The travel and tourism industry has been hit hard by the coronavirus pandemic. To help stimulate air travel and win over customers, United, Delta, and American Airlines have eliminated change fees for most domestic flights.
What's the latest United Airlines news?
United Airlines said that it has permanently eliminated change fees for domestic flights. Airlines are identifying new competitive strategies because of the slow rebound in air-travel passenger demand since April. Additionally, there are concerns that coronavirus cases could rise again during fall and winter.
American Airlines took a step ahead of Delta and United, reducing fees for international flights to and from Mexico, the Caribbean, and Canada, and most domestic tickets. Southwest Airlines' marketing tool is that it has never charged change or baggage fees.
The U.S. Department of Transportation reports that Delta, American, and United Airlines generated $830 million, $819 million, and $625 million in revenue from change and cancellation fees in 2019, respectively.
According to The Wall Street Journal, “United said it would furlough 2,850 pilots in the coming months if more federal aid doesn’t emerge, and 36,000 employees—half its domestic workforce—have been told their jobs will be at risk. American said it would cut 1,600 pilots and as many as 19,000 workers in total.”
What is United Airlines' stock price today?
In premarket trading today, United Airlines stock was down about 0.3 percent at $35.88. The stock fell 3.6 percent yesterday and closed at $36 with a market capitalization of $10.9 billion. The stock has risen by 2.2 percent in the last five days and fallen by 56.7 percent in the last year. United Airlines stock is trading 62.2 percent below its 52-week high of $95.16 and 102.2 percent above its 52-week low of $17.80. Year-to-date, the stock had fallen by 59.1 percent as of yesterday.
What is American Airlines' stock price today?
American Airlines stock was up about 0.4 percent at $13.10 in premarket trading today. The stock fell 4.0 percent yesterday and closed at $13.05 with a market capitalization of $6.9 billion. The stock has fallen by 0.7 percent in the last five days and 50.8 percent in the last year. American Airlines stock is trading 58.8 percent below its 52-week high of $31.67 and 58.2 percent above its 52-week low of $8.25. Year-to-date, the stock had fallen by 54.5 percent as of yesterday.
What are airline stocks' forecast?
Analysts' average price target for United Airlines stock is $41.53, which suggests a 15.4 percent upside in the next 12 months. American and Delta Airlines have average target prices of $11.56 and $35.47, respectively, which suggest returns of -11.4 percent and 14.9 percent.