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Tag: JBLU

  • JetBlue, Spirit Airlines appeal court ruling blocking their proposed merger

    JetBlue, Spirit Airlines appeal court ruling blocking their proposed merger

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    JetBlue Airways Corp. and Spirit Airlines Inc. said late Friday that they have appealed a court ruling that earlier this week blocked their planned merger.

    JetBlue
    JBLU,
    -1.19%
    and Spirit
    SAVE,
    +17.19%
    announced the appeal in a terse press release that provided no more details, adding only that the process is “consistent with the requirements of the merger agreement.”

    Wall Street was split on whether the airlines would be legally obliged to appeal the Tuesday ruling, which sided with the Justice Department in saying that a merger between low-cost JetBlue and ultra-low-cost Spirit would hurt competition.

    Shares of Spirit rallied 12% after hours Friday, while JetBlue shares fell nearly 2%. Analysts at JP Morgan said this week that the ruling freed JetBlue from a “costly merger.”

    Earlier Friday, Spirit sought to reassure investors about its liquidity and issued an upbeat fourth-quarter revenue guidance. Spirit has amassed about $5.5 billion in debt, and is reportedly seeking advisers to help restructure it.

    The likelihood of Spirit attracting a new merger or takeover bid is considered low without a debt restructuring. Frontier Group Holdings Inc.
    ULCC,
    -2.13%
    and JetBlue competed for Spirit in 2022, with Frontier ultimately bowing out in July of that year.

    Raymond James analyst Savanthi Syth said in a note earlier Friday that it was “clear to us that Spirit is pressing JetBlue to appeal the antitrust ruling, but we continue to believe the chances of success are low.”

    Syth has estimated that an appeal would take some four to five months.

    Shares of Spirit have lost 67% in the past 12 months, while shares of JetBlue are down 41%. The U.S. Global Jets ETF
    JETS
    has lost 9% in the same period. Those losses contrast with gains of 24% for the S&P 500 index
    SPX.

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  • Spirit Airlines Stock Gets a Downgrade. It’s the Least of the Carrier’s Problems.

    Spirit Airlines Stock Gets a Downgrade. It’s the Least of the Carrier’s Problems.

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    Spirit Airlines stock was falling again Thursday as the ultra-low-cost carrier’s predicament worsened.

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  • JetBlue stock loses altitude after facing ‘staggering’ weather delays — and warns of a wider-than-expected Q4 loss

    JetBlue stock loses altitude after facing ‘staggering’ weather delays — and warns of a wider-than-expected Q4 loss

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    JetBlue Airways Corp.’s stock fell 7% in premarket trades on Tuesday after the carrier warned it would post a wider-than-expected fourth-quarter loss, while it missed analyst estimates for its third-quarter loss and revenue.

    “While we have been able to offset some of the costs associated with the challenging operational backdrop, the sheer magnitude of the air traffic control and weather-related delays has been staggering,” the carrier said. 

    JetBlue
    JBLU,
    +1.69%
    said it lost $153 million, or 46 cents a share in the third quarter. In the year-ago quarter, JetBlue reported net income of $57 million, or 18 cents a share.

    Adjusted loss in the latest quarter was 39 cents a share, wider than the FactSet consensus estimate for a loss of 25 cents a share.

    JetBlue’s revenue fell 8% to $2.35 billion, below the analyst estimate of $2.38 billion.

    For the fourth quarter, JetBlue expects to report an adjusted loss of 55 cents to 35 cents a share against an analyst estimate of a loss of 15 cents a share.

    Also read: Airline stocks rocked as Israel-Hamas war fuels profit concerns

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  • Live Nation reportedly focus of Justice Department antitrust probe

    Live Nation reportedly focus of Justice Department antitrust probe

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    Ticketmaster parent Live Nation Entertainment Inc.
    LYV,
    -7.84%
    is expected to become the focus of an antitrust suit from the U.S. Department of Justice by the end of the year, according to a report late Friday. Citing three unidentified sources close to the matter, Politico reported Friday that the DoJ intends to claim Live Nation is abusing its power in the live music industry. A request for comment from the DoJ was not returned as of publication time. A new case would add to the embattled company’s many policy and legal battles, which, if successful, could lead to a breakup of the company, Politico had reported previously. Earlier in the month, JetBlue Airways Corp.
    JBLU,
    +1.95%
    said it was unwinding a joint venture with American Airlines Group Inc.
    AAL,
    +1.33%
    after a court ruling in May siding with the DoJ.

