Why is united airlines stock going down. United airlines slid 38 in the premarket. The lower guidance helped pull down the stock of united airlines and other airlines including delta air. The covid 19 coronavirus outbreak has slammed the brakes on air travel and as a result most of americas airline carriers are down.
Cruise stocks such as carnival and royal caribbean were down at least 41. American airlines group united airlines holdings hawaiian. United airlines stock had a nice pop but is now coming back down.
United airlines stock sagged slightly on that news and in premarket trading on the news. But consider the company specific risk you took by buying luv and only luv. Few industries have suffered more in 2020 than airline stocks.
During the same period ual stock is down 409 and luv is down 208 150 basis points better than the etf. Returns as of 08012020. It may not retest the lows but ual still has a tough road ahead.
United airlines stock got a lift wednesday after the airline reported a narrower than expected loss in the second quarter and said its liquidity position was improving. Airline stocks have been slammed as companies cancel all but urgent travel and avoid regions with high numbers of cases of the coronavirus covid 19 but investors say the reaction may be. Most at risk are flight attendants.
Delta american and southwest fell more than 2 each. The 36000 workers are more than one third of uniteds total workforce. Why airline shares are down again today.