Transportation

What to Watch When Major Airlines Report Thursday Morning

Chris Lange

Published: January 22, 2020 1:50 pm

Last Updated: January 30, 2020 10:51 am

Even with all the concerns surrounding Boeing Co. (NYSE: BA) and its 737 Max aircraft, it looks like major airliners will be making headlines as practically the whole industry is reporting earnings this week. A couple of the industry leaders have already reported, but even more are coming out before the opening bell on Thursday.

In the past, concerns over diseases spreading have been troubling for airlines, and with the outbreak of a new Coronavirus in China, more people may be hesitant to fly. There was a similar reaction to the Ebola outbreak a couple years ago.

United Airlines Holdings Inc. (NASDAQ: UAL) already reported earnings on Tuesday after the closing bell. The company said that it had $2.67 in earnings per share (EPS) and $10.89 billion in revenue, compared with consensus estimates that called for $2.65 in EPS and $10.88 billion in revenue. The same period of last year reportedly had $2.41 in EPS and $10.49 billion in revenue.

Consolidated fourth-quarter passenger revenue per available seat mile increased 0.8% year over year. At the same time, the consolidated fourth-quarter unit cost per available seat mile decreased by 1.3%.

United Airlines stock was last seen trading at $84.51, in a 52-week range of $77.02 to $96.03. The consensus price target is $110.71.

JetBlue Airways Corp. (NASDAQ: JBLU) has a market cap of $5.6 billion, and its shares are up 8% in the past year. The analysts’ consensus estimates call for $0.55 in EPS, as well as $2.03 billion in revenue. Shares traded at $19.83 on Wednesday. The consensus price target is $22.13. The JetBlue Airways stock has a 52-week trading range of $15.60 to $19.93.

American Airlines Group Inc. (NASDAQ: AAL) has a market cap of $12 billion, and its shares are down 20% in the past 52 weeks. As for earnings, the consensus estimates call for $1.15 in EPS and revenue of $11.32 billion. American Airlines stock was at $27.66. The consensus price target is $36.17, and the 52-week trading range is $24.23 to $37.23.

And Southwest Airlines Co. (NYSE: LUV) has a market cap of nearly $28 billion. Its shares are up 4% in the past year. The consensus estimates call for EPS of $1.09 and $5.72 billion in revenue. Shares were changing hands at $53.58. The consensus price target is $58.61, and Southwest Airlines stock has a 52-week range of $47.40 to $58.77.