Why Airlines Shares Are Gaining Ground Today
It is airline earnings season, and while 2020 fourth-quarter results were as dismal as expected, the companies are relatively optimistic about what's to come. That's helping the sector gain altitude on Thursday, a good day for broader markets as well.
Shares of American Airlines Group (NASDAQ: AAL) are leading the charge, up as much as 31% earlier in the day before falling back. American's push appears to be driven by factors unrelated to the airline's results. Shares of Hawaiian Holdings (NASDAQ: HA), Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), United Airlines Holdings (NASDAQ: UAL), Spirit Airlines (NYSE: SAVE), and JetBlue Airways (NASDAQ: JBLU) all joined in on the action, each up at least 5% at one point on Thursday.
The airline industry was among the sectors hit hardest by the pandemic, with demand for travel all but evaporating last spring and losses continuing through the rest of the year. The fourth-quarter results reflected the issues the companies face, with investors digesting results from three companies on Thursday.
Source Fool.com
