JetBlue Airways Corp. (NASDAQ: JBLU) has launched a promotional two-day only, one-way fare of $49 on several routes beginning Wednesday, January 3, and ending at one minute before midnight on Thursday. There are blackout dates and other possible restrictions and travel must fall between January 10 and April 25.
This is very similar to a mid-December one-day offer for flights on some routes as low as $44 one-way, with some restrictions. Travel had to take place between January 10 and February 14 or between February 26 and March 14. The allowable travel dates included the Martin Luther King Jr. holiday, but not the two-week period surrounding the President’s Day holiday.
Among dozens of published fares, JetBlue is advertising a $49 one-way flight from Boston to New York with the following restrictions: travel must occur on a Tuesday or Wednesday between January 10 and February 28 and availability of tickets at this price is limited.
Bloomberg reported last week that JetBlue’s on-time arrival rate is just 70%, well short of the industry average 79%. Delays add costs at a time when the airline has committed to cut costs by $300 million by 2020.
Late flights also make it more difficult to sell tickets. Maybe a two-day sale can help with that, or then again, maybe not.
For the first 11 months of 2017, JetBlue’s load factor is 84.5%, down 0.7 points year over year. The number of available seat miles has risen by 4.5% and the number of revenue passenger miles has risen by 3.6%. That disparity indicates that the airline’s fleet is growing faster than the number of passengers flying in those planes. Putting passengers in the available seats, even at a discount, is better than flying empty seats.
The airline’s stock traded Wednesday morning at $21.75, down about 2.8% for the day, in a 52-week range of $18.05 to $24.13. The 12-month consensus price target on the stock is $23.75.
24/7 Wall St.Want to Retire Early? Start Here (Sponsor)
Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?
Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Have questions about retirement or personal finance? Email us at [email protected]!
By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.
By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
