The airline stocks are set for a large rally, led by American Airlines Group Inc.
stocks, after Deutsche Bank analyst Michael Linenberg said it was time to buy into the industry as COVID-19 cases, hospitalizations and vaccination rates are all moving in the right direction. It upgraded nine US-based airlines to buy on hold. “As our upgrade is an industry wide call, we believe all of our names could see significant improvements from current levels,” Linenberg wrote in a note to customers. Among the biggest pre-market gainers, shares of American Airlines soared 5.8%, JetBlue Airways Corp.
won 2.1%, Delta Air Lines Inc.
increased 1.6%, Southwest Airlines Co.
rose 1.3% and Alaska Air Group Inc.
nailed on 1.2%. Meanwhile, United Airlines Holdings Inc.
edged up 0.3%, after an engine on Flight 328 exploded mid-flight on Saturday. The US Global Jets ETF
climbed 1.4% before the open, putting it on track to open to a one-year high, while futures
for the S&P 500
Investors seeking to profit from the merger of Canadian cannabis companies Tilray Inc. and Aphria Inc. have an interest in doing so by purchasing shares of Aphria, which are trading at a 51% discount from the conversion price of the merger, Cantor Fitzgerald analyst Pablo Zuanic said on Tuesday.
Tomi Kilgore is the Associate Editor of Investments and News for MarketWatch and is based in New York City. You can follow him on Twitter @TomiKilgore.