United Airlines (NASDAQ:UAL) Reaches New 52-Week High – Should You Buy?

Shares of United Airlines Holdings, Inc. (NASDAQ:UAL) reached a new 52-week high during trading on Monday . The stock traded as high as $76.61 and last traded at $76.61, with a volume of 179839 shares. The stock had previously closed at $74.64.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on the stock. Susquehanna boosted their price objective on shares of United Airlines from $70.00 to $85.00 and gave the company a “positive” rating in a research report on Thursday, October 17th. Morgan Stanley boosted their price target on United Airlines from $80.00 to $88.00 and gave the company an “overweight” rating in a report on Thursday, October 17th. Sanford C. Bernstein raised their price objective on United Airlines from $68.00 to $85.00 and gave the stock an “outperform” rating in a report on Thursday, October 17th. Barclays lifted their target price on United Airlines from $66.00 to $75.00 and gave the company an “overweight” rating in a research report on Wednesday, October 16th. Finally, Bank of America increased their price target on United Airlines from $70.00 to $84.00 and gave the stock a “buy” rating in a research report on Thursday, October 17th. Two research analysts have rated the stock with a hold rating and thirteen have assigned a buy rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $78.94.

United Airlines Trading Up 1.1 %

The firm has a market capitalization of $25.30 billion, a PE ratio of 9.28, a price-to-earnings-growth ratio of 0.89 and a beta of 1.44. The company’s 50-day simple moving average is $56.05 and its 200 day simple moving average is $51.32. The company has a quick ratio of 0.72, a current ratio of 0.79 and a debt-to-equity ratio of 1.95.

United Airlines (NASDAQ:UAL) last released its quarterly earnings results on Tuesday, October 15th. The transportation company reported $3.33 EPS for the quarter, beating the consensus estimate of $3.10 by $0.23. The business had revenue of $14.84 billion during the quarter, compared to analyst estimates of $14.76 billion. United Airlines had a net margin of 4.94% and a return on equity of 30.72%. During the same period in the prior year, the firm posted $3.65 earnings per share. As a group, sell-side analysts expect that United Airlines Holdings, Inc. will post 10.18 EPS for the current year.

United Airlines announced that its board has approved a stock buyback plan on Tuesday, October 15th that permits the company to buyback $1.50 billion in shares. This buyback authorization permits the transportation company to purchase up to 7.1% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s board believes its stock is undervalued.

Insider Buying and Selling at United Airlines

In related news, EVP Torbjorn J. Enqvist sold 14,500 shares of the stock in a transaction that occurred on Thursday, October 17th. The shares were sold at an average price of $72.00, for a total value of $1,044,000.00. Following the completion of the transaction, the executive vice president now directly owns 30,427 shares of the company’s stock, valued at $2,190,744. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 0.63% of the company’s stock.

Hedge Funds Weigh In On United Airlines

Hedge funds and other institutional investors have recently modified their holdings of the stock. Wealth Enhancement Advisory Services LLC increased its holdings in United Airlines by 1.5% in the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 19,416 shares of the transportation company’s stock worth $930,000 after buying an additional 287 shares during the period. Sumitomo Mitsui Trust Holdings Inc. increased its holdings in United Airlines by 7.2% in the 1st quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 33,491 shares of the transportation company’s stock worth $1,604,000 after buying an additional 2,254 shares during the period. Kovack Advisors Inc. acquired a new position in United Airlines in the 1st quarter worth approximately $266,000. Strategic Advisors LLC acquired a new position in United Airlines in the 1st quarter worth approximately $215,000. Finally, Retirement Systems of Alabama increased its holdings in United Airlines by 751.5% in the 1st quarter. Retirement Systems of Alabama now owns 615,478 shares of the transportation company’s stock worth $29,469,000 after buying an additional 543,195 shares during the period. 69.69% of the stock is owned by hedge funds and other institutional investors.

About United Airlines

United Airlines Holdings, Inc, through its subsidiaries, provides air transportation services in North America, Asia, Europe, Africa, the Pacific, the Middle East, and Latin America. The company transports people and cargo through its mainline and regional fleets. It also offers catering, ground handling, flight academy, and maintenance services for third parties.