22-Jun-2010 12:52 PM
JetBlue, AirTran and Southwest Airlines fall
Analysis
Summary
- US LCC stocks fell as oil prices rose, driven by China's flexible exchange rate policy.
- Investors are analyzing the outcomes of the Bank of America Global Transportation conference.
- JetBlue is focusing on improving yields by reining in growth.
- AirTran is capitalizing on the struggles of legacy carriers.
- Southwest Airlines is working on improving revenues and cutting costs, but economic concerns remain.
- WestJet attributes its success to its people and culture.
Investors are also digesting the outcomes from last week's Bank of America Global Transportation conference, covered extensively by CAPA, with the following reports on the leading North American LCCs:
- JetBlue reins in growth, yields improving
- AirTran takes advantage of legacy woes
- Southwest focusing on improving revenues and cutting costs in 2Q2010, but economic concerns persist
- WestJet pegs success on people and culture
In trading yesterday, JetBlue, AirTran and Southwest Airlines fell 4.2%, 3.0% and 0.5%, respectively, while WestJet gained 0.1%.
Selected LCCs daily share price movements (% change): 21-Jun-2010
Source: Centre for Asia Pacific Aviation, Yahoo! Finance & Reuters