DAL

- AAL sank 4% and DAL fell 3% as oil hit a five-month high, erasing gains and flipping AAL's full-year outlook to an adjusted loss. - JETS dropped 3% versus SPY's 0.5% decline, with AAL as the fund's largest holding at 11% of assets amplifying the sector's fuel-cost pain. - AAL's $30B debt load and a 67% surge in Q3 fuel costs leave it far more exposed to rising oil than Delta or United. - Read More: Learn 7 ways to generate income with a $1,000,000+ portfolio (sponsor) Climbing oil prices are unwinding the relief rally in airline shares that followed American Airlines Group's (NASDAQ:AAL) record quarter. American Airlines stock is at $12.06, down 4%, wiping out the previous session's rebound. At the same time, Delta Air Lines (NYSE:DAL) stock is at $76.80, down 3%. Similarly, United Airlines Holdings (NASDAQ:UAL) stock is trading at $98.62, down 3%, leaving American Airlines stock as the laggard among these three big legacy carriers. For sector context, the U.S. Global Jets ETF (NYSEARCA:JETS) is at $26, down 3%. Meanwhile, the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) is at $759.82, down 0.5%, highlighting airlines as a weak spot within the broad market. Under its plan for Q4 2026, American Airlines assumes jet fuel at approximately $4.70 per gallon, already meaning a $2.8 billion year-over-year increase in fourth-quarter fuel costs. Oil prices climbed to a five-month high on concerns that the U.S. conflict with Iran could flare up again, so any further climb raises the odds that expenses run past guidance. American Airlines posted record Q3 2026 revenue of $16.3 billion in the previous session, up 19.3%, according to its SEC filings, yet swung its full-year outlook to an adjusted loss of $1 to $1.60 per diluted share as fuel costs climbed. CEO Robert Isom stated, "We produced a loss in the quarter that, but for this fuel spike, would have been solidly profitable." If you've saved over $1,000,000, this guide is for you. The last thing you want in retirement is to run out of money, you want your money to generate lasting income while you enjoy your life. Now you can learn the strategies wealthy retirees use to fund their retirement with The Definitive Guide to Retirement Income from Fisher Investments. Download the guide today! (sponsor) A heavier debt load than Delta and United Airlines carry leaves American Airlines more exposed to fuel. The company reported $29.6 billion in debt and finance leases and negative stockholders' equity of $4.2 billion. Chief Financial Officer Devon May stated "the real key unlock for leverage improvement is on the earnings side," and fuel is the largest drag on those earnings. Jet fuel expense at American Airlines reached $4.63 billion in Q3, up 67.5%, as the average price climbed to $3.85 per gallon from $2.37. May called fuel "a significant headwind in the fourth quarter." Delta stock, which closed 2025 at $68.68, holds above that mark, while United Airlines stock, which ended 2025 at $111.82, trades below it. American Airlines stock, at $15.33 when 2025 ended, has fallen furthest. Within the U.S. Global Jets ETF, American Airlines is the largest holding at 11.3% of net assets as of June 30, ahead of United Airlines at 11.1% and Delta at 10.5%. That weighting ties the fund closely to how American Airlines handles the fuel squeeze. American Airlines guided its Q4 revenue up 19.5% to 22.5%, a demand environment that could buffer the cost hit if crude stops climbing. The company's premium sales rose 22.9% in Q3, while managed corporate revenue climbed 27.6%. Traders can watch for whether the oil price retreats or keeps climbing. American Airlines' management expects 2027 growth to "decelerate considerably," and plans to adjust capacity while high fuel costs persist. Investors weighing their AAL stock exposure should size their positions conservatively given the carrier's fuel sensitivity and debt load. If you've saved over $1,000,000, this guide is for you. The last thing you want in retirement is to run out of money, you want your money to generate lasting income while you enjoy your life. Now you can learn the strategies wealthy retirees use to fund their retirement with The Definitive Guide to Retirement Income from Fisher Investments. Download the guide today! (sponsor) Contact [email protected] for any questions or corrections.

