Airline stocks rallied Wednesday after United Airlines cleared first-quarter earnings estimates in a late-Tuesday report. UAL stock soared on the results, triggering a surge among major airline stocks.
Chicago-based United Airlines reported a loss of 38 cents per share, compared to a loss of 59 cents the year prior. Including adjustments, United recorded a loss of 15 cents per share. Revenue increased 9.7% to $12.54 billion.
FactSet analysts expected a loss of 54 cents per share on $12.45 billion in sales.
United Airlines attributed $200 million in losses during the quarter to the Boeing 737 Max 9 grounding.
For the second quarter, United expects adjusted earnings to range from $3.75 to $4.25 per share, rising from $3.24 per share the year prior. Wall Street predicts Q2 earnings of $3.69 per share.
United Airlines maintained its full-year earnings outlook of $9 to $11 per share, while FactSet expects 2024 earnings of $9.16 per share.
UAL Stock Takes Off
UAL stock rallied 17.5% Wednesday to shoot above its 50-day moving average and 200-day line. United shares jumped 18% so far this year.
Rival Delta Air Lines swung 2.9% higher Wednesday. Delta last week reported an 80% earnings increase and guided ahead of views for its Q1 results.
DAL stock is trading below a 49.20 buy point for a cup-with-handle base. Shares leapt 19% in 2024.
American Airlines surged 6.6% Wednesday to mark a 1% gain on the year. American Airlines reports its first-quarter results on April 25.
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