American Airlines Group Inc

Last week, Delta Air Lines’ CEO told Bloomberg that the carrier is still hoping Boeing will build a new midmarket airplane, dubbed the Boeing 797.

In August, Delta Air Lines had the lowest flight cancellation rate and the best on-time performance versus its top peers—Southwest, United, and American.

New regulatory problems may further delay Boeing’s (BA) delivery of its first ultra-long-range 777X series plane, hindering some airlines’ plans.

IATA CEO Alexandre de Juniac has expressed concerns about a rift among global airline regulators over the approval Boeing’s (BA) 737 MAX’s return to service.

Boeing received positive news today. The aircraft manufacturer unveiled that it had received new orders for its twin-aisle wide-body 777-300ER aircraft.

Two major US airlines that own Boeing’s (BA) 737 MAX planes have pulled the model from their schedules until early December.

Boeing (BA) stock closed 4.2% higher yesterday on news of its production ramp-up plan for its troubled 737 MAX planes.

Boeing (BA) stock gained more than 2% on Tuesday. There’s hope that the Boeing 737 MAX planes might return to service quickly.

The 737 MAX fiasco is expected to hurt Boeing’s (BA) second-quarter financial results severely.

Southwest Airlines (LUV) rose over 4% yesterday on social media speculation that Warren Buffett’s Berkshire Hathaway is considering a takeover bid.

Disciplined capacity additions, promotional offers, and marketing strategies to drive traffic have helped United Airlines improve its utilization rate.

Boeing (BA) has been lagging behind Airbus in the order-booking race for the past few years. However, the company seems set on breaking that record this year.

With a return of more than 43% YTD (year-to-date), United Continental (UAL) shares have remained the biggest gainer in 2018.

American Airlines (AAL) has received a consensus “buy” rating from analysts polled by Reuters.

American Airlines’ (AAL) traffic (revenue passenger miles) growth has exceeded its capacity (available seat miles) growth in the first nine months of 2018.

Considering the data in the past five years, Delta Air Lines (DAL) has been generating a strong FCF. Delta Air Lines’ five-year average FCF is $3.08 billion.

In this series, we’ll be taking a look at the companies that have announced $1,000 dollar bonuses, pay raises, increased dividends, and buybacks in the last two months.

Current valuation Southwest Airlines (LUV) has a forward EV-to-EBITDA[1. enterprise value to earnings before interest, tax, depreciation, and amortization] multiple of 7.1x. This is the highest multiple among the major airline carriers and is higher than its average valuation of 6.3x since September 2008. Peer comparisons American Airlines (AAL) is trading at a similar valuation […]

Only four airlines—Delta Air Lines (DAL), Southwest Airlines (LUV), American Airlines (AAL), and Alaska Air Group (ALK)—pay dividends to investors.

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For August 2017, AAL’s international traffic increased 6.9% year-over-year. Year-to-date, its international traffic has increased 5.5% YoY.

American Airlines’ (AAL) capacity grew 3.2% year-over-year in August, significantly higher than its 0.4% year-over-year growth reported in the previous seven months.

Delta Air Lines (DAL) has an indicated dividend yield of 2.0%, the highest among the four airlines that pay dividends.

AAL has paid little attention to its total debt, which rose from $20.8 billion at the end of 2015 to $24.3 billion at the end of 2016 and $24.5 billion at the end of 1Q17.

Horizon Air pilots have ratified a change in their existing eight-year pilot contract that entitles both existing and new pilots to receive significant pay raises.

There are only four airlines that currently pay dividends. This is due to the fact that airlines have struggled to stay profitable for a long time now.

At the start of the year, United announced its plan to grow its capacity by 0%–1%, in line with GDP growth expectations.

AAL’s utilization rose 0.3% YoY (year-over-year) in February, then by 1.8% YoY in April and 0.2% YoY in May.

For May 2017, American Airlines (AAL) reported a 2.3% YoY (year-over-year) growth in capacity—its highest growth so far in 2017.

Only one analyst has upgraded Delta Air Lines (DAL) since it released its traffic data on Friday, June 2, 2017.

The airline industry is very capital-intensive, so airlines generally have huge debt numbers on their balance sheets.

Currently, American Airlines (AAL) is valued at 6.6x its forward EV-to-EBITDA ratio (enterprise value to earnings before interest, tax, depreciation, and amortization).

As opposed to most other airlines that have been reducing their debts, American Airlines’ (AAL) debt has risen, partly due to its focus on completing its integration with US Airways.

For 2016 overall, United Continental (UAL) has generated $5.5 billion in operating cash flow and $1.9 billion in free cash flow.

For 1Q17, analysts are now expecting United Continental’s (UAL) EBITDA to fall 39% to $0.81 billion.

Airlines have long been known as capital destroyers. In times of profitability (such as now), they increase capacity to an extent that can’t be filled.

One of the major risks to Frontier Airlines is the fact that almost 45% of its flights originate from a single hub—Denver.

Frontier Airlines earned 42% of its revenue from ancillary fees or non-ticket revenue in 2016—a significant rise compared to 25% in 2015.

The load factor Airlines’ capacity utilization is measured using the passenger load factor, which is calculated by dividing traffic by capacity. Analyzing airlines’ load factors As discussed in the previous article, most airlines saw high capacity growth in January 2017. As a result, all airlines except JetBlue Airways witnessed a decline in their load factors. […]

Delta Air Lines started paying dividends only in 2013, and it’s one of the few airlines that pay dividends.

Until 3Q16, Delta Air Lines (DAL) had managed to keep its costs flat if not decreasing. However…

Delta Air Lines (DAL) saw average traffic of about 50 million passenger miles for the quarter, a 0.8% year-over-year improvement

United expects to add $800 million to profits by increasing seats from 105 per departure to 121 per departure in 2018.

For 4Q16, analysts are expecting United Continental’s (UAL) EBITDA to fall 26% to $1.4 billion.

For November 2016, American Airlines’s (AAL) load factor fell 0.3% and year-to-date 2016, its load factor fell 1.3%.

In November 2016, American Airlines’s (AAL) traffic fell 0.2% year-over-year, slightly lagging its capacity growth in the same period. Year-to-date, AAL’s traffic has increased 0.3%.

American Airlines’s (AAL) capacity grew 0.1% year-over-year in November 2016, similar to the growth seen during most of 2016. Year-to-date, AAL’s capacity has grown 1.9%.

For November 2016, Alaska Air Group’s capacity rose 2.8% YoY (year-over-year). It’s the slowest growth in any month in 2016.

JetBlue announced that it had undertaken a small stake (the exact stake is unclear) in JetSuite, the fourth-biggest private jet operator in the United States.

For the third quarter of the year, JetBlue Airways’ (JBLU) operating expenses—excluding fuel and profit sharing—rose 3.1% to 7.86 cents.