Why JetBlue Stock Is Gaining Altitude Today

ET ing Delta's quarterly results

Image source: JetBlue

Delta ders, others take notice Airlines tend to be cyclical, performing well when times are good and consumers have money to spend on vacations

S have been under pressure this year due to concerns that higher inflation and tariff-related uncertainty would lead to less demand

On Thursday, Delta kicked off airline earnings season by beating expectations and reinstating full-year guidance ahead of the consensus estimate

Investors are betting that if Delta is seeing strong demand, the rest of the industry is too

Though JetBlue will not report its results for weeks, investors are bidding the s up on anticipation that strong demand will boost earnings

Although airline stocks tend to move together, investors should be aware there are significant differences between Delta and JetBlue

Delta is part of a "big four" that control 80% of the domestic industry, leaving smaller companies JetBlue scrambling to soak up demand where they can

JetBlue has been a lot less fitable than Delta in recent quarters and faces a significant debt burden

The outlook for the company is at least slightly better today than it was yesterday, but investors should remain cautious around this stock

Lou Whiteman has no position in any of the stocks mentioned

The Motley Fool recommends Delta Air Lines

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