United Airlines: Strong Read From Delta’s Earnings

Summary:

  • United Airlines is favored over Delta following the IT outage.
  • The airline sector is normalizing post-Covid, with United well-positioned for higher profitability and potential capital returns to shareholders.
  • United trades at 5x 2025 EPS targets, with a projected 14% earnings growth, and has significantly reduced its debt, enhancing financial stability.

United Boeing 737 MAX 8 airplane at Los Angeles airport in the United States

Boarding1Now

With a legacy airline struggling with an IT outage, United Airlines Holdings, Inc. (NASDAQ:UAL) has taken flight to post-Covid highs. The airline stock is still incredibly cheap, but whether or not the market will reward the stock with a


Analyst’s Disclosure: I/we have a beneficial long position in the shares of UAL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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