Despite several high-profile customer service incidents, airline stocks have continued to outperform in 2017. The NYSE Airline Index has reached levels last seen before 9/11. American Airlines (AAL), Delta Air Lines (DAL), and Southwest Airlines (LUV) are up 11%, 11%, and 25%, respectively, year-to-date vs. 8% for the S&P 500.

As competition continues to intensify, can future cash flows justify current stock prices? Have valuations grown too lofty, or can these stocks continue their impressive run?

To learn more, watch New Constructs CEO, David Trainer, discuss airline stock valuations and the implied market expectations across the industry.


This article originally published on July 12, 2017.

Disclosure: David Trainer and Kyle Guske II receive no compensation to write about any specific stock, style, or theme.

Follow us on Twitter, Facebook, LinkedIn, and StockTwits for real-time alerts on all our research.



Leave a Reply

Your email address will not be published.