American Airlines AAL reported a third-quarter 2026 loss (excluding 13 cents from non-recurring items) of 28 cents per share, wider than the year-ago loss of 17 cents. However, the figure was in line with the Zacks Consensus Estimate. Results were hurt by elevated fuel expenses. Operating revenues surged 19.3% year over year to a record $16.34 billion and surpassed the consensus mark of $16.20 billion by 0.8%. Revenue growth was supported by strong premium demand, higher passenger yields and robust corporate travel. Total revenue per available seat mile increased 14.5%. Passenger revenues climbed 19.5% year over year to $14.90 billion. Cargo revenues increased 29.1% to $274 million, while other revenues advanced 15.2% to $1.16 billion. Passenger yield rose 18.3% to 22.15 cents, reflecting stronger pricing. Passenger revenue per available seat mile increased 14.6% to 18.47 cents. Revenue passenger miles grew 1%, while capacity, measured in available seat miles, expanded 4.2%. The passenger load factor (% of seats filled with passengers) declined 2.6 percentage points to 83.4%, just ahead of our estimate of 83%. American Airlines price-consensus-eps-surprise-chart | American Airlines Quote Premium revenues increased 22.9% year over year, outperforming the 19.5% rise in Main Cabin revenues. Premium passenger unit revenues advanced 18.5%, compared with 14.4% growth in Main Cabin. Managed corporate revenues jumped 27.6%, marking the sixth consecutive quarter of double-digit growth. Domestic passenger revenues rose 20.2% to $10.49 billion, supported by a 13.6% increase in passenger unit revenues. International passenger revenues grew 17.7% to $4.41 billion. Latin America revenues climbed 20.7%, while Atlantic and Pacific revenues increased 15.6% and 18.5%, respectively. Total operating expenses rose 19.8% year over year to $16.22 billion. Aircraft fuel and related taxes surged 67.5% to $4.64 billion, reflecting a 62.7% increase in the average fuel price to $3.85 per gallon. Salaries, wages and benefits increased 5.7% to $4.71 billion. Maintenance, materials and repairs rose 6.2% to $1.09 billion, while regional operating expenses increased 5.5% to $1.36 billion. CASM excluding special items, fuel and profit sharing advanced 3% to 14.34 cents. GAAP operating income declined 23.4% year over year to $115 million. The reported operating margin narrowed to 0.7% from 1.1%, as higher fuel expenses more than offset the benefits of record revenues. Adjusted operating income declined 16.2% to $132 million, while the adjusted operating margin contracted to 0.8% from 1.2%. GAAP net loss widened to $269 million, or 41 cents per share, compared with a loss of $114 million, or 17 cents, a year earlier. AAdvantage enrollments increased 27.4% year over year, while spending on the company's co-branded Citi credit cards grew nearly 10%. Commercial initiatives contributed to a 6-percentage-point increase in the upsell rate from Basic Economy to Main Cabin. American also announced plans to extend Starlink Wi-Fi installations across its entire mainline fleet, covering more than 1,000 aircraft. The carrier continues investing in premium lounges, seatback entertainment and fleet modernization. Its narrowbody retrofit program is expected to increase premium seating to 40% in the coming years. AAL ended the third quarter with $11.8 billion in total available liquidity. Cash totaled $1.12 billion, while short-term investments stood at $7.16 billion at September-end. Operating cash flow for the first nine months of 2026 increased to $4.54 billion from $3.37 billion a year ago. Capital expenditures and aircraft purchase deposits totaled $2.73 billion. The company repaid $5.35 billion in long-term debt and finance leases while issuing $5.93 billion of long-term debt. For the fourth quarter, AAL expects revenues to increase 19.5-22.5% year over year, with capacity growth of 5.5-6.5%. CASM, excluding special items, fuel and profit sharing, is projected to rise 2.5-3.5%. Management expects fourth-quarter adjusted loss between 50 cents and $1.10 per share. The Zacks Consensus Estimate is currently pegged at a loss of 40 cents per share. The outlook assumes an average fuel price of approximately $4.70 per gallon and a $2.8 billion year-over-year increase in fuel expenses. For full-year 2026, American Airlines anticipates adjusted loss ranging from $1 to $1.60 per share. The Zacks Consensus Estimate is currently pegged at a loss of 94 cents per share. Given elevated fuel prices, the carrier expects network growth in 2027 to slow from 2026 levels. American Airlines has a Zacks Rank #4 (Sell) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Delta Air Lines DAL reported third-quarter 2026 earnings (excluding 57 cents from non-recurring items) of $1.72 per share, missing the Zacks Consensus Estimate of $1.80 by 4.44%. Earnings increased year over year despite sharply higher fuel costs and rising non-fuel expenses. Adjusted revenues climbed 16% year over year to $17.59 billion but missed the consensus estimate of $17.74 billion by 0.9%. Broad demand strength and healthy yields lifted adjusted total revenue per available seat mile, or TRASM, 15%, while premium and diversified revenue streams continued to expand. Alaska Air Group, Inc. ALK reported third-quarter 2026 adjusted earnings of 36 cents per share, excluding certain tax impacts, beating the Zacks Consensus Estimate of 35 cents by 2.9%. The company had reported adjusted earnings of $1.05 per share a year earlier. Higher fuel expenses weighed on profitability despite strong revenue momentum. Operating revenues increased 14.4% year over year to $4.30 billion but missed the consensus mark of $4.31 billion by 0.1%. Revenue per available seat mile, or RASM, rose 11.7%, supported by strong yields, premium demand and loyalty revenues. