ: LYFT). It may not seem that way at Uber and Lyft, which reported a decline in revenue through the first three months of this year relative to pre-pandemic levels a year earlier, but look out to next year. Analysts see Uber generating 58% more in revenue than it did back in 2019. Lyft is expected to be just 21% above 2019's peak, but it also lacks the restaurant delivery business that has served Uber and DoorDash so well over the past year. You don't need a car for a side hustle. The lull of 2020 has lit entrepreneurial fires in a lot of the young hires that once took your orders, strapped you into roller coasters, and asked you to straighten your seat in preparation of your plane landing. Etsy (NASDAQ: ETSY) and Shopify (NYSE: SHOP) are killing it in the new normal. Folks with arts and crafts skills are selling their creations through Etsy's marketplace, and Shopify makes it easy for anyone to set up an online storefront. Active sellers on Etsy have surged 67% to 4.7 million over the past year. Shopify is now accounting for nearly 9% of the U.S. e-commerce market, and revenue more than doubled in its latest quarter. You don't need a car, creative flair, or a business model to thrive in the gig economy. Freelancing marketplaces Upwork (NASDAQ: UPWK) and Fiverr International (NYSE: FVRR) are matching job seekers who have unique skill sets with employers who prefer the simplicity and cost savings of contractors and freelancers over hiring and maintaining actual salaried employees. The beauty for both parties here is that opportunities are no longer limited by geographical reach. You can hire or work for anyone on the planet through either one-off jobs or longer contractor relationships. Upwork and Fiverr saw their revenue climb 37% and 100%, respectively, in their latest quarterly reports. Stop politicizing the evolutionary process. You wouldn't walk into an abandoned Blockbuster Video store and wonder where all the clerks went. The workforce has moved on to more flexible positions with dynamic perks, potential upside, and the harvest of self-determination. Invest accordingly. 10 stocks we like better than Etsy When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Etsy wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Rick Munarriz owns shares of Upwork. The Motley Fool owns shares of and recommends Etsy, Fiverr International, and Shopify. The Motley Fool recommends Uber Technologies and Upwork and recommends the following options: long January 2023 $1,140 calls on Shopify and short January 2023 $1,160 calls on Shopify. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
This has become a politicized issue, but as I pointed out two months ago this isn't just about industries underpaying their workers or younger folks moving back in with their parents and getting by on government subsidies. Working on your feet all day isn't easy, and it's not a surprise that many displaced hospitality hires switched from serving food and drinks at once-buzzing eateries to hopping in their cars and nailing the last mile of the delivery process. The lull of 2020 has lit entrepreneurial fires in a lot of the young hires that once took your orders, strapped you into roller coasters, and asked you to straighten your seat in preparation of your plane landing.
Freelancing marketplaces Upwork (NASDAQ: UPWK) and Fiverr International (NYSE: FVRR) are matching job seekers who have unique skill sets with employers who prefer the simplicity and cost savings of contractors and freelancers over hiring and maintaining actual salaried employees. The Motley Fool owns shares of and recommends Etsy, Fiverr International, and Shopify. The Motley Fool recommends Uber Technologies and Upwork and recommends the following options: long January 2023 $1,140 calls on Shopify and short January 2023 $1,160 calls on Shopify.
Uber Technologies (NYSE: UBER) isn't a pure play in third-party delivery, but Uber Eats has been growing faster than its namesake ride-hailing business even before the pandemic. There's a lot more financial uncertainty than in jobs with set salaries or hourly wages, but flexibility and the opportunity for incremental revenue is ramping up the fleet of drivers at DoorDash, Uber, and Lyft (NASDAQ: LYFT). Freelancing marketplaces Upwork (NASDAQ: UPWK) and Fiverr International (NYSE: FVRR) are matching job seekers who have unique skill sets with employers who prefer the simplicity and cost savings of contractors and freelancers over hiring and maintaining actual salaried employees.
Working on your feet all day isn't easy, and it's not a surprise that many displaced hospitality hires switched from serving food and drinks at once-buzzing eateries to hopping in their cars and nailing the last mile of the delivery process. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. The Motley Fool owns shares of and recommends Etsy, Fiverr International, and Shopify.
4391.0
2021-06-22 00:00:00 UTC
Delta Air Lines to Hire 1,000 Pilots, Other Airlines to Follow Suit – Report
AAL
https://www.nasdaq.com/articles/delta-air-lines-to-hire-1000-pilots-other-airlines-to-follow-suit-report-2021-06-22
nan
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Shares of Delta Air Lines Inc. (DAL) gained 1.8% to close at $45.77 on June 21, spiked by a Reuters news report on the airlines' plan to hire over 1,000 pilots by next summer. The additional hiring is driven by the management’s belief that U.S. leisure travel volumes will return to the pre-pandemic levels. The airline is also seeing a surge in business travel. Notably, Delta expects to post a pre-tax profit in the second half of 2021, after posting huge losses in FY20 due to the COVID-19 situation. The profit will be aided by the expected restart of corporate America by Labor Day (September 6). Delta’s Chief of Operations John Laughter said, “The fact that we expect to record a profit in June - just 15 months after the sharpest decline in aviation history - is remarkable". Laughter anticipates that travel restrictions will alleviate across the Atlantic in the second half of 2021, with re-openings expected in Spain, France, Italy, and Greece. Importantly, June 20 marked the highest number of U.S. travelers, 2.1 million, since the beginning of the pandemic in March 2020. However, this number is still 23% lower than pre-pandemic levels. Consequentially, other airlines are also gearing up to increase the number of pilots and overall employees to meet the increasing demand. Likewise, American Airlines (AAL) announced its plans to resume pilot hiring in the fall, with approximately 300 new pilots joining by the end of the year and double that number in 2022. Meanwhile, Southwest Airlines (LUV) expects to hire First Officers later this year "to support the airline’s 2022 operations and scheduled aircraft deliveries." However, 500 pilots are still under its voluntary leave program. In addition, United Airlines Holdings (UAL) intends to add 300 new pilots in the coming weeks. Beyond that, incremental hiring will depend on the recovery trends. Longer-term, United plans to hire around 10,000 pilots by 2030. Wolfe Research analyst Hunter Keay recently upgraded Delta to Buy from Sell with a price target of $55 (20.2% upside potential). Keay’s upgrade is based on "pent-up demand scenario later this summer, unlike what's happening with leisure now." However, he remains doubtful that business travel will return to pre-pandemic levels in the long run. Overall, Delta Airlines has a Moderate Buy consensus rating based on 8 Buys and 3 Holds. The average Delta Airlines analyst price target of $58.75 implies 28.4% upside potential from current levels. Shares of DAL have jumped 56% over the past year. Related News: Danaher Snaps up Aldevron for $9.6B; Shares Spike 5% Kroger Raises Full-Year Guidance on Strong Q1 Results; Shares Jump 4% XPO Logistics’ GXO Prices Notes Offering Worth $800M The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Likewise, American Airlines (AAL) announced its plans to resume pilot hiring in the fall, with approximately 300 new pilots joining by the end of the year and double that number in 2022. Shares of Delta Air Lines Inc. (DAL) gained 1.8% to close at $45.77 on June 21, spiked by a Reuters news report on the airlines' plan to hire over 1,000 pilots by next summer. Delta’s Chief of Operations John Laughter said, “The fact that we expect to record a profit in June - just 15 months after the sharpest decline in aviation history - is remarkable".
