United Airlines (NASDAQ:UAL) Sees Large Volume Increase After Better-Than-Expected Earnings

United Airlines Holdings, Inc. (NASDAQ:UAL) saw an uptick in trading volume on Wednesday following a better than expected earnings announcement. 5,782,033 shares were traded during mid-day trading, a decline of 32% from the previous session’s volume of 8,485,155 shares.The stock last traded at $69.12 and had previously closed at $64.05.

The transportation company reported $3.33 EPS for the quarter, beating analysts’ consensus estimates of $3.10 by $0.23. The company had revenue of $14.84 billion during the quarter, compared to analysts’ expectations of $14.76 billion. United Airlines had a return on equity of 33.90% and a net margin of 5.28%. During the same quarter last year, the business posted $3.65 EPS.

United Airlines declared that its board has approved a share buyback plan on Tuesday, October 15th that permits the company to repurchase $1.50 billion in shares. This repurchase authorization permits the transportation company to buy up to 7.1% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s leadership believes its stock is undervalued.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on UAL shares. TD Cowen lifted their price objective on United Airlines from $80.00 to $100.00 and gave the company a “buy” rating in a research note on Thursday. Sanford C. Bernstein lifted their price objective on United Airlines from $68.00 to $85.00 and gave the company an “outperform” rating in a research note on Thursday. Bank of America lifted their price objective on United Airlines from $70.00 to $84.00 and gave the company a “buy” rating in a research note on Thursday. Morgan Stanley lifted their price objective on United Airlines from $80.00 to $88.00 and gave the company an “overweight” rating in a research note on Thursday. Finally, Susquehanna lifted their price objective on United Airlines from $70.00 to $85.00 and gave the company a “positive” rating in a research note on Thursday. Two research analysts have rated the stock with a hold rating and fourteen have given a buy rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $78.88.

Institutional Trading of United Airlines

Large investors have recently modified their holdings of the company. BNP Paribas bought a new stake in United Airlines during the first quarter valued at about $25,000. Fidelis Capital Partners LLC bought a new stake in United Airlines during the first quarter valued at about $27,000. Strategic Investment Solutions Inc. IL bought a new stake in United Airlines during the second quarter valued at about $30,000. Crewe Advisors LLC bought a new stake in United Airlines during the first quarter valued at about $32,000. Finally, GoalVest Advisory LLC bought a new stake in United Airlines during the first quarter valued at about $33,000. Institutional investors own 69.69% of the company’s stock.

United Airlines Stock Up 1.8 %

The company has a 50-day moving average price of $50.73 and a 200 day moving average price of $49.50. The firm has a market capitalization of $24.11 billion, a PE ratio of 8.32, a P/E/G ratio of 0.94 and a beta of 1.44. The company has a debt-to-equity ratio of 2.07, a current ratio of 0.77 and a quick ratio of 0.71.

United Airlines Company Profile

United Airlines Holdings, Inc, through its subsidiaries, provides air transportation services in North America, Asia, Europe, Africa, the Pacific, the Middle East, and Latin America. The company transports people and cargo through its mainline and regional fleets. It also offers catering, ground handling, flight academy, and maintenance services for third parties.