Airline Stocks Are Soaring: Should You Buy or Sell?
Airlines have been among the hardest-hit businesses during the COVID-19 pandemic. For much of the spring, nearly all states were requiring people to stay home except for essential activities. In any case, with conventions canceled, businesses moving to remote work, theme parks closed, hotels offering limited service, and international travel severely restricted by travel bans, most Americans have had nowhere to go.
The resulting plunge in air travel demand caused airlines to begin hemorrhaging cash. As a result, shares of major airlines like American Airlines (NASDAQ: AAL), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), and United Airlines (NASDAQ: UAL) have lost half to two-thirds of their value over the past three months.
However, airline stocks bounced back in a big way this week, lifted by signs that travel demand is starting to recover. United Airlines shares led the way, surging 27.5%.
Source Fool.com