Likewise, American Airlines (AAL) announced its plans to resume pilot hiring in the fall, with approximately 300 new pilots joining by the end of the year and double that number in 2022. In addition, United Airlines Holdings (UAL) intends to add 300 new pilots in the coming weeks. However, he remains doubtful that business travel will return to pre-pandemic levels in the long run.
Likewise, American Airlines (AAL) announced its plans to resume pilot hiring in the fall, with approximately 300 new pilots joining by the end of the year and double that number in 2022. Shares of Delta Air Lines Inc. (DAL) gained 1.8% to close at $45.77 on June 21, spiked by a Reuters news report on the airlines' plan to hire over 1,000 pilots by next summer. Meanwhile, Southwest Airlines (LUV) expects to hire First Officers later this year "to support the airline’s 2022 operations and scheduled aircraft deliveries."
Likewise, American Airlines (AAL) announced its plans to resume pilot hiring in the fall, with approximately 300 new pilots joining by the end of the year and double that number in 2022. Shares of Delta Air Lines Inc. (DAL) gained 1.8% to close at $45.77 on June 21, spiked by a Reuters news report on the airlines' plan to hire over 1,000 pilots by next summer. Wolfe Research analyst Hunter Keay recently upgraded Delta to Buy from Sell with a price target of $55 (20.2% upside potential).
4392.0
2021-06-21 00:00:00 UTC
American Airlines pulls a Wall Street stupidity
AAL
https://www.nasdaq.com/articles/american-airlines-pulls-a-wall-street-stupidity-2021-06-21
nan
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Reuters Reuters NEW YORK (Reuters Breakingviews) - American Airlines is showing precisely how companies can screw up an economic rebound. The Texas-based carrier is cutting flights, in part because it’s short-staffed. The taxpayer-funded bailout given to airlines last year was meant to prevent this sort of thing from happening. But as investment banks proved in previous crises, deep staff cuts can leave businesses – and shareholders – exposed. The $14 billion airline said that it would trim roughly 1% of its flights in July as a sharp uptick in travel demand put strains on some hubs. The company blamed vendor staffing shortages and bad weather in a statement. But staffing up in advance of the expected pickup would likely have allowed American to avoid cutting routes when the going got good. In March the company led by Doug Parker raised $10 billion to pay back loans from the U.S. government, hocking its reward program. Some of the cash it received from taxpayers, which included grants, had stipulations that required American to keep its employees on payroll. Yet American found work-arounds, reducing headcount by more than 20,000 by last fall through voluntary leave and extended severance packages. Nevertheless, investors are expecting big things from Parker and his employees. The company, with a $40 billion enterprise value, is worth almost 50% more than it was before the pandemic. And because sales have fallen so sharply, the company’s enterprise value-to-sales multiple of more than 3 times has quintupled compared to the level before lockdowns. That means capitalizing on today’s rebound is crucial for the airline’s shareholders. While business travel may slowly recover, tourists are bombarding airports after 15 months of being grounded. On Friday the number of people passing through U.S. Transportation Security Administration checkpoints was up 250% from the same day the previous year. Other airlines are competing for that business, too, so every flight counts. American’s issues aren’t unlike those that investment banks have faced following Wall Street’s boom-bust cycles. Some firms, like Merrill Lynch before it became part of Bank of America, were renowned for firing too quickly and then missing out on the market’s rebound. Bad planning for takeoff is an understandable concern for American’s customers. Now it’s one for shareholders, too. Follow @thereallsl https://twitter.com/thereallsl on Twitter CONTEXT NEWS - American Airlines is cutting around 1% of its flights in July, in part a result of a labor shortage due to a sharp increase in travel demand. - “The first few weeks of June have brought unprecedented weather to our largest hubs... causing delays, canceled flights and disruptions to crew member schedules and our customers’ plans,” the company said in a statement. “That, combined with the labor shortages some of our vendors are contending with and the incredibly quick ramp up of customer demand, has led us to build in additional resilience and certainty to our operation by adjusting a fraction of our scheduled flying through mid-July.” - For previous columns by the author, Reuters customers can click on [SILVA/] (SIGN UP FOR BREAKINGVIEWS EMAIL ALERTS http://bit.ly/BVsubscribe | Editing by Rob Cox and Amanda Gomez) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
In March the company led by Doug Parker raised $10 billion to pay back loans from the U.S. government, hocking its reward program. - “The first few weeks of June have brought unprecedented weather to our largest hubs... causing delays, canceled flights and disruptions to crew member schedules and our customers’ plans,” the company said in a statement. “That, combined with the labor shortages some of our vendors are contending with and the incredibly quick ramp up of customer demand, has led us to build in additional resilience and certainty to our operation by adjusting a fraction of our scheduled flying through mid-July.” - For previous columns by the author, Reuters customers can click on [SILVA/] (SIGN UP FOR BREAKINGVIEWS EMAIL ALERTS http://bit.ly/BVsubscribe | Editing by Rob Cox and Amanda Gomez) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
NEW YORK (Reuters Breakingviews) - American Airlines is showing precisely how companies can screw up an economic rebound. But as investment banks proved in previous crises, deep staff cuts can leave businesses – and shareholders – exposed. The company blamed vendor staffing shortages and bad weather in a statement.