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Airlines Group Inc. (AAL) : Free Stock Analysis Report Delta Air Lines, Inc. (DAL) : Free Stock Analysis Report Alaska Air Group, Inc. (ALK) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Southwest Airlines Co. (LUV) reported third-quarter 2026 adjusted earnings of 66 cents per share, up 500% year over year and above the Zacks Consensus Estimate of 61 cents by 8.2%. Record operating revenues increased 21.2% year over year to $8.42 billion, beating the consensus mark of $8.27 billion by 1.9%. Strong demand for enhanced products and higher fares supported the top line despite elevated fuel costs. Revenue per available seat mile, or RASM, jumped 21.6% to an all-time high, while adjusted operating margin expanded 4.8 percentage points to 5.4%. Southwest Airlines Co. price-consensus-eps-surprise-chart | Southwest Airlines Co. Quote Passenger revenues increased 22.8% year over year to $7.75 billion, representing approximately 92.1% of total operating revenues. The increase reflected strong demand for Southwest's enhanced offerings and improved pricing. Freight revenues advanced 14.3% to $48 million, while other operating revenues rose 4.5% to $621 million. Managed business revenues reached a third-quarter record, with 20 of the company's 50 highest managed business booking days occurring during the quarter. Traffic, measured in revenue passenger miles, declined 0.4% year over year to 36.21 billion. Capacity, measured in available seat miles, decreased by the same percentage to 45.39 billion, keeping the consolidated load factor unchanged at 79.8%. Revenue passengers carried declined 3.2% year over year to 33.5 million. However, average passenger fare surged 26.9% to $231.69, while passenger revenue yield increased 23.3% to 21.41 cents. Passenger revenue per available seat mile improved 23.3% year over year to 17.08 cents. The strong pricing performance helped offset lower passenger volumes and supported record quarterly revenue generation. Total operating expenses increased 16.3% year over year to $8.04 billion. Aircraft fuel and related taxes surged 61.7% to $2.15 billion, representing an $821 million increase from the prior-year quarter. Average fuel cost increased 63.3% to $3.92 per gallon from $2.4, while fuel consumption declined 1.1%. Higher fuel expenses created a $1.08 per-share headwind to adjusted earnings. Salaries, wages and benefits increased 10% year over year to $3.54 billion, while landing fees and airport rentals climbed 13.7%. Maintenance expenses rose 1.3% year over year, partially offset by an 8.6% decline in other operating expenses. Cost per available seat mile excluding fuel, special items and profit sharing increased 3.8% year over year to 12.68 cents, reflecting continued discipline in controllable costs. Adjusted operating income surged to $452 million from $42 million a year earlier. On a reported basis, operating income rose to $379 million from $35 million, reflecting revenue growth that outpaced overall expense increases. Adjusted pretax income climbed to $428 million from $75 million. Adjusted net income increased to $328 million from $58 million in the prior-year quarter. Reported net income rose to $270 million from $54 million, while diluted earnings increased to 55 cents per share from 10 cents. Adjusted net margin expanded 3.1 percentage points to 3.9%. Southwest Airlines announced plans to introduce its first airport lounges under the Southwest Icon Lounge network, with initial openings expected in 2027. The airline also unveiled Rapid Rewards enhancements, including a new Platinum tier, additional redemption partners and expanded milestone benefits. Southwest Business introduced Business Priority and new distribution connectivity to improve corporate booking access. Fleet modernization continued with deliveries of 20 Boeing 737-8 aircraft and the retirement of 20 aircraft. Southwest Airlines ended September with 803 aircraft and continued installing Starlink Wi-Fi, targeting fleet-wide availability in fall 2027. Operating cash flow totaled $513 million in the third quarter compared with $287 million a year earlier. Capital expenditures reached $1.01 billion, primarily reflecting aircraft, technology and infrastructure investments. Southwest Airlines ended September with $5.6 billion in available liquidity, including $3.62 billion in cash and cash equivalents. Gross leverage stood at 1.9 times. The company distributed $176 million in dividends during the quarter and had $450 million remaining under its share repurchase authorization. For fourth-quarter 2026, Southwest Airlines expects adjusted earnings of 55-80 cents per share. The Zacks Consensus Estimate for the fourth quarter is currently pegged at 90 ents per share. Capacity is projected to increase 3-4%, while unit revenues are forecast to grow 19-21% year over year. Non-fuel unit costs, excluding special items and profit sharing, are expected to rise 4-4.5%. Management assumes fuel costs of approximately $4.55 per gallon. For full-year 2026, Southwest projects adjusted earnings of $2.60-$2.85 per share and capacity growth of approximately 1.2%. Net capital spending is expected to be between $2.5 billion and $2.75 billion. Currently, LUV has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Delta Air Lines DAL reported third-quarter 2026 earnings (excluding 57 cents from non-recurring items) of $1.72 per share, missing the Zacks Consensus Estimate of $1.80 by 4.44%. Earnings increased year over year despite sharply higher fuel costs and rising non-fuel expenses. Adjusted revenues climbed 16% year over year to $17.59 billion but missed the consensus estimate of $17.74 billion by 0.9%. Broad demand strength and healthy yields lifted adjusted total revenue per available seat mile, or TRASM, 15%, while premium and diversified revenue streams continued to expand. J.B. Hunt