Spirit Airlines Inc

JetBlue Airways and Spirit Airlines have reached a merger agreement. But the Department of Justice may not permit it as it cracks down on mergers due to antitrust laws.

JetBlue has made a hostile takeover bid for Spirit and is offering $30 per share to Spirit investors. Should you buy Spirit stock as the takeover battle heats up?

Will Spirit Airlines merge with JetBlue or Frontier? Spirit Airlines has decided to stick with the offer it received from Frontier and reject JetBlue's offer.

Budget airline rivals Frontier and Spirit Airlines announced on Feb. 7 that they will merge and create the fifth-largest airline in the U.S. Who owns Frontier Airlines now?

Delta Air Lines (DAL) expects to generate more than $7 billion–$8 billion of operating cash flow and ~$4 billion–$5 billion of free cash flow. It plans to reduce its adjusted net debt to $4 billion by 2020.

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.

Analysts are estimating 2Q16 revenue of ~$1.7 billion for JetBlue Airways (JBLU), which is a year-over-year increase of 2.2%.

American Airlines (AAL) stock rose almost 0.94% on September 12, the day of its traffic release.

Delta Air Lines (DAL) stock fell 3.5% after its traffic release on September 5, 2017. The negativity has spread to other players.

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.

For October, SAVE was ranked third on the metric according to the Department of Transportation. That’s a huge improvement since Spirit has historically been last.

In November 2017, Southwest Airlines’ (LUV) traffic grew 3.4% year-over-year (or YoY). This growth was higher than its capacity growth of 2.5% YoY in the same month.

The airline industry is capital-intensive, with high levels of depreciation and amortization and varying degrees of debt and operating leases. To neutralize these factors, we use the EV-to-EBITDA ratio to value airline stocks.

Currently, American Airlines (AAL), Southwest Airlines (LUV), and Alaska Air Group (ALK) are all trading at ~5x their forward EV-to-EBITDA multiples.

Spirit Airlines (SAVE) is headquartered in Miramar, Florida. It’s a pioneer of ultra-low-cost carrier or ULCC airlines.

FedEx Express offers three US overnight package delivery services: FedEx First Overnight, FedEx Priority Overnight, and FedEx Standard Overnight.

The most recent phase of consolidation that began in 2005 has seen 13 airline mergers and acquisitions. Four of these deals are worth special mention because they changed the face of the industry.

JetBlue Airways (JBLU) is expected to release its 2Q16 earnings on July 26. According to an analyst consensus, JBLU is expected to earn $0.49 in 2Q16, compared to earnings per share of $0.44 in 2Q15.

Of the 15 analysts rating Spirit Airlines’ stock, 80% (12 analysts) have a “buy” rating, 20% (three analysts) have a “hold” rating, and none of the analysts have a “sell” rating.

Spirit Airlines (NASDAQ:SAVE) reported its results for the first quarter of fiscal 2020 on Thursday. The company’s first-quarter revenue missed the estimates.

Spirit Airlines (NASDAQ:SAVE) will likely report its results for the first quarter of fiscal 2020 on May 7 when the market opens.

JetBlue Airways (NASDAQ:JBLU) will likely report its results for the first quarter of fiscal 2020 on May 7 after the market opens.

United Airlines (NYSE:UAL) has fallen 3.7% in pre-market trading as of 7:03 AM ET today. The airline industry has been hit hard by the COVID-19 pandemic.

Almost every US airline stock soared last Friday after the US Department of Labor reported stronger-than-expected job market data.

For Boeing, most of 2019 has been about the 737 MAX. It’s curbed the decision about whether to build its 797 model until the 737 MAX crisis is resolved.

This morning, Boeing (BA) received a major boost for its troubled 787 Dreamliner, whose order backlog has depleted rapidly.

With a year-to-date return of 21.9%, JetBlue Airways (JBLU) stock is one of the airline industry’s top performers. Here are analysts’ views on the stock.

Boeing (BA) may lose another multibillion-dollar aircraft order to Airbus as its fast-selling 737 MAX aircraft remain grounded.

Analysts have remained bullish about United Airlines stock. The analysts polled by Reuters provided a consensus “buy” recommendation on the stock.

Boeing has reportedly lost a huge aircraft order to Airbus. According to Reuters, GE Capital Aviation Services has ordered 25 Airbus planes.

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

Analysts’ recommendations Of the 17 analysts tracking Southwest Airlines (LUV), 36.8% of the analysts (seven analysts) gave a “strong buy” rating on the stock, while another 47.4% (nine analysts) gave a “buy” rating. The remaining 15.8% (three analysts) gave a “hold” rating. None of the analysts gave a “sell” or “strong sell” rating on the […]

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.

Alaska Air Group (ALK) is now trading at 6.6x its forward EV-to-EBITDA ratio—one of the highest valuations in the industry.

Because Southwest Airlines’ (LUV) traffic growth lagged its capacity growth in three of the first five months of 2017, its utilization also fell in three of the five months.

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).

Delta Air Lines (DAL) is currently valued at 5.3x its forward EV-to-EBITDA (enterprise value to earnings before interest, tax, depreciation, and amortization) multiple.

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.

In 4Q16, regional carrier Spirit Airlines (SAVE) had a leverage ratio of 0.96x, JetBlue Airways (JBLU) had a leverage ratio of 0.83x, and Alaska Air Group (ALK) had a leverage ratio of 0.36x.

In 4Q16, Southwest Airlines’s (LUV) yields fell 4% year-over-year to 14.7 cents, followed by Alaska Air’s (ALK) 3.3% decline in yield to 13.4 cents.

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. […]

For November 2016, Southwest Airlines’ (LUV) capacity grew 4.9% YoY (year-over-year). It’s slower than 5.4% YoY growth the previous month.

Currently, JetBlue Airways (JBLU) is valued at 4x its forward EV/EBITDA (enterprise value to earnings before interest, tax, depreciation, and amortization) multiple.

Following JetBlue’s 2Q16 earnings release, analysts’ consensus estimate for revenues remains unchanged.

Analysts expect JetBlue Airways’ (JBLU) 3Q16 revenue to come in at $1.7 billion, a year-over-year rise of 2.2%.

In 2015, Southwest Airlines’ prudent approach to capacity growth resulted in the better utilization of its capacity.

Revenues from American Airlines’ foreign operations make up about 30% of its total operating revenues. The airline has been consistently expanding its global footprint by adding new routes.

Spirit Airlines has historically followed a low-cost structure, and took numerous measures to keep its cost components the lowest in the industry.

Spirit and its competitors have seen their EV/EBITDA decrease in the last six months due to the fear of a large increase in available seat miles.