NEW YORK (Reuters Breakingviews) - American Airlines is showing precisely how companies can screw up an economic rebound. - American Airlines is cutting around 1% of its flights in July, in part a result of a labor shortage due to a sharp increase in travel demand. “That, combined with the labor shortages some of our vendors are contending with and the incredibly quick ramp up of customer demand, has led us to build in additional resilience and certainty to our operation by adjusting a fraction of our scheduled flying through mid-July.” - For previous columns by the author, Reuters customers can click on [SILVA/] (SIGN UP FOR BREAKINGVIEWS EMAIL ALERTS http://bit.ly/BVsubscribe | Editing by Rob Cox and Amanda Gomez) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Nevertheless, investors are expecting big things from Parker and his employees. The company, with a $40 billion enterprise value, is worth almost 50% more than it was before the pandemic. Other airlines are competing for that business, too, so every flight counts.
4393.0
2021-06-21 00:00:00 UTC
Pick JetBlue Stock For Gains
AAL
https://www.nasdaq.com/articles/pick-jetblue-stock-for-gains-2021-06-22
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In recent months, progress in mass vaccination and growing passenger numbers at TSA checkpoints have been a boon for the airline industry. However, new coronavirus variants are triggering fears of more infection waves limiting international travel and tourism demand. The shares of JetBlue Airways (NASDAQ: JBLU) have reached pre-Covid levels unlike American, United, and Delta Air Lines. This can be largely attributed to the company’s lower debt outstanding and high operating margin. The U.S. government initiated a third phase of payroll support in the first quarter as huge salary costs could trigger involuntary furloughs. Notably, the PSP-3 requires airlines to suspend dividends and share repurchases until September 2022. According to the Trefis Machine Learning Engine, which identifies trends in the company’s historical stock price data, JetBlue Airways stock is likely to move 4.6% in the next one-month (twenty-one trading days) period after experiencing a 5.9% drop in the past week (five trading days). But how would these numbers change if you are interested in holding JetBlue Airways stock for a shorter or a longer time period? You can test the answer and many other combinations on the Trefis Machine Learning Engine to test JetBlue Airways stock chances of a rise after a fall. You can test the chance of recovery over different time intervals of a quarter, month, or even just one day! MACHINE LEARNING ENGINE – try it yourself: IF JBLU stock moved by -5% over 5 trading days, THEN over the next twenty-one trading days, JBLU stock moves an average of 4 percent, with a 58% probability of a positive return Some Fun Scenarios, FAQs & Making Sense of JetBlue Airways Stock Movements: Question 1: Is the average return for JetBlue Airways stock higher after a drop? Answer: Consider two situations, Case 1: JetBlue Airways stock drops by -5% or more in a week Case 2: JetBlue Airways stock rises by 5% or more in a week Is the average return for JetBlue Airways stock higher over the subsequent month after Case 1 or Case 2? JBLU stock fares better after Case 1, with an average return of 4% over the next month (21 trading days) under Case 1 (where the stock has just suffered a 5% loss over the previous week), versus, an average return of 1.7% for Case 2. In comparison, the S&P 500 has an average return of 3.1% over the next 21 trading days under Case 1, and an average return of just 0.5% for Case 2 as detailed in our dashboard that details the average return for the S&P 500 after a fall or rise. Try the Trefis machine learning engine above to see for yourself how JetBlue Airways stock is likely to behave after any specific gain or loss over a period. Question 2: Does patience pay? Answer: If you buy and hold JetBlue Airways stock, the expectation is over time the near-term fluctuations will cancel out, and the long-term positive trend will favor you – at least if the company is otherwise strong. Overall, according to data and Trefis machine learning engine’s calculations, patience absolutely pays for most stocks! For JBLU stock, the returns over the next N days after a -5% change over the last 5 trading days is detailed in the table below, along with the returns for the S&P500: Question 3: What about the average return after a rise if you wait for a while? Answer: The average return after a rise is understandably lower than after a fall as detailed in the previous question. Interestingly, though, if a stock has gained over the last few days, you would do better to avoid short-term bets for most stocks. JBLU’s returns over the next N days after a 5% change over the last 5 trading days is detailed in the table below, along with the returns for the S&P500: It’s pretty powerful to test the trend for yourself for JetBlue Airways stock by changing the inputs in the charts above. Do JetBlue Airways’ peers offer better gains? JetBlue Airways Stock Comparison With Peers summarizes how JBLU compares against peers on metrics that matter. You can find more such useful comparisons on Peer Comparisons. See all Trefis Price Estimates and Download Trefis Data here What’s behind Trefis? See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
In recent months, progress in mass vaccination and growing passenger numbers at TSA checkpoints have been a boon for the airline industry. The shares of JetBlue Airways (NASDAQ: JBLU) have reached pre-Covid levels unlike American, United, and Delta Air Lines. Answer: If you buy and hold JetBlue Airways stock, the expectation is over time the near-term fluctuations will cancel out, and the long-term positive trend will favor you – at least if the company is otherwise strong.
According to the Trefis Machine Learning Engine, which identifies trends in the company’s historical stock price data, JetBlue Airways stock is likely to move 4.6% in the next one-month (twenty-one trading days) period after experiencing a 5.9% drop in the past week (five trading days). You can test the answer and many other combinations on the Trefis Machine Learning Engine to test JetBlue Airways stock chances of a rise after a fall. MACHINE LEARNING ENGINE – try it yourself: IF JBLU stock moved by -5% over 5 trading days, THEN over the next twenty-one trading days, JBLU stock moves an average of 4 percent, with a 58% probability of a positive return Some Fun Scenarios, FAQs & Making Sense of JetBlue Airways Stock Movements: Question 1: Is the average return for JetBlue Airways stock higher after a drop?
