Airlines Get A Boost From UBS Upgrade, Lower Crude (CAL, DAL, UAUA, LCC)

Airlines stocks are higher today after UBS upgraded several stocks in the beleaguered sector. UBS said lower fuel prices are significant and the companies will report much better-than-expected EPS results.

The firm upgraded AirTran Holdings Inc. (NYSE: AAI), Continental Airlines (NYSE: CAL), Delta Air Lines (NYSE: DAL), Northwest Airlines (NYSE: NWA), UAL (Nasdaq: UAUA) and US Airways (NYSE: LCC) from Neutral to Buy. The firm also upgraded JetBlue (Nasdaq: JBLU) from Sell to Neutral.

At 11AM ET AirTran was up 10%, Continental was up 8%, Delta was up 4%, Northwest was up 4%, UAL was up 9%, US Airways was up 8% and JetBlue was up 2%.

Crude is trading down nearly $5 per barrel today, and crossed below the $100 psychological level.

You May Also Be Interested In

• Ship traffic through Strait of Hormuz near three-month low
• Delek Logistics closes $230M unit offering at $50 per unit
• Westwood's WEEI energy ETF crosses $100M in assets