Topic: How To Invest

Hello folks: I am enjoying being a member of the Inner Circle. Could you give me your opinion on JetBlue Airways? Regards.

Article Excerpt

JetBlue Airways, $5.94, symbol JBLU on Nasdaq (Shares outstanding: 293.8 million; Market cap: $1.7 billion; www.jetblue.com), is a U.S. passenger airline. JetBlue mainly uses a point-to-point route system, as opposed to the more common hub-and-spoke model. The company serves about 60 destinations in 20 states, as well as Puerto Rico, Mexico, the Caribbean and Latin America. It focuses on underserved markets and cities with high average fares. JetBlue’s outlook is positive. Demand for flights has been improving with the U.S. economy, and JetBlue’s share of the U.S. market will likely keep expanding. The company has raised its capacity at Boston Logan Airport by 30%. It also plans to increase service in the Caribbean and Latin America to 25% of its total flights. In particular, departures out of San Juan, Puerto Rico, are scheduled to rise 30% this summer. The stock trades at 14.5 times the $0.41 a share that JetBlue is forecast to earn this year. JetBlue is okay for aggressive investors to hold. ..