According to the Trefis Machine Learning Engine, which identifies trends in the company’s historical stock price data, JetBlue Airways stock is likely to move 4.6% in the next one-month (twenty-one trading days) period after experiencing a 5.9% drop in the past week (five trading days). MACHINE LEARNING ENGINE – try it yourself: IF JBLU stock moved by -5% over 5 trading days, THEN over the next twenty-one trading days, JBLU stock moves an average of 4 percent, with a 58% probability of a positive return Some Fun Scenarios, FAQs & Making Sense of JetBlue Airways Stock Movements: Question 1: Is the average return for JetBlue Airways stock higher after a drop? Answer: Consider two situations, Case 1: JetBlue Airways stock drops by -5% or more in a week Case 2: JetBlue Airways stock rises by 5% or more in a week Is the average return for JetBlue Airways stock higher over the subsequent month after Case 1 or Case 2?
According to the Trefis Machine Learning Engine, which identifies trends in the company’s historical stock price data, JetBlue Airways stock is likely to move 4.6% in the next one-month (twenty-one trading days) period after experiencing a 5.9% drop in the past week (five trading days). You can test the answer and many other combinations on the Trefis Machine Learning Engine to test JetBlue Airways stock chances of a rise after a fall. Answer: The average return after a rise is understandably lower than after a fall as detailed in the previous question.
4394.0
2021-06-21 00:00:00 UTC
Airlines, unions urge U.S. to prosecute 'egregious onboard conduct'
AAL
https://www.nasdaq.com/articles/airlines-unions-urge-u.s.-to-prosecute-egregious-onboard-conduct-2021-06-21
nan
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By David Shepardson WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday wrote to U.S. Attorney General Merrick Garland asking the Justice Department to crack down on the growing number of disruptive and violent air passengers. The Justice Department did not immediately comment on the letter, first reported by Reuters. The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." The head of the Federal Aviation Administration (FAA), Steve Dickson, in January imposed a zero-tolerance order on passenger disturbances aboard airplanes after supporters of former U.S. President Donald Trump were disruptive on some flights around the time of a Jan. 6 U.S. Capitol attack. Monday's letter added that the airlines and unions hope the Justice Department "will commit to taking action, along with coordination with the FAA, to ensure that egregious onboard conduct is fully and criminally prosecuted, sending a strong public message of deterrence, safety and security." The letter to Garland said that since the FAA's zero- tolerance policy was announced, the agency has received more than 3,039 reports of unruly behavior and has opened 465 investigations into assaults, threats of assault or interference with crew members. More than 2,000 cases included passengers refusing to wear face masks as required on all airplanes. The U.S. Transportation Security Administration (TSA) on April 30 extended a federal face mask mandate on airplanes and in airports through Sept. 13. (Reporting by David Shepardson, Editing by Franklin Paul and Howard Goller) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." By David Shepardson WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday wrote to U.S. Attorney General Merrick Garland asking the Justice Department to crack down on the growing number of disruptive and violent air passengers. The head of the Federal Aviation Administration (FAA), Steve Dickson, in January imposed a zero-tolerance order on passenger disturbances aboard airplanes after supporters of former U.S. President Donald Trump were disruptive on some flights around the time of a Jan. 6 U.S. Capitol attack.
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." By David Shepardson WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday wrote to U.S. Attorney General Merrick Garland asking the Justice Department to crack down on the growing number of disruptive and violent air passengers. The head of the Federal Aviation Administration (FAA), Steve Dickson, in January imposed a zero-tolerance order on passenger disturbances aboard airplanes after supporters of former U.S. President Donald Trump were disruptive on some flights around the time of a Jan. 6 U.S. Capitol attack.
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." By David Shepardson WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday wrote to U.S. Attorney General Merrick Garland asking the Justice Department to crack down on the growing number of disruptive and violent air passengers. Monday's letter added that the airlines and unions hope the Justice Department "will commit to taking action, along with coordination with the FAA, to ensure that egregious onboard conduct is fully and criminally prosecuted, sending a strong public message of deterrence, safety and security."
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." By David Shepardson WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday wrote to U.S. Attorney General Merrick Garland asking the Justice Department to crack down on the growing number of disruptive and violent air passengers. The U.S. Transportation Security Administration (TSA) on April 30 extended a federal face mask mandate on airplanes and in airports through Sept. 13.
