US Airways Stock In Freefall

[westcoastflyer]

US Airways stock price is down precipitously since mid-May. On May 19th, LCC stock closed at $10.32 per share; today it closed at $5.52. That's almost a 47 percent drop in just two and a half months! Yes, the stock market as a whole, and especially airline stocks, have been going lower during this period, but not this much. When airline stocks go lower as a group, LCC always seems to lead the way with the largest percentage drop. LCC stock has an unbelievably low price-to-earnings ratio of about 3 to 1. This tells me that the investment community does not have faith in this current management team to produce any favorable results in the future.

 

[700UW]

The market was down 260 points I bet all the transports took big hits.

LCC stock is higher than AMR now.

Airline Stocks today

Its not something limited to LCC, all the airlines took a beating today.

 

[SparrowHawk]

The market was down 260 points I bet all the transports took big hits.

LCC stock is higher than AMR now.

Airline Stocks today

Its not something limited to LCC, all the airlines took a beating today.

The whole market took a beating today. Hope and Change, what a joke. I'm going to go cling to my guns and religion now.

 

[westcoastflyer]

A correction to my earlier post, LCC P/E ratio is about 5:1 not 3:1. It's still very low compared to the other airlines, and the stock market as a whole. My point was that LCC stock is down more, percentage-wise, than any other airline stock.

 

[UPNAWAY]

I think it is a big buy right now.

 

[SparrowHawk]

I think it is a big buy right now.

I was thinking along similar lines. US stock runs in a near boom/bust cycle and if you time it right you can make money year in, year out.

Here's the question though, do you think it's hit bottom? I'm thinking it goes down to the high 3's low 4's. When and notice I said when the price of fuel eases I think you'll see it hit the $12 range.

So put in a Buy order @ $4.50 and a sell at $10 with a stop loss at $3.75. When you sell you take only the profit leaving the original investment amount on the table in hopes of picking up any further growth.

Sound like a plan?

 

[crazystnic]

US Airways stock price is down precipitously since mid-May. On May 19th, LCC stock closed at $10.32 per share; today it closed at $5.52. That's almost a 47 percent drop in just two and a half months! Yes, the stock market as a whole, and especially airline stocks, have been going lower during this period, but not this much. When airline stocks go lower as a group, LCC always seems to lead the way with the largest percentage drop. LCC stock has an unbelievably low price-to-earnings ratio of about 3 to 1. This tells me that the investment community does not have faith in this current management team to produce any favorable results in the future.

Yeah maybe DP will buyback stock to increase investor returns.... Remember these guys only think of themselves, no matter what they try to tell you.

The product sucks too, even though they try to tell you how great it is.

 

[28L_or_10R?]

US Airways stock price is down precipitously since mid-May. On May 19th, LCC stock closed at $10.32 per share; today it closed at $5.52. That's almost a 47 percent drop in just two and a half months! Yes, the stock market as a whole, and especially airline stocks, have been going lower during this period, but not this much. When airline stocks go lower as a group, LCC always seems to lead the way with the largest percentage drop. LCC stock has an unbelievably low price-to-earnings ratio of about 3 to 1. This tells me that the investment community does not have faith in this current management team to produce any favorable results in the future.

The whole market is down big. Not just US. My other stocks are dropping a deuce, as well.

 

[crazystnic]

The whole market is down big. Not just US. My other stocks are dropping a deuce, as well.

yeah down from the highs of DOW 12,600... but just because the dow is down to around 12K.... still as he said LCC is down over 40 Percent in a year.

internal battles of most employee groups... crappy mgmt.... battles with customers,,,, the list goes on and on.....
worst outfit I have ever seen

 

[Pi brat]

I think it is a big buy right now.

Did Doug ask you to put that out?

 

[toganoflex]

yeah down from the highs of DOW 12,600... but just because the dow is down to around 12K.... still as he said LCC is down over 40 Percent in a year.

internal battles of most employee groups... crappy mgmt.... battles with customers,,,, the list goes on and on.....
worst outfit I have ever seen

Calm down there motley fool.

Pull some other airline tickers and tell us how they did.

 

[yoyodyne]

Calm down there motley fool.

Pull some other airline tickers and tell us how they did.

Here you go..

Airline Sector - Google Finance

 

[SS255]

I was thinking along similar lines. US stock runs in a near boom/bust cycle and if you time it right you can make money year in, year out.

Here's the question though, do you think it's hit bottom? I'm thinking it goes down to the high 3's low 4's. When and notice I said when the price of fuel eases I think you'll see it hit the $12 range.

So put in a Buy order @ $4.50 and a sell at $10 with a stop loss at $3.75. When you sell you take only the profit leaving the original investment amount on the table in hopes of picking up any further growth.

Sound like a plan?

The old fear vs. greed conundrum. What to do? What to do?

 

[usa1]

QE3 coming ... not to worry! Goverment solution for everything.

 

[UPNAWAY]

For you union folks that do not understand economics the idea in stocks is to buy low and sell high. With airlines it is fairly easy to do.

For me I am waiting to see a 2-3 day positive movement before I buy, that will signal the bottom is likely passed.