Is Spirit Airlines a Better Buy Than All Four of the Majors?
By Editor - Sun Oct 18, 9:04 am
Spirit Airlines (NYSE:SAVE) Chief Executive Officer Ted Christie believes that his airline will recover from the novel coronavirus downturn sooner than the four major carriers. If that’s true, SAVE stock suddenly becomes an interesting alternative for those looking to benefit from an eventual recovery. Source: Markus Mainka / Shutterstock.com But does it make Spirit the better long-term buy? Forget the Big Four? In 2020, I’ve written on several occasions about the big four airlines: Southwest (NYSE:LUV), Delta Air Lines (NYSE:DAL), United Airlines (NASDAQ:UAL), and American Airlines (NASDAQ:AAL). InvestorPlace – Stock Market News, Stock Advice & Trading Tips Of the four stocks, I prefer Southwest because it has a healthier balance sheet and Delta for its strong focus on the customer. I had never considered Spirit Airlines until I saw Christie’s comments on FlightGlobal. 7 Value Stocks To Buy in an Overvalued Market “Christie attributes his relative optimism to Spirit’s focus on carrying leisure travelers, a segment he and industry observers suspect will rebound faster than business and long-haul international travel,” FlightGlobal’s Jon Hemmerdinger wrote on Oct. 12. “‘Our leisure segment will come back faster than traditional corporate travel,’ Christie adds. ‘I don’t think its long-term impaired in any way.’” I’ve held the belief in 2020 that if you’re going to bet on the airlines, a much smarter move is to buy U.S.
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