4395.0
2021-06-21 00:00:00 UTC
7 Stocks to Watch If Climate Risk Disclosures Come to Pass
AAL
https://www.nasdaq.com/articles/7-stocks-to-watch-if-climate-risk-disclosures-come-to-pass-2021-06-21
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips Climate change is a hotly debated and highly politicized situation. You have some that believe the world is going to be ruined within our lifetime and others that think it’s a complete hoax. Outside from the extremes, there are many people in the middle that know it’s a problem, they just don’t know how big the problem is. So what does that have to do with stocks to watch? Whether one embraces climate change or not, it’s hard to argue that the weather hasn’t become more volatile over the last few years and decades. That doesn’t mean there weren’t big storms before, but the increase in both frequency and intensity has created a lot of disruptions so far this century. When it comes to public companies, that presents a new risk for many of them. Increasingly, companies are also putting those climate-related risks in their disclosures. And those that haven’t may have to start. 8 High-Risk Stocks to Buy That Are Worth Taking a Chance On Let’s look at seven companies that could feel the impact. Delta Air Lines (NYSE:DAL) American Airlines (NASDAQ:AAL) Exxon Mobil (NYSE:XOM) Progressive (NYSE:PGR) Coca-Cola (NYSE:KO) Vail Resorts (NYSE:MTN) Utilities Select Sector SPDR Fund (NYSEARCA:XLU) Stocks to Watch Based on Climate Change: Delta Air Lines (DAL) DAL) logo. Represents airline stocks." width="300" height="169"> Source: Lerner Vadim / Shutterstock.com When we think of climate change, our minds often go to different scenarios playing out. For instance, rising coastal waters or how it may negatively impact energy companies. However, more volatile weather has the ability to severely disrupt the travel industry. When that deep freeze swept through Texas and other parts of the south in February 2021, it delayed or cancelled thousands of flights. A few weeks earlier, a deep freeze in the Midwest also cancelled thousands of flights. These cancellations are a major headache for both passengers and the company. Not only does Delta face the issue of potentially more volatile weather, but also the environmental issue from a political perspective. In other words, a “more green” policy could add costs to the company’s operations. From the company: “Increases in the frequency, severity or duration of thunderstorms, hurricanes, typhoons or other severe weather events, including from changes in the global climate, could result in increases in delays and cancellations, turbulence-related injuries and fuel consumption to avoid such weather, any of which could result in loss of revenue and higher costs.” American Airlines (AAL) Source: GagliardiPhotography / Shutterstock.com If Delta faces potential risks from climate change, American Airlines must be included in the list as well. Not only does the company have a weaker financial footing and worse margins than Delta, it also has more traffic. Excluding the pandemic year (2020), American Airlines has handled the most annual number of passengers in each of the last five years. That’s 2015 to 2019. In four of those years, Delta was the No. 2 carrier. Globally, these were the only two airlines to have more than 200 million passengers in 2019. Those numbers help illustrate the logistical hoops these companies have to jump through on a daily or even hourly basis. So when there’s a big storm or a natural disaster this disrupts these routes, American Air and Delta are sure to feel the impact. 10 Marijuana Stocks to Buy for Their 'Beyond the Flower' Plans As the world’s largest carrier by passenger volume, American Airlines has to be on our list of climate stocks to watch. Stocks to Watch Based on Climate Change: Exxon Mobil (XOM) XOM) logo outside of a corporate building" width="300" height="169"> Source: Harry Green / Shutterstock.com When investors think of climate change and stocks, Exxon is always a go-to thought. The company has had constant run-ins with the climate-change crowd, mostly from a political standpoint. It doesn’t help that the company has its own team of scientists and constantly finds itself in controversy. But that may be starting to change. After a push from activists, the company is electing three new board members, taking over one-quarter of the board. Exxon has previously refrained from making zero-carbon commitments and investing meaningfully in renewables vs. fossil fuels. That could change after the latest board shakeup. And if it doesn’t, at the very least, it’s disclosures will change. After the recent meeting, “shareholders went against Exxon and supported the disclosure of political- and climate-lobbying activities.” Progressive (PGR) Source: Shutterstock Insurance companies have found themselves on the hook in a big way due to drastic changes in the weather. As we’ve seen more drastic swings in the weather, we’ve seen more drastic changes in the intensity of these storms. That doesn’t mean intense storms didn’t happen until recently, but the frequency in which they occur is hard to deny. Hurricane Harvey, Sandy and Katrina are just a few of the storms from this century that have created outright disasters across the country. But it’s more than hurricanes. Intense blizzards, hail, flooding, droughts and forest fires seem to be increasing in frequency and intensity. Progressive is one of many companies in the insurance space, but Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B), Allstate (NYSE:ALL) or several others could have been mentioned too. 7 A-Rated Biotech Stocks to Buy Now Thankfully for insurance companies, they can raise premiums across the board to help offset the costs with one region’s misfortunes. However, if these problems continue to escalate, all insurance companies could face headaches in the future. Stocks to Watch Based on Climate Change: Coca-Cola (KO) KO) against a red background" width="300" height="169"> Source: focal point / Shutterstock.com Coca-Cola is not a name that many investors would have expected to see on a list of stocks to watch for climate change. When we think of Coca-Cola, we think of the soda — Coke. But the company is so much more than that. Aside from its soda products, there’s also the company’s other brands: Dasani, SmartWater, Minute Maid, Powerade, Fairlife, Schweppes, Vitamin Water and more. All of these products have one common denominator: Water. While one doesn’t normally consider the climate change impact to high-quality water, that’s exactly a risk that Coca-Cola faces. However, it’s something the company takes seriously. It formed its first environmental team in 1980. You can find its climate page here, for those interested. From the company’s SEC filings: “Water scarcity and poor quality could negatively impact the Coca-Cola system’s costs and capacity… As a result, the effects of climate change could have a long-term adverse impact on our business and results of operations.” However, should climate change disclosures become more robust in the future, Coca-Cola may need to become more specific on the risks. Vail Resorts (MTN) Source: Rosemary Woller / Shutterstock.com It’s perhaps no surprise to see Vail Resorts on the list. The company has built its portfolio on owning successful vacation properties and operating ski resorts. Obvious disruptions to that business could create a real hassle for Vail. While the company does have other sources of income (golf, for example), a disruption to the ski business would be a huge blow for this company. Vail does operate resorts, hotels and condominiums that surely do well during the summer months (again, for golf). But the hospitality side of the business would be hit if the ski business fell off a cliff, (no pun intended). A warm winter or difficulty making snow can really turn people off from hitting the slopes. Of course, diehard skiers will get their fix, but a good season is what drives in the revenue. From the company: “…Early season snow conditions and skier perceptions of early season snow conditions can influence the momentum and success of the overall ski season… the potential effects of climate change could have a material adverse effect on our results of operations as warmer overall temperatures would likely adversely affect skier visits and our revenue and profits.” 