Top 5 Airline Companies To Watch In Right Now


Coming out of the financial crisis, Morgan Stanley Morgan Stanley made a crucial pivot that is bearing fruit as the bank gets further away from its darkest days and helped deliver first-quarter results that blew past Wall Street’s estimates.

The firm’s decision to double down on wealth management — buying Smith Barney from Citigroup Citigroup — has paid off, most recently in the first quarter when the segment accounted for $3.6 billion of Morgan Stanley’s $8.8 billion in net revenue.


Overall, revenue was up 3.5% from a year earlier and excluding an accounting adjustment related to debt valuation, income from continuing operations came in at $1.4 billion or 68 cents per share, ahead of the consensus estimate of 61 cents according to FactSet.

Chairman and CEO James Gorman touted improved revenues in each of the firm’s three business segments and said the firm continues to “execute on our multi-year strategy to deliver consistent returns for our shareholders through revenue growth and strong expense discipline.” He also touted Morgan Stanley’s plan to repurchase another $1 billion of its shares and double its dividend, after winning Federal Reserve approval for its capital plan last month.

Top 5 Airline Companies To Watch In Right Now: Indonesia Transport & Infrastructure Tbk PT (IATA)


PT Indonesia Transport & Infrastructure Tbk, formerly PT Indonesia Air Transport Tbk, is an Indonesia-based air transport service provider. The Company provides air transportation, hiring and/or leasing aircrafts, repairs and maintenance of aircrafts and trading of aviation technical equipment and related spare parts. It also provides medical evacuation services, tourism and scheduled flight services to several routes in central and eastern Indonesia. The Company operates various types of fixed wing aircrafts and helicopters, such as EC 155 B1, AS 365 Dauphin N2 twin turbine helicopter, Beechcraft 1900D, ATR 42-300, ATR 42-500 and Fokker 50. Advisors’ Opinion:

  • [By Shereen El Gazzar]

    The forecast, from the International Air Transport Association (IATA), sees the Middle East and the Asia-Pacific region with the strongest international passenger growth, with a compound average growth rate of 6.3% and 5.7% respectively.

Top 5 Airline Companies To Watch In Right Now: Global Eagle Entertainment Inc (ENT)

Global Eagle Entertainment Inc., formerly Global Eagle Acquisition Corp., incorporated on February 2, 2011, is the full service platform offering both content and connectivity for the worldwide airline industry. Through its combined content, distribution and technology platforms, the Company provides airlines and the millions of travelers they serve with the offering of in-flight video content, e-commerce and information services. Through its Row 44 subsidiary, the Company utilizes Ku-band satellite technology to provide airline passengers with Internet access, live television, shopping and travel-related information. As of February 1, 2013, the Company installed on more than 450 aircraft, Row 44 has the fleet of connected entertainment platforms operating over land and sea globally. In addition, through its AIA division, the Company provides film and television content, games and applications to more than 130 airlines worldwide. In July 2013, the Company announced the acq uisition of Post Modern Group, LLC. In October 2013, Global Eagle Entertainment Inc announced that it has acquired Travel Entertainment Group Equity Limited, the United Kingdom-based parent company of IFE Services Limited (IFE Services) from GCP Capital Partners LLP.


The Company’s Row 44 subsidiary provides satellite-based broadband service to the global airline industry. The Company’s Advanced Inflight Alliance (AIA) business is the provider of content services, products and solutions for the global inflight entertainment market. AIA also serves as the exclusive representative in sourcing Hollywood content for 60 airline customers and is the exclusive distributor of content from select Hollywood studios and independent producers to the airline market. In addition, AIA is the airline distributor of Asian, Bollywood, European, Latin American and Middle Eastern content.


Advisors’ Opinion:

  • [By Garrett Cook]

    Shares of Global Eagle Entertainment (NASDAQ: ENT) got a boost, shooting up 10.38 percent to $12.12 after the company and Boeing (NYSE: BA) announced a satellite connectivity partnership.

  • [By Steve Symington]

    What: Shares of Global Eagle Entertainment  (NASDAQ: ENT  )  rose 12% early Friday, then settled close up around 7% after the in-flight content and connectivity specialist released solid first-quarter results.

