ACDVF - Airline stocks decline as analysts see risks to near-term estimates

Airline stocks are reeling as confidence fades that the fall-winter recovery will progress as originally forecast and as the higher level of oil prices starts to factor in to Q4 and 2022 estimates. Wolfe Research dropped its rating on Delta Air Lines, Allegiant Travel (ALGT -3.7%), Hawaiian Holdings (HA -5.7%) and Air Canada (OTCQX:ACDVF) to Peer Perform from Outperform on a call tied mainly to valuation. Analyst Hunter Keay thinks consensus marks have to come down on the group, but says patient investors can ride out the choppiness. "Every industry is different but the 'transition year' is common to all. And though each one is unique in its own way it usually means the same thing: results won’t be great. But some transition years are better than others, like the looming transition year in 2022 for the airlines, for one. And history suggests the market may be patient if results

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Airline stocks decline as analysts see risks to near-term estimates