Why Airline Shares Are Falling Today
Shares of major airlines continued to be under pressure on Friday as fresh details leaked out about how the COVID-19 coronavirus pandemic has impacted travel demand. The airlines are bleeding cash and looking for ways to cut costs, and increasingly it appears there will be no quick turnaround.
Shares of American Airlines Group (NASDAQ: AAL) were down 8% as of 3 p.m. EDT, while shares of United Airlines Holdings (NASDAQ: UAL) and Southwest Airlines (NYSE: LUV) were down more than 5%.
Airlines have been hard hit by the pandemic, with travel demand all but evaporating overnight. The airlines have cut flights and grounded planes to try to trim costs, but no amount of cutting can offset no revenue coming in the door.
Source Fool.com