Top 5 Airline Companies To Watch In Right Now: Delta Air Lines Inc (DAL)


Delta Air Lines, Inc. (Delta) provides scheduled air transportation for passengers and cargo throughout the United States and around the world. The Company’s route network gives it a presence in every domestic and international market. Delta’s route network is centered around the hub system it operate at airports in Amsterdam, Atlanta, Cincinnati, Detroit, Memphis, Minneapolis-St. Paul, New York-JFK, Paris-Charles de Gaulle, Salt Lake City and Tokyo-Narita. Each of these hub operations includes flights that gather and distribute traffic from markets in the geographic region surrounding the hub to domestic and international cities and to other hubs. The Company’s network is supported by a fleet of aircraft that is varied in terms of size and capabilities.


Delta has bilateral and multilateral marketing alliances with foreign airlines to improve its access to international markets. These arrangements can include code-sharing, reciprocal frequent flyer progr am benefits, shared or reciprocal access to passenger lounges, joint promotions, common use of airport gates and ticket counters, ticket office co-location, and other marketing agreements. Its international code-sharing agreements enable it to market and sell seats to an expanded number of international destinations. The Company has international codeshare arrangements with Aeromexico, Air France, Air Nigeria, Alitalia, Aeroflot, China Airlines, China Eastern, China Southern, CSA Czech Airlines, KLM Royal Dutch Airlines, Korean Air, Olympic Air, Royal Air Maroc, VRG Linhas Aereas (operating as GOL), Vietnam Airlines, Virgin Australia and WestJet Airlines.


In addition to the Company’s marketing alliance agreements with individual foreign airlines, it is a member of the SkyTeam airline alliance. Delta also has frequent flyer and reciprocal lounge agreements with Hawaiian Airlines, and codesharing agreements with American Eagle Airlines (American Eagle) and Hawai ian Airlines. It has air service agreements with multiple do! mestic regional air carriers that feed traffic to its route system by serving passengers primarily in small-and medium-sized cities.

Through the Company’s regional carrier program, it has contractual arrangements with 10 regional carriers to operate regional jet and, in certain cases, turbo-prop aircraft using its DL designator code. In addition to Delta’s wholly owned subsidiary, Comair, it has contractual arrangements with ExpressJet Airlines, Inc. and SkyWest Airlines, Inc., both subsidiaries of SkyWest, Inc.; Chautauqua Airlines, Inc. and Shuttle America Corporation, both subsidiaries of Republic Airways Holdings, Inc.; Pinnacle Airlines, Inc. and Mesaba Aviation, Inc. (Mesaba), both subsidiaries of Pinnacle Airlines Corp. (Pinnacle); Compass Airlines, Inc. (Compass) and GoJet Airlines, LLC, both subsidiaries of Trans States Holdings, Inc. (Trans States), and American Eagle.


The Company’s SkyMiles program allows program members to earn mil eage for travel awards by flying on Delta, Delta’s regional carriers and other participating airlines. Mileage credit may also be earned by using certain services offered by program participants, such as credit card companies, hotels and car rental agencies. In addition, individuals and companies may purchase mileage credits. The Company reserves the right to terminate the program with six months advance notice, and to change the program’s terms and conditions at any time without notice.


SkyMiles program mileage credits can be redeemed for air travel on Delta and participating airlines, for membership in the Company’s Delta Sky Clubs and for other program participant awards. Mileage credits are subject to certain transfer restrictions and travel awards are subject to capacity controlled seating. During the year ended December 31, 2011, program members redeemed more than 275 billion miles in the SkyMiles program for more than 12 million award redemptions. D uring 2011, 8.2% of revenue miles flown on Delta were from a! ward trav! el.


The Company generates cargo revenues in domestic and international markets through the use of cargo space on regularly scheduled passenger aircraft. Delta is a member of SkyTeam Cargo, an airline cargo alliance. SkyTeam Cargo offers a network spanning six continents and provides customers an international product line.

The Company has several other businesses arising from its airline operations, including aircraft maintenance, repair and overhaul (MRO); staffing services for third parties; vacation wholesale operations, and its private jet operations. Delta’s MRO operation, known as Delta TechOps, is an airline MRO in North America. In addition to providing maintenance and engineering support for its fleet of approximately 775 aircraft, Delta TechOps serves more than 150 aviation and airline customers. Its staffing services business, Delta Global Services, provides staffing services, professional security, training services and aviation soluti ons to approximately 150 customers. The Company’s vacation wholesale business, MLT Vacations, is the provider of vacation packages in the United States. Its private jet operations, Delta Private Jets, provides aircraft charters, aircraft management and programs allowing members to purchase flight time by the hour.


