With fuel prices touching their lowest values in six years, airline companies have been saving millions of dollars on fuel and have seen significant improvements in profit margins. This has also resulted in a drop in airfares across the country.
Fuel prices have fallen by about 35% over the last year, allowing airlines to grow profits and expand capacity, which had been stagnated since the great recession.
Decreasing load factors across the airline industry mean that airlines are not able to fill up their seats as fast as they are adding seats. This justifies investor fears of overcapacity.
The unexpected fall in crude oil prices last year has left airlines with surplus cash, which they are using to grow their capacity or their supply of seats.
The demand for air travel experienced considerable growth in the month of August, driven by traditional vacation travel as well as lower fares of major air carriers.
In 2015, most airline stocks have fallen, and the NYSE ARCA Airline Index (XAL), which is composed of the major US airline stocks, has also tumbled as much as 13.5% year-to-date.
Hum’s features include diagnostic automobile service, roadside assistance, and voice support. It’s priced at $14.99 per month for the first vehicle.
Verizon got the NFL streaming deal for ~$1 billion for a four-year period—an amount significantly higher than what Verizon paid NFL for content in 2010.
Verizon’s previous acquisitions of upLynk, EdgeCast, OnCue, and AOL should further contribute to the capabilities of Verizon’s Go90 engagement model.
In 2016, PepsiCo and Starbucks will distribute Starbucks’s ready-to-drink, or RTD, coffee and energy beverages in select Latin American markets.
After a test run in October 2014, PepsiCo (PEP) has now extended its partnership with SodaStream (SODA) to expand in the home carbonation business. The share prices of SodaStream and PepsiCo rose by 6.4% and 0.6%, respectively, following the announcement on September 11.
PepsiCo’s growth potential in Russia and the CIS regions will be driven by favorable factors such as urbanization, the growing middle class, and the rise in the preference for packaged foods.
PepsiCo’s Frito-Lay North America division contributed 22% of the company’s net revenue in fiscal 2014. The segment posted an operating margin of 28% in fiscal 2014.
PepsiCo’s strategy for its UK business involves continued investment in its core brands across snacks and beverages, including Walkers, Tropicana, Naked, Quaker, and Pepsi.
In 2014, prescription pharmaceuticals generated revenue of $542.84 million, and consumer health generated revenue of $50.23 million— 91.5% and 8.5% of total revenue, respectively.
Akorn (AKRX) is a mid cap stock with a market capitalization of ~$4.37 billion. Akorn fell by 6.36% and underperformed some of its other peers.
For the week ending September 4, Amgen (AMGN) and Celgene (CELG) had returns of -5.69% and -5.36%, respectively.
For the week ending September 4, Endo and Jazz drove the IBB pharmaceuticals subgroup’s top five to underperform.
Neurocrine Biosciences (NBIX) rose 4.3% for the week ending September 4, 2015. Anacor Pharmaceuticals (ANAC) fell by 1.85%
Neurocrine Biosciences (NBIX) rose 4.03% for the week ending September 4, 2015. Clovis Oncology (CLVS) rose 4.08%