7 Retail Stocks That You Don't Want In Your Cart Further, it’s not just warm winters or a late start to the ski season that can disrupt business. Forest fires can too, and as those become more prevalent it becomes a risk harder to ignore for Vail. Stocks to Watch Based on Climate Change: Utilities Select Sector SPDR Fund (XLU) Source: zhao jiankang / Shutterstock.com Don’t look at a sector pick as a cop out from landing on a single utility stock. The truth is, the entire sector faces an increasing risk from climate change and therefore, picking any one utility company is difficult. Whether that’s increasing forest fires out West, “surprise” hurricanes in the East or heat stress in the Midwest and South, these companies face increasing risks as a result of climate change. Just think about the situation in Texas. In February, the state suffered a deep freeze that completely paralyzed the grid. Now as we enter summer, ERCOT (the grid operator) is urging conservation to avoid blackouts. In California, the regions in the north face constant blackouts due to forest fires and dry conditions. Here’s a take from Moody’s (NYSE:MCO) regarding the sector and climate change: “The increasing frequency and severity of extreme weather events and chronic stresses driven by climate change have particular implications for the utility sector. …Heat stress will likely have the greatest impact on utilities in the Midwest and southern Florida, reducing power grids’ efficiency and increasing expenditures. The Western U.S., specifically the Rocky Mountain states and California, is the region most exposed to long-term water stress… In other areas of the country utilities are exposed to extreme rainfall and flooding, which are responsible for many power outages.” On the date of publication, Bret Kenwell did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. The post 7 Stocks to Watch If Climate Risk Disclosures Come to Pass appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
From the company: “Increases in the frequency, severity or duration of thunderstorms, hurricanes, typhoons or other severe weather events, including from changes in the global climate, could result in increases in delays and cancellations, turbulence-related injuries and fuel consumption to avoid such weather, any of which could result in loss of revenue and higher costs.” American Airlines (AAL) Source: GagliardiPhotography / Shutterstock.com If Delta faces potential risks from climate change, American Airlines must be included in the list as well. Delta Air Lines (NYSE:DAL) American Airlines (NASDAQ:AAL) Exxon Mobil (NYSE:XOM) Progressive (NYSE:PGR) Coca-Cola (NYSE:KO) Vail Resorts (NYSE:MTN) Utilities Select Sector SPDR Fund (NYSEARCA:XLU) Stocks to Watch Based on Climate Change: Delta Air Lines (DAL) DAL) logo. After the recent meeting, “shareholders went against Exxon and supported the disclosure of political- and climate-lobbying activities.” Progressive (PGR) Source: Shutterstock Insurance companies have found themselves on the hook in a big way due to drastic changes in the weather.
Delta Air Lines (NYSE:DAL) American Airlines (NASDAQ:AAL) Exxon Mobil (NYSE:XOM) Progressive (NYSE:PGR) Coca-Cola (NYSE:KO) Vail Resorts (NYSE:MTN) Utilities Select Sector SPDR Fund (NYSEARCA:XLU) Stocks to Watch Based on Climate Change: Delta Air Lines (DAL) DAL) logo. From the company: “Increases in the frequency, severity or duration of thunderstorms, hurricanes, typhoons or other severe weather events, including from changes in the global climate, could result in increases in delays and cancellations, turbulence-related injuries and fuel consumption to avoid such weather, any of which could result in loss of revenue and higher costs.” American Airlines (AAL) Source: GagliardiPhotography / Shutterstock.com If Delta faces potential risks from climate change, American Airlines must be included in the list as well. Stocks to Watch Based on Climate Change: Utilities Select Sector SPDR Fund (XLU) Source: zhao jiankang / Shutterstock.com Don’t look at a sector pick as a cop out from landing on a single utility stock.
Delta Air Lines (NYSE:DAL) American Airlines (NASDAQ:AAL) Exxon Mobil (NYSE:XOM) Progressive (NYSE:PGR) Coca-Cola (NYSE:KO) Vail Resorts (NYSE:MTN) Utilities Select Sector SPDR Fund (NYSEARCA:XLU) Stocks to Watch Based on Climate Change: Delta Air Lines (DAL) DAL) logo. From the company: “Increases in the frequency, severity or duration of thunderstorms, hurricanes, typhoons or other severe weather events, including from changes in the global climate, could result in increases in delays and cancellations, turbulence-related injuries and fuel consumption to avoid such weather, any of which could result in loss of revenue and higher costs.” American Airlines (AAL) Source: GagliardiPhotography / Shutterstock.com If Delta faces potential risks from climate change, American Airlines must be included in the list as well. From the company’s SEC filings: “Water scarcity and poor quality could negatively impact the Coca-Cola system’s costs and capacity… As a result, the effects of climate change could have a long-term adverse impact on our business and results of operations.” However, should climate change disclosures become more robust in the future, Coca-Cola may need to become more specific on the risks.
Delta Air Lines (NYSE:DAL) American Airlines (NASDAQ:AAL) Exxon Mobil (NYSE:XOM) Progressive (NYSE:PGR) Coca-Cola (NYSE:KO) Vail Resorts (NYSE:MTN) Utilities Select Sector SPDR Fund (NYSEARCA:XLU) Stocks to Watch Based on Climate Change: Delta Air Lines (DAL) DAL) logo. From the company: “Increases in the frequency, severity or duration of thunderstorms, hurricanes, typhoons or other severe weather events, including from changes in the global climate, could result in increases in delays and cancellations, turbulence-related injuries and fuel consumption to avoid such weather, any of which could result in loss of revenue and higher costs.” American Airlines (AAL) Source: GagliardiPhotography / Shutterstock.com If Delta faces potential risks from climate change, American Airlines must be included in the list as well. 10 Marijuana Stocks to Buy for Their 'Beyond the Flower' Plans As the world’s largest carrier by passenger volume, American Airlines has to be on our list of climate stocks to watch.