Transport Services, Inc. JBHT reported third-quarter 2026 earnings of $1.82 per share, up 3.4% from $1.76 a year ago. The figure beat the Zacks Consensus Estimate of $1.81 by 0.6%. Operating revenues climbed 20.4% year over year to $3.68 billion and surpassed the consensus mark of $3.56 billion by 3.2%. Stronger pricing, an 8% increase in Intermodal loads and higher brokerage volumes supported growth. However, elevated driver-related expenses, fuel costs and insurance claims pressured profitability. United Airlines Holdings, Inc. UAL reported third-quarter 2026 adjusted earnings of $2.54 per share, down 8.6% year over year and below the Zacks Consensus Estimate of $2.60 by 2.3%. Higher fuel expenses weighed on profitability despite strong revenue growth. Operating revenues rose 17.4% to $17.88 billion but missed the consensus mark of $17.91 billion by 0.2%. A 15.9% increase in total revenue per available seat mile or TRASM, supported the top line, driven by strength across premium, loyalty and contracted business revenues. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Southwest Airlines Co. (LUV) : Free Stock Analysis Report Delta Air Lines, Inc. (DAL) : Free Stock Analysis Report United Airlines Holdings Inc (UAL) : Free Stock Analysis Report J.B. Hunt Transport Services, Inc. (JBHT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

CSX Corporation (CSX) reported third-quarter 2026 earnings of 57 cents per share, surpassing the Zacks Consensus Estimate of 52 cents by 9.6%. Earnings increased 29.5% year over year from the prior-year adjusted figure of 44 cents per share, which excluded a goodwill impairment charge. Total revenues increased 12% year over year to $4.02 billion, beating the Zacks Consensus Estimate of $3.95 billion by 1.7%. Higher fuel surcharge revenues, volume growth and improved pricing across merchandise, intermodal and coal supported the top line. Total volumes increased 5% year over year. CSX Corporation price-consensus-eps-surprise-chart | CSX Corporation Quote Merchandise revenues increased 11% year over year to $2.45 billion. Merchandise volumes rose 3% year over year, while revenues per unit improved 8% to $3,613. Higher fuel surcharges and favorable contract renewals contributed to revenue growth. Chemicals revenues increased 13% year over year to $790 million, supported by higher shipments of petcoke, waste, plastics and crude oil. Agricultural and food products revenues also rose 13% year over year to $430 million, benefiting from increased grain and feed ingredient shipments. Metals and equipment revenues surged 19% year over year to $267 million, driven by higher steel, equipment and aluminum shipments. Forest products revenues advanced 12% year over year to $277 million, while automotive revenues improved 6% despite lower shipments. Fertilizer revenues declined 6% year over year to $118 million due to weaker demand. Intermodal revenues increased 20% year over year to $634 million. Segment volumes advanced 7% to 820,000 units, while revenues per unit grew 13% year over year to $773. Domestic intermodal shipments benefited from customer wins, new service offerings and tightening trucking capacity. Higher fuel prices also supported revenues per unit, partially offsetting a slight decline in international shipments. Coal revenues increased 10% year over year to $537 million. Volumes improved 2% year over year to 188,000 units, while revenues per unit rose 7% to $2,856. Higher export shipments of metallurgical and thermal coal, supported by production from reopened mines, helped offset softer domestic utility demand. Trucking revenues increased 10% year over year to $227 million, while other revenues grew 7% to $166 million. Total operating expenses declined 2% year over year to $2.45 billion. The reduction reflected the absence of a $164 million goodwill impairment charge recorded in the prior-year quarter, along with operating cost savings. Fuel expenses surged 60.5% year over year to $451 million as locomotive fuel prices increased 67% to $4.24 per gallon. Lower fuel consumption and improved efficiency partially offset the impact of higher prices. Labor and fringe expenses increased 2% year over year to $834 million, driven by higher incentive compensation and wage inflation. Purchased services and other expenses declined 10% to $657 million, benefiting from efficiency initiatives and lower network disruption-related costs. Depreciation and amortization expenses fell 3% year over year to $413 million, while equipment and other rents increased 7% to $92 million. Operating income increased 44.4% year over year to $1.57 billion. Compared with the prior-year adjusted operating income of $1.25 billion, the increase was 25.5%. Operating margin expanded to 39.1% from the prior-year adjusted margin of 34.9%, representing an improvement of 420 basis points. Net earnings increased 51.6% to $1.05 billion from reported net earnings of $694 million a year earlier. Excluding the prior-year impairment, net earnings improved 28.6% from $818 million. The Federal Railroad Administration personal injury frequency index improved 17% to 0.97, while the train accident rate declined 5% to 2.77. Fuel efficiency improved 2% to 0.92 gallons per 1,000 gross ton-miles. However, average train velocity declined 2% to 18.6 miles per hour, while dwell time increased 12% to 10.6 hours. Carload trip plan performance decreased to 73% from 83%, reflecting continued service challenges. Net cash provided by operating activities totaled $4.22 billion during the first nine months of 2026, compared with $3.23 billion in the year-ago period. Free cash flow before dividends increased to $2.65 billion from $1.07 billion. CSX exited September with cash and cash equivalents of $1.22 billion, compared with $670 million at year-end 2025. Long-term debt stood at $17.1 billion, compared with $18.17 billion at year-end. The company repurchased $1.06 billion of shares and paid $779 million in dividends during the first nine months. For full-year 2026, CSX expects high-single-digit revenue growth. Operating margin expansion is anticipated to exceed 350 basis points. Management expects free cash flow growth of more than 80%, while total capital expenditures are projected to remain below $2.4 billion. CSX has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Delta Air Lines DAL reported third-quarter 2026 earnings (excluding 57 cents from non-recurring items) of $1.72 per share, missing the Zacks Consensus Estimate of $1.80 by 4.44%. Earnings increased year over year despite sharply higher fuel costs and rising non-fuel expenses. Adjusted revenues climbed 16% year over year to $17.59 billion but missed the consensus estimate of $17.74 billion by 0.9%. Broad demand strength and healthy yields lifted adjusted total revenue per available seat mile, or TRASM, by 15%, while premium and diversified revenue streams continued to expand. J.B. Hunt Transport Services, Inc. JBHT reported third-quarter 2026 earnings of $1.82 per share, up 3.4% from $1.76 a year ago. The figure beat the Zacks Consensus Estimate of $1.81 by 0.6%. Operating revenues climbed 20.4% year over year to $3.68 billion and surpassed the consensus mark of $3.56 billion by 3.2%. Stronger pricing, an 8% increase in Intermodal loads and higher brokerage volumes supported growth. However, elevated driver-related expenses, fuel costs and insurance claims pressured profitability. United Airlines Holdings, Inc. UAL reported third-quarter 2026 adjusted earnings of $2.54 per share, down 8.6% year over year and below the Zacks Consensus Estimate of $2.60 by 2.3%. Higher fuel expenses weighed on profitability despite strong revenue growth. Operating revenues rose 17.4% to $17.88 billion but missed the consensus mark of $17.91 billion by 0.2%. A 15.9% increase in total revenue per available seat mile or TRASM, supported the top line, driven by strength across premium, loyalty and contracted business revenues. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CSX Corporation (CSX) : Free Stock Analysis Report Delta Air Lines, Inc. (DAL) : Free Stock Analysis Report United Airlines Holdings Inc (UAL) : Free Stock Analysis Report J.B. Hunt Transport Services, Inc. (JBHT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

- Interested in Southwest Airlines Co.? Here are five stocks we like better. - Southwest reported a strong third quarter, with record operating revenue of $8.4 billion, a 5.4% adjusted operating margin and adjusted EPS of $0.66, despite an $820 million year-over-year fuel-cost headwind. - Revenue performance exceeded expectations, as RASM rose 21.6% year over year to a record high and business passenger revenue increased 29%; Southwest forecast fourth-quarter RASM growth of 19% to 21%. - The airline is investing in its transformation through expanded loyalty benefits, free Starlink Wi-Fi, new airport lounges and operational improvements, while expecting fourth-quarter CASM-X to increase 4% to 4.5%. - Delta's Guidance Cut Could Spell Trouble for the Airline Industry Southwest Airlines (NYSE:LUV) reported record third-quarter operating revenue of $8.4 billion and said its transformation initiatives contributed across the business, helping offset an $820 million year-over-year fuel-cost headwind. President and Chief Executive Officer Bob Jordan said the airline generated a 5.4% adjusted operating margin, up 4.8 percentage points from a year earlier, while adjusted earnings per share rose 500% year over year to $0.66. The result exceeded the midpoint of the company's guidance despite fuel costs being higher than anticipated at the prior earnings call. → Aurora Rejects Curaleaf's Higher Bid, But the Takeover Fight Isn't Over - MarketBeat Week in Review – 07/06 - 07/10 The carrier recorded an 11.3% after-tax return on invested capital and said it expects to be the only major U.S. airline to report year-over-year margin expansion for the third quarter. Jordan said demand remained broad-based across geographies and customer segments, including managed business travel, leisure travel, loyalty and co-brand credit card activity. Chief Commercial Officer Justin Jones said revenue per available seat mile, or RASM, increased 21.6% year over year, above the company's 17.5% to 19.5% guidance range and representing an all-time high. Southwest also reported record third-quarter passenger revenue and its highest passenger yield in company history. → Could Quantinuum's Breakthrough Make Its Sell-Off a Bargain? - Southwest MAX Incident Revives Headline Risk for Boeing and Airline Stocks Passenger fares were about $3 above the company's forecast, while passenger volumes also exceeded expectations, Jones said. September was particularly strong, producing record RASM and passenger yield despite what would typically be a post-summer moderation in travel demand. Southwest attributed the performance to constructive pricing, sustained demand, stronger managed-business travel and adoption of newer product offerings. The company has focused capacity on stronger markets including Nashville, Las Vegas, Orlando, Austin and San Diego, while shifting capacity away from lower-performing markets. → IonQ's Bold Expansion Could Leave Shareholders Paying the Price The carrier is also pursuing redesigned airport banks, expanded red-eye flying and partnerships intended to bring more travelers into the network. Jones said Southwest's point-to-point operating structure, combined with a commercially connected network, helped it raise yields and load factors through increased connecting traffic. Business travel continued to gain momentum. Southwest said 20 of its top 50 corporate booking days in company history occurred during the quarter, while