The Company competes with SkyTeam, United Air Lines, Continental Airlines, Lufthansa German Airlines, Air Canada, American Airlines, British Airways and Qantas.

Advisors’ Opinion:

  • [By Johanna Bennett]

    Granted, shares of Southwest Airlines (LUV) fell 0.1% to $41.85 in early afternoon market action. But Delta Air Lines (DAL), United Continental Holdings (UAL), American Airlines Group (AAL) and Spirit Airlines (SAVE) and JetBlue Airways (JBLU) rose 0.35%, 0.2%, 1.78%, 0.3% and 0.48% respectively.

  • [By Tiernan Ray]

    With an upscale product on new Airbus narrow body aircraft, VA has routinely generated higher average fares and higher RASM on both long haul and short haul extremely competitive routes vs. legacy and traditional low cost carrier. Virgin has consistently generated higher average fares and higher revenue per mile than American Airlines, Delta Air Lines (DAL), and United Airlines (UAL) on transcontinental routes such as JFK to LAX and JFK to SFO […] During 4Q13, in the LAX to JFK market, Virgin America generated an average fare of $284, $17 above the second highest fare of $267 for American and $39 above the average fare for all carriers in this market. In 2Q14, the last period for which Department of Transportation data is available, American Airlines surpassed Virgin in terms of both average fare and RASM. This was the result of AAL’s switching to new smaller aircraft, thus cutting its capacity in the LAX to JFK market by approximately 18%. The reduction effe ctively reduced the number of discounted seats offered by American, squeezing the 18% lowest fare paying passengers off the AAL flights and thus driving the average AAL fare higher. We do not believe there was a material change in the relative performance of Virgin versus American in the top three-fourths of the fare paying passengers.

  • [By Quick Pen]

    Airbus (EADSY) and Boeing’s (BA) battle for supremacy in the aviation market is never ending. In one such similar event, European plane maker Airbus bagged a crucial order from Delta Air Lines (DAL) for A330neo and A350 which is valued at $14.3 billion at list price, which does not account for the discount offered by the plane maker. This is an essential deal for the player as Boeing dominates the wide-body market and this order would give Airbus a boost.

  • [By Adam Levine-Weinberg]

    Earnings at the top U.S. airlines — particularly American Airlines (NASDAQ: AAL  ) , Delta Air Lines (NYSE: DAL  ) , and Southwest Airlines (NYSE: LUV  ) — have soared in the past two years or so. In many ways, a new golden age of the U.S. airline industry has begun.

Top 5 Airline Companies To Watch In Right Now: United Continental Holdings Inc.(UAL)


United Continental Holdings, Inc., through its subsidiaries, engages in the provision of passenger and cargo air transportation services. As of February 24, 2011, it operated a total of approximately 5,675 flights a day to 372 airports on 6 continents from their hubs in Chicago, Cleveland, Denver, Guam, Houston, Los Angeles, New York, San Francisco, and Tokyo, as well as in Washington, D.C. The company was formerly known as UAL Corporation and changed its name to United Continental Holdings, Inc. on October 1, 2010. United Continental Holdings, Inc. was founded in 1934 and is headquartered in Chicago, Illinois.


Advisors’ Opinion:

  • [By Tom Rojas var popups = dojo.query(“.socialByline .popC”); popups.forEach(func]

    Hertz Global Holdings Inc.(HTZ) on Tuesday named Jeff Foland, United Continental Holdings Inc.’s(UAL) chief marketing and strategy officer, as the global car-rental company’s chief revenue officer, effective later this month.

  • [By Johanna Bennett]

    Granted, shares of Southwest Airlines (LUV) fell 0.1% to $41.85 in early afternoon market action. But Delta Air Lines (DAL), United Continental Holdings (UAL), American Airlines Group (AAL) and Spirit Airlines (SAVE) and JetBlue Airways (JBLU) rose 0.35%, 0.2%, 1.78%, 0.3% and 0.48% respectively.

  • [By Patrick Gillespie]

    United Airlines (UAL) and Orbitz (OWW) filed a civil lawsuit last month against 22-year-old Aktarer Zaman, who founded the website Skiplagged.com last year.

