Here’s Why Shares in United Airlines Flopped Today

From Yahoo Finance: 2025-04-10 19:14:00

Shares in United Airlines (NASDAQ: UAL) dropped 11.4% due to market volatility following Delta Air Lines’ (NYSE: DAL) earnings report. Delta cited tariffs impacting bookings and a decrease in revenue growth, prompting concerns about United’s upcoming earnings report on April 16.

Delta’s CEO mentioned global trade uncertainty stalling growth, affecting main cabin revenue but highlighting resilience in international, premium, and loyalty-based revenue. Despite not updating full-year guidance, Delta plans to reduce capacity growth in response to market conditions, signaling industry discipline during slowdowns.

Investors are worried about stabilizing trade conflicts to aid the air travel industry’s recovery. Long-term investors found comfort in Delta’s management’s decision to reduce capacity growth in the second half of the year. However, concerns remain about the industry’s outlook amidst market uncertainty.

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