two of the three months set records for unique managed-business travelers flown. Business passenger revenue grew 29% year over year, while business passengers rose about 9% on essentially flat capacity, Jordan said. Southwest forecast fourth-quarter RASM growth of 19% to 21% year over year, with roughly 65% of fourth-quarter revenue already booked. The company said corporate demand remains healthy and the pricing environment remains constructive. Chief Financial Officer Tom Doxey said third-quarter CASM-X, or unit costs excluding fuel and certain other items, increased 3.8% year over year as capacity declined 0.4%. For the fourth quarter, Southwest expects CASM-X to rise 4% to 4.5% on capacity growth of 3% to 4%. Fourth-quarter costs will include the timing of Boeing 737-800 heavy-maintenance events, frontline labor and healthcare costs, expenses associated with on-time performance below the company's target, and a decision to concentrate advertising spending in the fourth quarter. Doxey said unit-cost growth is expected to moderate from fourth-quarter levels in the first quarter and through 2027. The airline projected fourth-quarter adjusted earnings per share of $0.55 to $0.80, using an assumed average fuel price of about $4.55 per gallon based on the forward curve as of Oct. 15. Full-year 2026 adjusted earnings per share is now expected to be $2.60 to $2.85. Southwest ended the quarter with $5.6 billion in liquidity and a gross leverage ratio of 1.9 times. It also replaced its prior $1.5 billion revolving credit facility with a new $2 billion facility maturing in 2031. The company generated $285 million in cash proceeds from sales of retiring aircraft and engines during the third quarter and recorded $96 million in associated gains. Sale-leaseback transactions generated an additional $212 million in cash proceeds and $118 million in gains. Doxey said Southwest updated salvage-value assumptions for parts of its fleet, reducing depreciation expense by slightly more than 10%. The change had some impact in the third quarter and will apply for a full quarter beginning in the fourth quarter. For 2026, Southwest expects about 67 new aircraft deliveries and 60 retirements, with net capital spending of $2.5 billion to $2.75 billion. Doxey said deliveries and retirements are both expected to increase in 2027, following certification of the Boeing MAX 7. Chief Operating Officer Andrew Watterson said the airline is seeking to improve on-time performance, particularly in the period between 14 and 45 minutes behind schedule. Southwest plans schedule adjustments beginning in January and process changes in November involving gate-check and flight-closing procedures. Southwest said it is expanding its Rapid Rewards program beginning Jan. 1 with a new Platinum tier, expanded benefits on the path to status and additional co-brand credit-card engagement opportunities. International loyalty partnerships and partner redemptions are expected to launch next spring, while redemption of points for ancillary purchases, including seat selection, is planned for later in 2027. The airline expects to complete fleetwide installation of free Starlink Wi-Fi for Rapid Rewards members by this time next year. It also said its first Southwest Icon Lounge locations are under construction in Austin, Baltimore, Honolulu and Nashville, with at least seven more locations planned. Southwest expects to welcome its first lounge guests in the fourth quarter of next year and plans to launch a premium co-brand credit card in 2027. Jordan said reports that Southwest is close to ordering wide-body aircraft were not correct. He said the airline will continue evaluating products that could attract and retain customers, while emphasizing that any decision will be guided by customer demand rather than a focus on a particular aircraft type or premium product. Southwest plans to hold a Capital Markets Day in New York on March 2, 2027, where it intends to present a multiyear financial framework and longer-term targets. Southwest Airlines Co is a major U.S. passenger airline headquartered in Dallas, Texas. The company provides scheduled air transportation for leisure and business travelers, with service connecting cities throughout the United States and selected destinations in Mexico, the Caribbean, and Central America. Southwest is known for its predominantly domestic network and point-to-point operating model. In addition to passenger flights, the company offers ancillary services and air cargo transportation. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "What Southwest Airlines (LUV) Said on Its Q3 Earnings Call" was originally published by MarketBeat. View MarketBeat's top stocks for October 2026.

Alaska Air Group, Inc. ALK reported third-quarter 2026 adjusted earnings of 36 cents per share, excluding certain tax impacts, beating the Zacks Consensus Estimate of 35 cents by 2.9%. The company had reported adjusted earnings of $1.05 per share a year earlier. Higher fuel expenses weighed on profitability despite strong revenue momentum. Operating revenues increased 14.4% year over year to $4.30 billion but missed the consensus mark of $4.31 billion marginally by 0.1%. Revenue per available seat mile or RASM, rose 11.7%, supported by strong yields, premium demand and loyalty revenues. Alaska Air Group, Inc. price-consensus-eps-surprise-chart | Alaska Air Group, Inc. Quote Passenger revenues increased 13.5% year over year to $3.89 billion. Loyalty program other revenues rose 31.5% year over year to $263 million, while cargo and other revenues advanced 12.7% to $160 million. Premium revenues grew approximately 25% year over year, representing more than 36% of total revenues. Loyalty program cash remuneration increased 21% to $721 million, while managed corporate revenues jumped 30% year over year. Diversified revenues, representing