As the airline industry returns to profitibility and begins to expand, there will be new oppurtunities for those who are trained and ready to take advantage of them. Look to the regional carriers to lead the way back to prosperity though according to Andrew Snyder of Today’s Financial News.
“In the teeth of a nasty recession, few investors would look to the airline industry as a source of market-beating profits. After all, it is a sector ravaged by high fuel prices, speculative hedges, multiple high-cost unions and now a major decline in service demand.
Even with all of these factors working against the nation’s airlines, the index that measures the collective shares of the industry’s major players has solidly beaten the benchmark S&P 500 over the past few weeks.
In the last month, the airlines have outpaced the market by over 30%. This recent trend is a sign that the industry’s consolidation and cost-cutting measures are starting to work. Even more importantly, it is an indication investors underestimated the value of the nation’s skies.”