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  • Meta, Bank of America, Affirm, AmEx, JetBlue, and More Stock Market Movers

    Meta, Bank of America, Affirm, AmEx, JetBlue, and More Stock Market Movers

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    This copy is for your personal, non-commercial use only. To order presentation-ready copies for distribution to your colleagues, clients or customers visit http://www.djreprints.com.

    https://www.barrons.com/articles/stock-market-movers-3beb512f

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  • JBLU Stock Price | JetBlue Airways Corp. Stock Quote (U.S.: Nasdaq) | MarketWatch

    JBLU Stock Price | JetBlue Airways Corp. Stock Quote (U.S.: Nasdaq) | MarketWatch

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    JetBlue Airways Corp.

    JetBlue Airways Corp. provides air transportation services. It carries more than 30 million customers a year to 86 cities in the U.S., Caribbean, and Latin America with an average of 850 daily flights. The firm offers flights and tickets to more than 82 destinations, with accommodations such as free TV, free snacks, and the most legroom. The company was founded by David Gary Neeleman in August 1998 and is headquartered in Long Island City, NY.

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  • Airline stocks fell premarket after FAA says all U.S. flights grounded over computer outage

    Airline stocks fell premarket after FAA says all U.S. flights grounded over computer outage

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    Airlines stocks fell across the board in premarket trade Wednesday, after the Federal Aviation Administration said a computer outage had led to all U.S. fights being grounded. The agency said on its website that its “Notice to Air Missions” system has been activated “to address the equipment outage issues for the U.S. NOTAM system.” A NOTAM is a notice for workers engaged in flight operations. There was no indication of when service might be restored. Southwest Airlines Co.
    LUV,
    +1.68%
    led the decliners, falling 2.5%. American Airlines Group Inc.
    AAL,
    +3.97%
    was down 1.6%, United Airlines Holdings Inc.
    UAL,
    +5.54%
    was down 0.8%, JetBlue Airways Corp.
    JBLU,
    +4.92%
    was down 0.7% and Delta Air Lines Inc.
    DAL,
    +3.59%
    was down 0.7%. The U.S. Global Jets ETF
    JETS,
    +2.40%
    was down 0.7% and has fallen 14% in the last 12 months, while the S&P 500
    SPX,
    +0.70%
    has fallen 17%.

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  • Delta Air Lines stock jumps on raised guidance, as carrier cites ‘robust’ demand for air travel

    Delta Air Lines stock jumps on raised guidance, as carrier cites ‘robust’ demand for air travel

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    Delta Air Lines’ stock rose 4.7% before market open on Wednesday after the company raised its earnings guidance.

    The carrier
    DAL,
    -4.00%
    said it is executing on its three-year recovery plan, with year-one results ahead of expectations. Delta also highlighted robust demand for air travel as the industry recovers from the widespread disruption caused by the COVID-19 pandemic.

    The carrier raised its 2022 adjusted EPS guidance to $3.07 to $3.12. Analysts surveyed by FactSet were looking for earnings of $2.88 a share. For 2023, Delta Air Lines Inc. forecast a near doubling of adjusted earnings to $5 to $6 a share.

    See Now: After too little, too much, there are ‘Goldilocks’ conditions for air travel in 2023

    Delta also forecast 2023 revenue growth at 15% to 20% compared with 2022 and said it is on track to meet its 2024 earnings target of more than $7 a share. “Demand for air travel remains robust as we exit the year and Delta’s momentum is building,” said Delta CEO Ed Bastian, in a statement.

    Delta said it expects to deliver strong topline growth in 2023 and significant operating leverage, boosted by a full restoration of its network and continued improvements in premium and loyalty revenue.

    Non-fuel unit costs are expected to decline 5% to 7%, driving Delta’s margin expansion and adjusted earnings growth, the company said. Delta expects to generate more than $2 billion of free cash flow, which it said will enable further debt reduction.

    See Now: Delta kicked off airline earnings season with a bang. What does it mean for other carriers?

    “2022 is proving to be a pivotal year as we rebuild the world’s best-performing airline,” said Bastian, in the statement.

    The company’s robust guidance boosted other airline stocks before market open, with United Airlines Holdings Inc.
    UAL,
    -6.94%
    rising 1.4%, American Airlines Group Inc.
    AAL,
    -5.21%
    gaining 1.3%, and JetBlue Airways Corp.
    JBLU,
    -7.67%
    rising 1.3%.

    Delta shares have fallen 14.6% this year, compared with the S&P 500 index’s
    SPX,
    +0.73%
    decline of 15.7% and the U.S Global Jets ETF’s
    JETS,
    -2.85%
    slump of 14.3%. 

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