revenues outside the main cabin, accounted for 54% of the company's total revenues. Consolidated traffic, measured in revenue passenger miles, remained essentially flat year over year, while capacity increased 2.4%. With capacity growth outpacing traffic, the consolidated load factor declined 2 percentage points to 82.8%. Passenger volumes decreased 1.1% year over year to 15.7 million. However, yield increased 13.4% to 18.73 cents, while passenger revenue per available seat mile rose 10.9% year over year to 15.52 cents. Revenue performance reflected improving pricing trends, with September yield increasing approximately 17% year over year. The gains came despite headwinds in Hawaii, investments in strategic growth markets and rapid international expansion. Total operating expenses increased 16.8% year over year to $4.23 billion, outpacing revenue growth. Aircraft fuel expenses rose 59.5% year over year to $1.21 billion as economic fuel cost climbed 57% to $3.94 per gallon from $2.51. Fuel consumption increased 1.7%. Wages and benefits rose 5% year over year to $1.29 billion, while landing fees and other rentals increased 9%. Aircraft maintenance expenses climbed 8% year over year, while selling expenses and food and beverage service costs each advanced 10%. Other operating expenses increased 16% year over year, further pressuring profitability. These increases more than offset a decline in special-item costs. Cost per available seat mile excluding fuel, freighter costs, performance-based pay and special items increased 4.4% to 11.46 cents from 10.98 cents a year ago. The increase was within management's prior expectation for low-to-mid-single-digit growth. Adjusted operating expenses, excluding these items, rose to $2.87 billion from $2.68 billion. Adjusted pretax income declined to $49 million from $173 million a year earlier. Adjusted pretax margin contracted to 1.1% from 4.6%. Adjusted net loss totaled $35 million compared to adjusted net income of $123 million in the prior-year quarter. On a reported basis, operating income declined 44.6% year over year to $82 million. GAAP net loss totaled $147 million or $1.32 per share compared to net income of $73 million or 62 cents per share, a year ago. A cumulative tax adjustment related to previously recognized first-half losses reduced third-quarter adjusted earnings by 67 cents per share. Operating cash flow totaled $149 million during the third quarter and $755 million for the first nine months of 2026. The company ended September with $3.3 billion in available liquidity. Cash and cash equivalents were $835 million, while marketable securities totaled $1.40 billion. Long-term debt and finance leases, including current maturities, reached $6.16 billion. Adjusted net debt to EBITDAR increased to 5.5 times from 2.9 times at year-end 2025, while debt to capitalization rose to 66% from 59%. For the fourth quarter of 2026, Alaska Air expects an adjusted loss of $2-$2.50 per share. Capacity is projected to increase 1-1.5%, with growth concentrated in international operations. Unit revenues are expected to rise in the low double digits, while non-fuel unit costs are projected to increase in the mid-single digits. The outlook assumes an economic fuel cost of $4.65-$4.85 per gallon. For full-year 2026, management anticipates an adjusted loss of $5-$5.50 per share, reflecting $1.8 billion in fuel expenses above its initial plan. Currently, ALK has a Zacks Rank #4 (Sell). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Delta Air Lines DAL reported third-quarter 2026 earnings (excluding 57 cents from non-recurring items) of $1.72 per share, missing the Zacks Consensus Estimate of $1.80 by 4.44%. Earnings increased year over year despite sharply higher fuel costs and rising non-fuel expenses. Adjusted revenues climbed 16% year over year to $17.59 billion but missed the consensus estimate of $17.74 billion by 0.9%. Broad demand strength and healthy yields lifted adjusted total revenue per available seat mile or TRASM, 15%, while premium and diversified revenue streams continued to expand. J.B. Hunt Transport Services, Inc. JBHT reported third-quarter 2026 earnings of $1.82 per share, up 3.4% from $1.76 a year ago. The figure beat the Zacks Consensus Estimate of $1.81 by 0.6%. Operating revenues climbed 20.4% year over year to $3.68 billion and surpassed the consensus mark of $3.56 billion by 3.2%. Stronger pricing, an 8% increase in Intermodal loads and higher brokerage volumes supported growth. However, elevated driver-related expenses, fuel costs and insurance claims pressured profitability. United Airlines Holdings, Inc. UAL reported third-quarter 2026 adjusted earnings of $2.54 per share, down 8.6% year over year and below the Zacks Consensus Estimate of $2.60 by 2.3%. Higher fuel expenses weighed on profitability despite strong revenue growth. Operating revenues rose 17.4% to $17.88 billion but missed the consensus mark of $17.91 billion by 0.2%. A 15.9% increase in total revenue per available seat mile or TRASM, supported the top line, driven by strength across premium, loyalty and contracted business revenues. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Alaska Air Group, Inc. (ALK) : Free Stock Analysis Report Delta Air Lines, Inc. (DAL) : Free Stock Analysis Report United Airlines Holdings Inc (UAL) : Free Stock Analysis Report J.B. Hunt Transport Services, Inc. (JBHT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

