United Airlines Stock Rises On Largest International Expansion Yet, But Retail Remains Bearish

Shares of United Airlines Holdings (UAL) rose nearly 1.5% on Thursday after the firm announced its largest international expansion, adding service to eight new cities.

The destinations include Nuuk in Greenland, Palermo in Italy, Bilbao in Spain as well as Madeira Island and Faro in Portugal. Three new non-stop routes are also being added from Washington D.C./Dulles, including year-round flights to Dakar, Senegal and new seasonal nonstop flights to Nice, France and Venice, Italy.

At the same time, United is also bringing in new direct flights from Tokyo-Narita to Ulaanbaatar, Mongolia and Kaohsiung, Taiwan and a new nonstop flight to Koror, Palau.

The firm's senior vice president of global network Patrick Quayle reportedly said, “the savvy traveler has been to Paris, Rome and Madrid so many times that they’re looking for something different.”

Still, retail sentiment on Stocktwits inched down further in ‘bearish’ territory (29/100).

Stocktwits followers of the firm with a bearish outlook are expressing skepticism on the announcement. For instance, one user said rising oil prices could be a drag on the firm.

Another user expects the stock to witness some correction.

Meanwhile, Susquehanna has raised the price target on United Airlines to $70 from $60, while keeping a ‘Positive’ rating on the shares.

For the fourth quarter and early 2025, the brokerage expects an "increasingly constructive setup" for industry revenue per available seat mile. The firm also expects a "dynamic" operating landscape into 2025 and sees opportunities emerging within the low-cost carrier and ultra-low-cost space.

Also See: Delta Airlines Stock Falls Premarket After Q4 Sales Guidance Miss: Retail Investors Skeptical

For updates and corrections email newsroom@stocktwits.com

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