The low-cost carrier reported its fourth-quarter results ahead of Tuesday's opening bell.
I believe the Street is significantly underestimating the financial improvements of JetBlue Airways Corporation's JetForward strategy. I'm projecting Q1 and FY 2025 guidance will beat expectations, driven by JetForward's early success, with the December update already reflecting operational and financial improvements from this turnaround plan. I expect higher revenue and margins in 2025 coming from initiatives like preferred seating fees, revamped premium options, Blue Basic baggage policy changes, and network route optimizations.
JetBlue stock price has underperformed other American airline companies like United Airlines, Delta, and American Airlines. It has dropped by over 63% from its highest level in 2021, bringing its valuation to $2.8 billion.
JetBlue is offering early retirement packages to pilots nearing mandatory retirement age. Eligible pilots will be 59 years old on or before March 31, according to a pilot memo.
The option will become available on their app 'in the coming months,'
JBLU's top line is likely to have benefited from upbeat air-travel demand and improved connectivity, boosting the company's prospects in fourth-quarter 2024.
JetBlue (JBLU) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Carriers with greater exposure to premium travel will fare better this year, analysts say.
Evercore ISI raised the firm's price target on JetBlue to $6 from $5 and keeps an In Line rating on the shares. Across the firm's airlines and lodging coverage, the analyst believes the post-election demand pickup was "quicker and stronger vs. initial expectations" and that the compressed period between Thanksgiving and peak Holidays, combined with a dose of late-year corporate travel, also likely contributed to stronger outcomes, says the analyst as the firm adjusting airline estimates and rolling its price targets to a 2026 basis.
Department of Transportation denounces ‘unrealistic' JetBlue schedules in yet another setback for the airline
JetBlue, which did not admit liability, criticized the Transportation Department for a persistent lack of adequate air traffic control staffing.
The Department of Transportation is investigating other airlines, too, as it cracks down on repeated flight delays.