Why Shares of Hawaiian Holdings Fell Today
Shares of Hawaiian Holdings (NASDAQ: HA) closed down 9% on Thursday, a down day for most of the airline sector. Shares were likely under additional pressure due to geopolitical issues that could weigh on Hawaiian Airlines' recovery.
Airlines are facing significant declines in travel demand due to the COVID-19 pandemic, and Hawaiian has not been immune.
The airline's niche network relies on visitors to its home state. When Hawaii temporarily shut its borders earlier this year in response to the pandemic, much of the airline's route network shut down with it. And if the U.S. emerges from the pandemic in a recession, expect Hawaiian traffic to return more slowly than elsewhere, since it's considered a high-cost destination.
Source Fool.com
