Airline Stocks Swings on New Study- Alaska Air Group (NYSE:ALK), United Continental (NYSE:UAL)


Alaska Air Group, Inc. (NYSE:ALK) edged out Delta Air Lines for the top spot in a new airline quality report from two universities. Overall airline performance improved in 2017, as well, according to the study. The shares of firm dropped -1.58% to $59.81.

A joint project between Embry-Riddle Aeronautical University and Wichita State Universities, measured four publicly available metrics: on-time performance, involuntary denied boarding, mishandled bags and customer complaints, according to Airline Quality Rating report. Hawaiian Airlines had the best on-time performance in 2017 88% of flights operated within 15 minutes of the scheduled time and Virgin America performed the worst at 70%.

On-time performance for the whole industry in 2017 was 80.2%, dropped 1.2% from 2016. Though this particular area was worse, the authors of the study told reporters on Monday that the total airline quality score for 2017, across the entire industry, is the best ever; three of the four metrics measured by the report have improved since 2016.

The associate professor of marketing at Wichita State University, Dean Headley said, “The best-ever industry AQR score for 2017 is largely due to improvements in the rate of involuntary denied boardings and the rate of mishandled bags. “Consumers have demanded this, and the industry listened and improved.”

A year after an infamous incident involving airport police dragging a bloodied passenger off a United Airlines flight in Chicago, nine of the 12 largest U.S. air carriers improved their rates of involuntary denied boardings. The industry overall reported the lowest such rate since 1991. The firm has total volume of 1.56 Million shares held in the session was surprisingly higher than its average volume of 2683.38 shares. EPS estimates indicating constrictive facts, the current year from sell-side analysts, Price to current year EPS stands at -7.00%, and looking further price to next year’s EPS is 29.86%. While take a short look on price to sales ratio, that was 0.95 and price to earnings ratio of 9.84 attracting passive investors.

United Continental Holdings, Inc. (NYSE:UAL) shares plunging -0.16% to $68.52 with a share volume of 5.26 Million. United Airlines (UAL) released that March 2018 operational results. UAL’s March 2018 consolidated traffic (revenue passenger miles) increased 6.5 percent and consolidated capacity surged 3.8% versus March 2017. UAL’s March 2018 consolidated load factor increased 2.2 points compared to March 2017. The stock is going forward its 52-week low with 21.25% and moving down from its 52-week high price with -17.49%. To have technical analysis views, liquidity ratio of a company was calculated 0.60 as evaluated with its debt to equity ratio of 1.63. The float short ratio was 4.84%, as compared to sentiment indicator; Short Ratio was 2.94.


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