Guess the Stock E48 | Flying on a budget with low-cost carriers
This event is to help mooers learn more about the differences among companies and industries, uncover hidden investment opportunities, and better navigate the market.
Global travel data provider OAG has published its latest analysis of the low-cost carrier (LCC) market, with LCCs now making up almost a third of global airline capacity. The firm also pointed to the rise of so-called ‘ultra low-cost carriers’ (ULCCs), which provide “a core offering of a basic level of service with a menu of options that passengers can add on”.
Do you prefer low-cost carriers or legacy airlines? Which do you think is the better investment opportunity? Let's dive into several LCC companies together!
Rewards
1) 4,000 points: All mooers who answer the following questions correctly will be considered the winner of the challenge. Winners will split the prize of 4,000 points fairly. (e.g., If 100 mooers win, each mooer will get 40 points.)
2) Cash Coupons: 3 users who give the best-quality comments will get USD 2 / SGD 2.8 cash coupons. (You can share investment ideas, trading experiences, and/or your analysis of companies.)
Question:
1) What companies do Company A, Company B, and Company C refer to, respectively?
2) What are Companies A, B, and C ranking in terms of Market Capitalization?
Reference answer form: A>B>C or A<B<C or C<A≈B (within 10% deviation)
3) What investment opportunities do you see on the topic?
Challenge Start >>
Company A: Net income from FY 2010 to FY 2022 (in million U.S. dollars)
It is a U.S.-based airline and the world's largest low-cost carrier. It is headquartered in Dallas, Texas. The airline was founded in 1967 when it began operating in Texas as an intrastate carrier, began regional interstate service in 1979, and expanded nationwide over the next few decades. Its business model differs from other U.S. airlines because it uses a rolling hub and point-to-point network and allows free checked baggage. Its fleet uses only Boeing 737 jets.
Company B: Passenger revenue from FY 2011 to FY 2022 (in million U.S. dollars)
It is an American low-cost airline headquartered in New York City. It operates more than 1,000 flights daily, serving more than 100 domestic and international network destinations. The company's planned IPO was put on hold due to the September 11 attacks and took place in April 2002. in April 2023, it announced that it would add Amsterdam to its list of international destinations in late summer 2023.
Company C: Number of passengers from 2011 to 2022 (in millions)
This is an Irish low-cost airline founded in 1984. The airline is characterized by rapid expansion, a result of the deregulation of the European airline industry in 1997 and the success of its low-cost business model. Its route network serves more than 40 countries in Europe, North Africa, and the Middle East. The airline went public in 1997, raising funds to expand the airline into a pan-European carrier.
How to Participate?
Add the stock tickers (e.g., $Tesla(TSLA.US)$), plus the Market Cap comparison and any comments on the above industry/companies to your answers. Further investment ideas are also welcome.
*Plagiarized answers will not be rewarded.
*Event Period: June 16 – June 23. Rewards will be issued within a month.
This presentation is for information and educational use only and is not a recommendation or endorsement of any particular investment or investment strategy. See this link for more information.
Disclaimer: Moomoo Technologies Inc. is providing this content for information and educational use only.
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72863627 : So easy… wish I would have seen it sooner. My employer. SWA, then JetBlue and of course Ryanair
VijayG : 1) SouthWest Airlines 2)JetBlue 3)Ryanair.
TLim77 : 1. $Southwest Airlines (LUV.US)$
2. $JetBlue Airways (JBLU.US)$
3. $Ryanair (RYAAY.US)$
Optionsnoob : 1. $Southwest Airlines (LUV.US)$
2. $JetBlue Airways (JBLU.US)$
3. $Ryanair (RYAAY.US)$
散修2706 : 1) Southwest Airlines
2) JetBlue
3) Ryanair
Kopikarp : Company A: $Southwest Airlines (LUV.US)$
Company B: $JetBlue Airways (JBLU.US)$
Company C: $Ryanair (RYAAY.US)$
Market Cap: A<C<B
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Southwest Airlines is the largest low-cost carrier in the world and has a long-standing presence in the U.S. aviation market. It offers potential investment value via its strong brand, extensive route network, and its ability to adapt to changing market conditions.
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JetBlue has shown consistent growth in passenger revenue. With its expansion plans and the addition of new international destinations, the company could present investment opportunities.
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Ryanair's strong route network and continuous efforts to reduce costs could make it an attractive investment option for those interested in the European aviation market.
sociable Dingo_8604 : A. $Southwest Airlines (LUV.US)$
B. $JetBlue Airways (JBLU.US)$
C. $Ryanair (RYAAY.US)$
Market cap: C > A > B
I prefer legacy airlines because they are bigger and spacious aircrafts which makes the air journey more comfortable. They also provide better meals on board and have better amenities and services. However, if the journey is a rather short one like under 4hours, I would not hestitate to travel by low cost. It certainly saves money in the long run!
Investing in airlines can be volatile, especially during times like covid periods where people are not allowed to travel. It also depends on fuel cost fluctuations. I believe for LCC, $Ryanair (RYAAY.US)$ will be a better opportunity because even as a LCC, it is Ireland’s biggest airline with a wide array of operating base and a large market capitalization of 24.57 billion!
Chiew : 1. $Southwest Airlines (LUV.US) $
2. $JetBlue Airways (JBLU.US)$
3. $Ryanair (RYAAY.US)$
Maeng : 1. $Southwest Airlines (LUV.US)$
2. $JetBlue Airways (JBLU.US)$
3. $Ryanair (RYAAY.US)$
12moon : A. $Southwest Airlines (LUV.US)$
B. $JetBlue Airways (JBLU.US)$
C. $Ryanair (RYAAY.US)$
Market cap: C > A > B
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