Top 5 Airline Companies To Watch In Right Now: AMR Corp (AAMRQ.PK)

AMR Corporation (AMR), incorporated in October 1982, operates in the airline industry. The Company’s principal subsidiary is American Airlines, Inc. (American). As of December 31, 2011, American provided scheduled jet service to approximately 160 destinations throughout North America, the Caribbean, Latin America, Europe and Asia. AMR Eagle Holding Corporation (AMR Eagle), a wholly owned subsidiary of AMR, owns two regional airlines, which do business as American Eagle – American Eagle Airlines, Inc. and Executive Airlines, Inc. (collectively, the American Eagle carriers). American also contracts with an independently owned regional airline, which does business as AmericanConnection (the AmericanConnection carrier). As of December 31, 2011, AMR Eagle operated approximately 1,500 daily departures, offering scheduled passenger service to over 175 destinations in North America, Mexico and the Caribbean.


American, AMR Eagle and the AmericanConnection airline served more than 250 cities in approximately 50 countries with, on average, 3,400 daily flights and the combined network fleet numbered approximately 900 aircraft as of December 31, 2011. American Airlines is also a founding member of the oneworld alliance, which includes British Airways, Cathay Pacific, Finnair, LAN Airlines, Iberia, Qantas, JAL, Malev Hungarian, Mexicana, Royal Jordanian and S7 Airlines. Together, oneworld members serve 750 destinations in approximately 150 countries, with about 8,500 daily departures. American is also one of the scheduled air freight carriers in the world, providing a range of freight and mail services to shippers throughout its system onboard American’s passenger fleet.


To improve access to each other’s markets, American has established marketing relationships with other airlines and rail companies. As of December 31, 2011, American had marketing relationships with Air Berlin, Air Pacific, Air Tahiti Nui, Alaska Airlines , British Airways, Cape Air, Cathay Pacific, China Eastern ! A! irlines, Dragonair, Deutsche Bahn German Rail, EL AL, Etihad Airways, EVA Air, Finnair, GOL, Gulf Air, Hawaiian Airlines, Iberia, Japan Airlines (JAL), Jet Airways, JetStar Airways, LAN (includes LAN Airlines, LAN Argentina, LAN Ecuador and LAN Peru), Niki Airlines, Qantas Airways, Royal Jordanian, S7 Airlines, and Vietnam Airlines.

American has established the AAdvantage frequent flyer program (AAdvantage). AAdvantage members earn mileage credits by flying on American, American Eagle and the AmericanConnection carrier or by using services of other participants in the AAdvantage program. Mileage credits can be redeemed for free, discounted or upgraded travel on American, American Eagle or other participating airlines, or for other awards. American sells mileage credits and related services to other participants in the AAdvantage program. There are over 1,000 program participants, including a credit card issuer, hotels, car rental companies, and other products an d services companies in the AAdvantage program. As of December 31, 2011, AAdvantage had approximately 69 million total members.

The Company competes with Alaska Airlines (Alaska), Delta Air Lines (Delta), Frontier Airlines, JetBlue Airways (JetBlue), Hawaiian Airlines, Southwest Airlines (Southwest) and AirTran Airways (Air Tran), Spirit Airlines, United Airlines (United) and Continental Airlines (Continental), US Airways and Virgin America Airlines.

Advisors’ Opinion:

  • [By Insider Monkey]

    Last but not the least is US Airways Group (LCC), in which Y/Cap slightly increased its position, now owning around $7.9 million. U.S. Airways is currently on the minds of many investors, mainly due to its plans to merge with American Airlines parent AMR Corp (AAMRQ.PK). While European regulators approved the merger, the U.S. Department of Justice put a spoke in the wheel, and is trying to block the move. The companies filed a motion to the court to set the trial date for November 12. Amid these actions, U.S. Airways and American Airlines prolonged the outside date at which one of the companies can terminate the proposed merger.

  • [By Tom Sandlow]

    Synopsis: As a result of the terms of its bankruptcy and the proposed merger with U.S. Airways (LCC), an equity investment in AMR Corp (AAMRQ.PK) is equivalent to a series of derivatives on LCC. At current market values, AAMRQ is undervalued by approximately 40%. It is possible to create an arbitrage position that should capture this pricing differential over the next 6 months.