4396.0
2021-06-21 00:00:00 UTC
Airlines, unions urge U.S. to prosecute 'egregious onboard conduct'
AAL
https://www.nasdaq.com/articles/airlines-unions-urge-u.s.-to-prosecute-egregious-onboard-conduct-2021-06-21-0
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By David Shepardson WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday wrote to U.S. Attorney General Merrick Garland asking the Justice Department to crack down on the growing number of disruptive and violent air passengers. The Justice Department did not immediately comment on the letter, first reported by Reuters. The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." The head of the Federal Aviation Administration (FAA), Steve Dickson, in January imposed a zero-tolerance order on passenger disturbances aboard airplanes after supporters of former U.S. President Donald Trump were disruptive on some flights around the time of a Jan. 6 U.S. Capitol attack. Monday's letter added that the airlines and unions hope the Justice Department "will commit to taking action, along with coordination with the FAA, to ensure that egregious onboard conduct is fully and criminally prosecuted, sending a strong public message of deterrence, safety and security." In a separate letter to Dickson, the groups asked the FAA to "refer abhorrent cases" to the Justice Department "so that the federal government may fully, swiftly and publicly prosecute criminal acts to the fullest extent of the law and deter this dangerous and concerning behavior." The letter to Garland said that since the FAA's zero- tolerance policy was announced, the agency has received more than 3,039 reports of unruly behavior and has opened 465 investigations into assaults, threats of assault or interference with crew members. In May, the Transport Workers Union of America, which represents Southwest flight attendants and was among the signers, said in a letter there were 477 passenger misconduct incidents on Southwest Airlines from April 8 to May 15. "This past weekend, one of our Flight Attendants was seriously assaulted, resulting in injuries to the face and a loss of two teeth," the union wrote in a May 24 letter to Southwest Chief Executive Gary Kelly. "Today’s traveling environment requires a new level of firmness in both tone and direction to ensure proper control in the cabin." Last week, two passengers were reportedly removed from a plane before it left for fighting over an arm rest. The FAA has been proposing large civil penalties for disruptive passengers including for some who have assaulted flight attendants. Many have been fined for drinking alcohol onboard airlines, where it is still banned and several airlines have extended the alcohol ban because of poor passenger behavior. More than 2,300 cases included passengers refusing to wear face masks as required on all airplanes. The U.S. Transportation Security Administration (TSA) on April 30 extended a federal face mask mandate on airplanes and in airports through Sept. 13. (Reporting by David Shepardson, Editing by Franklin Paul, Howard Goller and Marguerita Choy) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." By David Shepardson WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday wrote to U.S. Attorney General Merrick Garland asking the Justice Department to crack down on the growing number of disruptive and violent air passengers. Monday's letter added that the airlines and unions hope the Justice Department "will commit to taking action, along with coordination with the FAA, to ensure that egregious onboard conduct is fully and criminally prosecuted, sending a strong public message of deterrence, safety and security."
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." By David Shepardson WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday wrote to U.S. Attorney General Merrick Garland asking the Justice Department to crack down on the growing number of disruptive and violent air passengers. In a separate letter to Dickson, the groups asked the FAA to "refer abhorrent cases" to the Justice Department "so that the federal government may fully, swiftly and publicly prosecute criminal acts to the fullest extent of the law and deter this dangerous and concerning behavior."
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." By David Shepardson WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday wrote to U.S. Attorney General Merrick Garland asking the Justice Department to crack down on the growing number of disruptive and violent air passengers. Monday's letter added that the airlines and unions hope the Justice Department "will commit to taking action, along with coordination with the FAA, to ensure that egregious onboard conduct is fully and criminally prosecuted, sending a strong public message of deterrence, safety and security."
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." The FAA has been proposing large civil penalties for disruptive passengers including for some who have assaulted flight attendants. The U.S. Transportation Security Administration (TSA) on April 30 extended a federal face mask mandate on airplanes and in airports through Sept. 13.
4397.0
2021-06-21 00:00:00 UTC
American Airlines to Cut 1% of July Flights Amid Operation Strains
AAL
https://www.nasdaq.com/articles/american-airlines-to-cut-1-of-july-flights-amid-operation-strains-2021-06-21
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American Airlines (AAL) will cancel about 1% of its flights in July in response to bad weather and labor shortages in some of its hubs. The airline expects the cut to offer an additional layer of resilience to its operations in the summer, even as it struggles with a significant uptick in demand, reports Reuters. The cancellations are expected to impact a small number of customers. In addition, the airline will shift its focus to markets where it has multiple options for re-accommodations. "(We) feel these schedule adjustments will help ensure we can take good care of our customers and team members and minimize surprises at the airport," American Airlines said in a statement. However, the flight cancellations come when the airline industry is seeing a significant increase in demand for air travel. Data from the U.S. Transportation Security Administration (TSA) indicates that up to 50 million people were registered for air travel in May, a 19% spike from April levels. (See American Airlines stock chart on TipRanks) The aggressive COVID-19 vaccination programs across the U.S. have resulted in a significant reduction in travel restrictions. The lifting of restrictions provides the much-needed incentive for people to move around. However, the ramp-up in customer demand has coincided with bad weather, resulting in long delays in recent weeks. Some vendors at the airports were also struggling with manpower shortages, which also appear to be taking a toll on American Airline's operations. MKM Partners analyst Conor Cunningham initiated coverage of the stock with a Buy rating, and a $29 price target implies 30.1% upside potential to current levels. Consensus among analysts is a Moderate Sell based on 2 Buys, 3 Holds, and 5 Sells. The average analyst American Airlines price target of $21.72 implies 2.56% downside potential to current levels. AAL scores 3 out of 10 on TipRanks' Smart Score rating system, suggesting that the stock is likely to underperform market averages. Related News: Weekly Market Review: Fed Statements Spark Increased Volatility IBM Completes Turbonomic Acquisition Pilgrim’s Pride Buys Meats and Meals Business of Kerry Consumer Foods Highest Dividend Stocks For 2021 The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
American Airlines (AAL) will cancel about 1% of its flights in July in response to bad weather and labor shortages in some of its hubs. AAL scores 3 out of 10 on TipRanks' Smart Score rating system, suggesting that the stock is likely to underperform market averages. The airline expects the cut to offer an additional layer of resilience to its operations in the summer, even as it struggles with a significant uptick in demand, reports Reuters.
American Airlines (AAL) will cancel about 1% of its flights in July in response to bad weather and labor shortages in some of its hubs. AAL scores 3 out of 10 on TipRanks' Smart Score rating system, suggesting that the stock is likely to underperform market averages. However, the flight cancellations come when the airline industry is seeing a significant increase in demand for air travel.
American Airlines (AAL) will cancel about 1% of its flights in July in response to bad weather and labor shortages in some of its hubs. AAL scores 3 out of 10 on TipRanks' Smart Score rating system, suggesting that the stock is likely to underperform market averages. (See American Airlines stock chart on TipRanks) The aggressive COVID-19 vaccination programs across the U.S. have resulted in a significant reduction in travel restrictions.
