The COVID-19 pandemic severely disrupted the airline industry, reducing the revenues and share prices of companies in this space dramatically. However, a steep decline in COVID-19 cases prompted people to travel again last year, which helped the industry rebound. Indeed, over the Presidents' Day weekend, U.S. airports saw record traffic, with the Transportation Security Administration inspecting roughly 8.4 million passengers.
While the escalating war between Ukraine and Russia has caused jet fuel prices to spike, making the cost of airline tickets even more expensive, pent-up travel demand globally with the economic rebound should drive the airline industry's growth. Furthermore, the global aviation market, which was valued at $26.21 billion in 2021, is projected to reach $36.46 billion in 2028, registering a 4.8% CAGR.
