The hot story around WHQ is chapter 11 sometime next week. An old college buddy who is a UAL attorney said "Chapter 11 looks to be about a 98% chance at this point" His words not mine. It does not look good for UAL.
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by mach92: The hot story around WHQ is chapter 11 sometime next week. An old college buddy who is a UAL attorney said "Chapter 11 looks to be about a 98% chance at this point" His words not mine. It does not look good for UAL.</font>
I do wonder what this means to UA loyalists. Here's how I see the 4-step Road to Recovery:
1) Blame Denise at the UA 1K room at IAD.
2) Terminate same.
3) Anyone's guess, but still blame Denise because she sucks out loud and caused this mess.
4) Problems solved!
QED.
[edited for numbering; no need to thank me]
[This message has been edited by TravelinWilly (edited 07-19-2002).]
Coming off a nearly 20 percent nosedive Friday, UAL (UAL: news, chart, profile) had some salt ground into its wounds by a J.P. Morgan analyst. Jamie Baker pulled the trigger on the parent of United, downgrading it from "buy" to "market performer."
"With competing names having corrected to United's level, that name is no longer the value it once was," Baker said, "and we recommend swapping into Northwest [which has a] similar return potential as UAL but with far less risk."
<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by jss:
The title of this thread does not mean too much anymore--what stock isn't down 41%. </font>
SQ and QF for starters.
Out of interest, based on your question I went and looked just now at Qantas, which as you can see below - 9/11 notwithstanding outperformed the local stock market here by a long way, about 40% BETTER in fact, taken over past 2 years.
And Singapore Airlines now is higher than it was a year back, and DOUBLE the September 11 spike down, so perhaps there is some upside with UA?
The S&P's Airlines Index dropped nearly 6%percent to hit a new 52-week low today, led by a steep fall in UAL, dropping more than 11% to another new 52-week low of $4.7 .
So in just over a year, UAL's price has fallen over 86% after hitting a 1-year high of $35.2 back on 8/1/01. One tough year!
UAL fell another 3% to $4.5 on the news of the code-share agreement with US Airways, whose stock incidentally went the other way, rising nearly 3% at $2.6 !
UPDATE: And now an new intraday low of 3.47 !
[This message has been edited by doc (edited 07-25-2002).]
At the open, the Amex Airline Index moved up an appreciable 6.6 percent to stand at 52.55.
UAL Corp. led the way, zipping up better than 24%, or $1.16, to $5.94 in recent action. The parent of UA said it will issue only electronic tickets for eligible itineraries at all locations by January 2004.
The airline will begin charging $20 for all paper tickets requested by customers issued in the U.S., the U.S. Virgin Islands and Puerto Rico starting Aug. 1. The company intends to eliminate all paper tickets by July 2003.
You know how folks used to day trade internet stocks during the bubble days of two years ago? Well, I'm thinking that if you wanted to, you could trade airline stocks like that.
These days, commissions are low enough and there is enough volatility that you might be able to do it with a few thousand bucks. Let's say you bought UAL at under $4 a share and you used Brown, which charges you $5 a transaction. Well, if you sold it after it gained a buck a share, and you had 200 shares, you'd be looking at a nice $190 profit on a $800 investment. Not too shabby.
But you also have to be willing to lose it all.
__________________
Flying an aeroplane with only a single propeller to keep you in the air. Can you imagine that?
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