American Airlines (AAL) will cancel about 1% of its flights in July in response to bad weather and labor shortages in some of its hubs. AAL scores 3 out of 10 on TipRanks' Smart Score rating system, suggesting that the stock is likely to underperform market averages. However, the flight cancellations come when the airline industry is seeing a significant increase in demand for air travel.
4398.0
2021-06-21 00:00:00 UTC
EXCLUSIVE-Airlines, unions urge U.S. to prosecute 'egregious onboard conduct'
AAL
https://www.nasdaq.com/articles/exclusive-airlines-unions-urge-u.s.-to-prosecute-egregious-onboard-conduct-2021-06-21
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WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday asked U.S. Attorney General Merrick Garland to crackdown on the growing number of disruptive and violent passengers onboard airplanes, according to a letter seen by Reuters. The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." (Reporting by David Shepardson, Editing by Franklin Paul) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday asked U.S. Attorney General Merrick Garland to crackdown on the growing number of disruptive and violent passengers onboard airplanes, according to a letter seen by Reuters. (Reporting by David Shepardson, Editing by Franklin Paul) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday asked U.S. Attorney General Merrick Garland to crackdown on the growing number of disruptive and violent passengers onboard airplanes, according to a letter seen by Reuters. (Reporting by David Shepardson, Editing by Franklin Paul) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday asked U.S. Attorney General Merrick Garland to crackdown on the growing number of disruptive and violent passengers onboard airplanes, according to a letter seen by Reuters. (Reporting by David Shepardson, Editing by Franklin Paul) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The letter from Airlines for America, which represents American Airlines AAL.O, Delta Air Lines DAL.N, United Airlines UAL.O, Southwest Airlines LUV.N and others, along with major unions said the "incidents pose a safety and security threat to our passengers and employees, and we respectfully request the (Justice Department) commit to the full and public prosecution of onboard acts of violence." WASHINGTON, June 21 (Reuters) - A group representing major U.S. airlines and aviation unions on Monday asked U.S. Attorney General Merrick Garland to crackdown on the growing number of disruptive and violent passengers onboard airplanes, according to a letter seen by Reuters. (Reporting by David Shepardson, Editing by Franklin Paul) ((David.Shepardson@thomsonreuters.com; 2028988324;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
4399.0
2021-06-20 00:00:00 UTC
American Airlines to cut 1% of July flights as travel rebound strains operations
AAL
https://www.nasdaq.com/articles/american-airlines-to-cut-1-of-july-flights-as-travel-rebound-strains-operations-2021-06-20
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June 20 (Reuters) - American Airlines AAL.O on Sunday said it would cancel around 1% of its flights in July to serve a surprise uptick in travel demand at a time when the airline struggles with unprecedented weather and a labor shortage at some of its hubs. American Airlines said the move would bring additional resilience and certainty to its summer operations. "(We) feel these schedule adjustments will help ensure we can take good care of our customers and team members and minimize surprises at the airport," the company said in a statement. The airline said its cancellations were targeted at impacting the smallest number of customers "by adjusting flights in markets where we have multiple options for re-accommodation." The announcement was first reported by the WSJ. Airlines and other transportation operators have seen a quick ramp up in demand as U.S. COVID-19 vaccination rates increased and travel restrictions lifted in recent weeks. According to data from the U.S. Transportation Security Administration, nearly 50 million airport passengers were registered in May, up 19% from April. So far in June, the TSA has registered nearly 35 million air passengers. American Airlines said the incredibly quick ramp up of customer demand also came at a time when bad weather caused multi-hour delays over the last few weeks, disrupting flight and crew work hours. The company said some of its vendors were also struggling with labor shortages, impacting the airline's operations. (Reporting by Tina Bellon in Austin; Editing by Daniel Wallis) ((Tina.Bellon@thomsonreuters.com; +1 646 573 5029; Reuters Messaging: tina.bellon.thomsonreuters@reuters.net; Twitter @TinaBellon)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
June 20 (Reuters) - American Airlines AAL.O on Sunday said it would cancel around 1% of its flights in July to serve a surprise uptick in travel demand at a time when the airline struggles with unprecedented weather and a labor shortage at some of its hubs. "(We) feel these schedule adjustments will help ensure we can take good care of our customers and team members and minimize surprises at the airport," the company said in a statement. Airlines and other transportation operators have seen a quick ramp up in demand as U.S. COVID-19 vaccination rates increased and travel restrictions lifted in recent weeks.
June 20 (Reuters) - American Airlines AAL.O on Sunday said it would cancel around 1% of its flights in July to serve a surprise uptick in travel demand at a time when the airline struggles with unprecedented weather and a labor shortage at some of its hubs. American Airlines said the incredibly quick ramp up of customer demand also came at a time when bad weather caused multi-hour delays over the last few weeks, disrupting flight and crew work hours. The company said some of its vendors were also struggling with labor shortages, impacting the airline's operations.
June 20 (Reuters) - American Airlines AAL.O on Sunday said it would cancel around 1% of its flights in July to serve a surprise uptick in travel demand at a time when the airline struggles with unprecedented weather and a labor shortage at some of its hubs. American Airlines said the incredibly quick ramp up of customer demand also came at a time when bad weather caused multi-hour delays over the last few weeks, disrupting flight and crew work hours. (Reporting by Tina Bellon in Austin; Editing by Daniel Wallis) ((Tina.Bellon@thomsonreuters.com; +1 646 573 5029; Reuters Messaging: tina.bellon.thomsonreuters@reuters.net; Twitter @TinaBellon)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
June 20 (Reuters) - American Airlines AAL.O on Sunday said it would cancel around 1% of its flights in July to serve a surprise uptick in travel demand at a time when the airline struggles with unprecedented weather and a labor shortage at some of its hubs. American Airlines said the incredibly quick ramp up of customer demand also came at a time when bad weather caused multi-hour delays over the last few weeks, disrupting flight and crew work hours. The company said some of its vendors were also struggling with labor shortages, impacting the airline's operations.