Why Airline Shares Are Climbing Today
Airline shares soared higher at the open on Thursday, propelled by a move by American Airlines Group (NASDAQ: AAL) to aggressively boost its flight schedule for July in response to growing demand for travel.
Shares of American were up 11% as of 10 a.m. EDT, while shares of Spirit Airlines (NYSE: SAVE) were 13% higher. The rally extended to the entire industry, with Delta Air Lines (NYSE: DAL), United Airlines Holdings (NASDAQ: UAL), Southwest Airlines (NYSE: LUV), Alaska Air Group (NYSE: ALK), JetBlue Airways (NASDAQ: JBLU), Hawaiian Holdings (NASDAQ: HA), and Allegiant Travel (NASDAQ: ALGT) all up 3% or more.
Airline stocks have been hit hard by COVID-19, with global travel demand for a time falling 95% year over year due to the pandemic. All of the stocks lost half their value or more during the early days of the pandemic on fears that bankruptcies were inevitable.
Source Fool.com
