United Airlines: Soaring To New Heights
- United Airlines reported another strong quarter for December, easily smashing analyst estimates.
- The legacy airline guided to 2023 EPS of $10 to $12, far above analyst estimates.
- Domestic air travel spending remains below pre-COVID levels of GDP providing solid growth potential in 2023.
- The stock is far too cheap with the profit machine being unleashed and industrial transport stocks trading at up to 3x the P/E multiple of United Airlines.
Despite knowing legacy airlines were posting near record holiday earnings, United Airlines (NASDAQ:UAL) only trades at approximately half of pre-COVID levels. The airline actually reported shockingly strong guidance for 2023. My investment thesis remains ultra bullish on the stock due to the market disconnect with the earnings power of the airline.
Read the full article on Seeking Alpha.
Disclosure: Long UAL. Please review the disclaimer page for more details.
Comments