3 Things United Airlines Stock Bulls Need to Happen Soon
The global economy is still reeling from the impact of the COVID-19 pandemic, and few industries have seen greater disruptions that the airline sector. With so many limitations on travel and the high costs of keeping planes safe for passengers and crew, United Airlines Holdings (NASDAQ: UAL) fell by more than 75% between January and mid-May.
Since then, though, United Airlines bulls have gotten a lot happier, and the share price has nearly doubled in just the past couple of months. Yet there's still plenty of uncertainty ahead for the company. Long-time investors will remember that United has had to resort to bankruptcy protection in the past, and as much as it's trying to avoid that fate this time around, there are factors beyond its control. Here's what United needs in order to keep itself in the air -- and keep shareholders enjoying a recovery in the airline stock.
The first step for United on its way to a full recovery is for travelers to start booking flights again. The industry have started to see passenger counts bounce back in recent months, with average throughput at security checkpoints across the U.S. rising from less than 100,000 per day in April to more than 750,000 on July 12. That's a far cry from the nearly 2.7 million passengers at airports the same time last year, but it's still a huge amount of progress that has helped restore some confidence in United and its peers.
Source Fool.com
