Analyst Stephen Trent of Citi reiterated a Buy rating on United Airlines Holdings, with a price target of $106.00.
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Stephen Trent has given his Buy rating due to a combination of factors that highlight United Airlines’ strong financial performance and positive outlook. United Airlines reported adjusted earnings per share for the second quarter of 2025 that exceeded both Citi’s and Bloomberg’s consensus estimates, indicating robust operational performance. The airline’s revenue per available seat mile showed a slight decline year-over-year, but premium cabin revenue experienced a notable increase, suggesting a favorable shift in revenue mix.
Additionally, United Airlines demonstrated effective cost management, with costs per available seat mile excluding fuel and other charges coming in lower than expected. The company also generated significant free cash flow, which contributed to a reduction in its leverage ratio. Despite some challenges at Newark Airport, United’s full-year earnings guidance remains solidly above previous recessionary scenarios, reflecting confidence in its ability to navigate short-term headwinds. These factors collectively support Trent’s optimistic outlook and Buy rating for United Airlines Holdings.
In another report released today, Barclays also maintained a Buy rating on the stock with a $100.00 price target.