Are airline stocks a good long-term investment?

Helane Becker, senior research analyst at Cowen, joins "Squawk Box" to discuss how the airline stocks may move heading into the holiday season as well as into 2021. Subscribe to CNBC PRO for access to investor and analyst insights on airlines and more: https://cnb.cx/2BT2E7y

Shares of U.S. airlines surged to multi-month highs Monday after U.S. pharmaceutical giant Pfizer and German biotech firm BioNTech reported positive results from their Covid-19 vaccine trial, igniting hopes that it could revive air travel demand

United Airlines added more than 19% to end the day at $41.32, while Delta Air Lines rose 17% to $36.77, and shares of Hawaiian Holdings, parent of Hawaiian Airlines, soared 50% to $20.89, each closing at the highest price since June. American Airlines rose 17% to $13.20, a two-month high. Shares of aircraft maker Boeing rose 13.7% to $179.36, a three month closing high. The gains far outpaced the broader market with the S&P 500 ending the day up 1.2%.

Airline stocks are particularly sensitive to coronavirus news as the pandemic has prevented many customers from flying, pressuring revenue and driving up losses to more than $20 billion in the last two quarters alone.

Demand has climbed from more than five-decade lows hit in April, but is still far below normal levels. The Transportation Security Administration screened an average of 616,868 people a day since March 1 through Sunday, down from close to 2.4 million a day during the same period last year.

United’s CEO Scott Kirby has said he expects revenue to plateau at half of 2019 levels without a widely available vaccine.

Pfizer and BioNTech said Monday that their coronavirus vaccine was more than 90% effective in preventing Covid-19 among those without evidence of prior infection.

» Subscribe to CNBC TV: https://cnb.cx/SubscribeCNBCtelevision
» Subscribe to CNBC: https://cnb.cx/SubscribeCNBC
» Subscribe to CNBC Classic: https://cnb.cx/SubscribeCNBCclassic

Turn to CNBC TV for the latest stock market news and analysis. From market futures to live price updates CNBC is the leader in business news worldwide.

The News with Shepard Smith is CNBC’s daily news podcast providing deep, non-partisan coverage and perspective on the day’s most important stories. Available to listen by 8:30pm ET / 5:30pm PT daily beginning September 30: https://www.cnbc.com/2020/09/29/the-news-with-shepard-smith-podcast.html?__source=youtube%7Cshepsmith%7Cpodcast

Connect with CNBC News Online
Get the latest news: http://www.cnbc.com/
Follow CNBC on LinkedIn: https://cnb.cx/LinkedInCNBC
Follow CNBC News on Facebook: https://cnb.cx/LikeCNBC
Follow CNBC News on Twitter: https://cnb.cx/FollowCNBC
Follow CNBC News on Instagram: https://cnb.cx/InstagramCNBC

https://www.cnbc.com/select/best-credit-cards/

#CNBC
#CNBCTV

Видео Are airline stocks a good long-term investment? канала CNBC Television