UPS and FedEx continue rise; LAN up on traffic results

North and South American stocks were mixed on Monday (11-Jan-2010), despite a slight drop in oil prices (-0.3%), to USD82.58, and gains in the wider market, with the Dow ending trading up (+0.4%). The AMEX Airline Index (-0.3%) dropped slightly as a result.

LAN Airlines up on improved traffic results for Dec-2009

LAN (+2.1%) was one of a handful of carriers to end trading up on Monday, following a 9.9% year-on-year increase in passenger numbers for Dec-2009, to 1.4 million. This was reflected in the carrier’s FY2009 results, with passenger numbers rising 16.4% for the year, to 15.4 million.

For Dec-2009, the carrier’s load factor rose 1.9 ppts, to 76.7%, on the back of a 10.6% increase in traffic (RPKs), outweighing a 7.8% increase in capacity (ASMs). The results for FY2009 were not quite as impressive, with load factor up 0.3 ppts, to 76.9%, as traffic grew 10.7% and capacity was increased 10.2%. For more information on LAN’s results and other carriers' news from Chile to Canada, please subscribe to America Airline Daily.

Meanwhile, freight carriers UPS (+4.4%) and FedEx (+2.7%) continued to lead those in positive territory on Monday, after UPS increased its 4Q2009 earnings forecast on Friday (08-Jan-2010).

Hawaiian down again after traffic results disappoint

Hawaiian Airlines (-1.8%) continued to drop, after analysts at Jesup & Lamont stated the carrier’s Dec-2009 traffic results did not meet expectations. The analysts has expected traffic growth of 8.0% for the carrier during the month, but Hawaiian reported only a 3.7% increase in demand. As a result, Jesup & Lamont adjusted its EPS forecast for Dec-2009 to a profit of USD0.14 per share. The analysts did not adjust its FY2010 EPS estimate of USD1.44 per share for the carrier.

JetBlue (-3.3%) and ExpressJet (-2.5%) meanwhile fell back most heavily on Monday.

North & South America selected airlines daily share price movements (% change): 11-Jan-2010