JBLU - JetBlue: Pilot Negotiations Cloud Outlook

2024-04-05 16:26:00 ET

Summary

• JetBlue’s pilots giving notice to start contract negotiations could delay its return to profitability.
• Given recent contracts by Southwest, Delta, and American Airlines, JetBlue’s pilots could receive a salary raise between 40-50% over the life of the new contract.
• Domestic airfares are expected to drop this year which could hinder JetBlue's ability to reach its target of increasing revenues by $300 million.
• JetBlue’s market share could decline following its latest baggage fee hikes.
• My price target for JetBlue is $1.04 per share, implying an 85% downside from its current valuation.

...

For further details see: