2 Best Airline Stocks Ready to Take Off in August 2024

2 Best Airline Stocks Ready to Take Off in August 2024

The removal of travel bans and other travel restrictions has resulted in increased demand for flights and catapulted the value of airline stocks. This recent turn of events comes after a harsh period for the airline industry, no thanks to lockdown enforcement due to health concerns. However, that all seems like a distant memory, and the airline industry is currently booming amid summer vacations and the summer Olympics.

• After a couple of rough years, airline stocks are once again looking profitable, thanks to the lifting of travel bans and a few upcoming summer events.
• Sun Country Airlines is an American airline company known for its ultra-low-cost and affordable flights to 140 destinations around the globe.
• Delta Airlines is one of the oldest operating airline companies in the world and a legacy carrier in the US. It is among the country’s “big four” air carriers. 

In a year that has been mostly profitable, the airline industry provides investors with another opportunity to generate massive returns. The demand for flights is bound to hit all-time levels this summer, which will also affect the value of airline stocks.

Joel Lim, a financial analyst at Trading.biz, has identified two of the best airline stocks to invest in right now.

Sun Country Airlines

Sun Country Airlines is an American air carrier company based in Minneapolis, Minnesota. It is known for its affordable and ultra-low-cost flights and vacation packages across 140 destinations worldwide, such as Canada, Mexico, the Caribbean, and the United States.

In addition to providing low-cost and affordable flights, Sun Country Airlines has an Air Transport Services Agreement with e-commerce giant Amazon to transport its cargo worldwide. Many analysts believe this partnership could bode well for the value of the airline’s stock.

Furthermore, the airline is performing exceedingly well on the financial front this year. Its latest quarterly report shows increases across key metrics, such as revenue and net income.

Joel Lim notes, “Sun Country Airlines is one of the best stocks in the airline industry. Its regular share buybacks make it an ideal option, as they guarantee that investors are consistently rewarded.”

Delta Airlines

Delta Airlines is a major American airline company and one of the country’s legacy air carriers. It is based in Atlanta, Georgia, and is among the oldest operating airline companies in the world.

A member of the luxurious American “big four” air carriers, Delta Airlines is a leader in the leisure and business travel space. Its operation caters to around 200 million travelers across 275 destinations. It handles around 4,000 departures daily.

Furthermore, the airline’s financial performance this year has been outstanding. According to its latest quarterly report, it saw massive increases across key metrics like operating revenue and income. More impressively, it announced a 50% increase in dividend payments starting in the last quarter of the year.

Joel Lim notes, “Delta Airlines is a no-brainer for investors interested in airline stocks due to its immense profitability and growth potential. It is also among the airline companies with the highest dividend payouts, a factor that ensures investors gain the most of their investments.”