United Airlines Holdings, Inc. UAL reported third-quarter 2026 adjusted earnings of $2.54 per share, down 8.6% year over year and below the Zacks Consensus Estimate of $2.60 by 2.3%. Higher fuel expenses weighed on profitability despite strong revenue growth. Operating revenues rose 17.4% year over year to $17.88 billion but missed the consensus mark of $17.91 billion by 0.2%. A 15.9% increase in total revenue per available seat mile or TRASM, supported the top line, driven by strength across premium, loyalty and contracted business revenues. United Airlines Holdings Inc price-consensus-eps-surprise-chart | United Airlines Holdings Inc Quote Passenger revenues increased 17.6% year over year to $16.24 billion. Domestic passenger revenues advanced 19.9% year over year, while international passenger revenues rose 14.3%. Latin America revenues rose 24.2% year over year, Pacific revenues climbed 16.5% and Atlantic revenues improved 10.1% year over year. Within the Atlantic region, Europe revenues increased 13.3% year over year, partly offset by a 17.3% decline in the Middle East, India and Africa region. Cargo revenues jumped 22.9% year over year to $529 million, while other operating revenues grew 12.9% to $1.11 billion. Premium revenues rose 17% year over year, while Basic Economy and loyalty revenues increased 16% and 17%, respectively. Contracted business revenues advanced 26% year over year, reflecting resilient close-in demand. Economy cabin unit revenues improved 17% year over year. Consolidated passenger revenue per available seat mile increased 16.1% year over year, while passenger yield climbed 16.8%. Domestic PRASM advanced 14.5% year over year, while international PRASM grew 17.4%, reflecting strong revenue performance across the network. Traffic, measured in revenue passenger miles, increased 0.7% year over year, while capacity expanded 1.3%. As capacity growth outpaced traffic, the consolidated load factor declined 0.5 percentage points to 83.9%. United Airlines transported a record 49.5 million passengers, up 2.4% year over year from the prior-year period. Domestic load factor declined 0.9 points to 84.4%, while international load factor remained nearly unchanged at 83.2%. Operating expenses increased 18.8% year over year to $16.43 billion, outpacing revenue growth. Aircraft fuel expenses surged 61.6% year over year to $4.84 billion as the average fuel price increased 60.3% to $3.90 per gallon. Fuel consumption rose 0.8% year over year. Cost per available seat mile increased 17.3% year over year to 18.56 cents. CASM-ex, which excludes fuel, profit sharing, special items and third-party business expenses, rose 7.8% year over year to 13.09 cents. Salaries and related costs increased 8.9% year over year to $4.96 billion. Distribution expenses climbed 13.9% year over year, while landing fees and other rent rose 4.4%. Aircraft maintenance expenses increased 3.5% year over year. Adjusted operating income declined 6.9% year over year to $1.23 billion, while the adjusted operating margin contracted 1.8 percentage points to 6.9%. Adjusted pre-tax income fell 8.7% to $1.11 billion, with the adjusted pre-tax margin narrowing to 6.2% from 8%. Adjusted net income decreased 8.4% year over year to $833 million. On a reported basis, net income increased 8.5% year over year to $1.03 billion, while earnings rose to $3.14 per share from $2.90. The difference between reported and adjusted results reflected special credits, primarily associated with gains from aircraft sale-leaseback transactions. Operating cash flow totaled $465 million during the third quarter compared with $1.22 billion a year ago. Free cash flow was negative $1.84 billion compared with negative $153 million in the prior-year period. Adjusted capital expenditures totaled $2.19 billion, reflecting continued fleet and infrastructure investments. Available liquidity ended the quarter at $17.7 billion. Cash and cash equivalents totaled $6.65 billion, while short-term investments were $8.01 billion. Debt, finance lease obligations and other financial liabilities were $26.40 billion. Trailing-12-month net leverage stood at 2.4 times. United Airlines expects fourth-quarter 2026 adjusted earnings between 50 cents and $1.50 per share (Zacks Consensus Estimate of $1.75 lies above the guided range), assuming an all-in average fuel price of approximately $4.80 per gallon. Management expects fourth-quarter revenue growth to accelerate from the third quarter, exceeding 20% year over year. Unit revenue growth is also expected to accelerate, while unit cost growth excluding fuel is projected to moderate. Adjusted capital expenditures are forecast at approximately $7.5 billion for 2026. United Airlines' fleet plan calls for 1,166 mainline aircraft and 441 regional aircraft by year-end. The airline has installed Starlink on more than 640 aircraft and expects fleet-wide availability by the end of 2027. Currently, UAL has a Zacks Rank #5 (Strong Sell). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Delta Air Lines DAL reported third-quarter 2026 earnings (excluding 57 cents from non-recurring items) of $1.72 per share, missing the Zacks Consensus Estimate of $1.80 by 4.44%. Earnings increased year over year despite sharply higher fuel costs and rising non-fuel expenses. Adjusted revenues climbed 16% year over year to $17.59 billion but missed the consensus estimate of $17.74 billion by 0.9%. Broad demand strength and healthy yields lifted adjusted total revenue per available seat mile, or TRASM, 15%, while premium and diversified revenue streams continued to expand. J.B. Hunt Transport Services, Inc. JBHT reported third-quarter 2026 earnings of $1.82 per share, up 3.4% from $1.76 a year ago. The figure beat the Zacks Consensus Estimate of $1.81 by 0.6%. Operating revenues climbed 20.4% year over year to $3.68 billion and surpassed the consensus mark of $3.56 billion by 3.2%. Stronger pricing, an 8% increase in Intermodal loads and higher brokerage volumes supported growth. However, elevated driver-related expenses, fuel costs and insurance claims pressured profitability. Alaska Air Group, Inc. ALK reported third-quarter 2026 adjusted earnings of 36 cents per share, excluding certain tax impacts, beating the Zacks Consensus Estimate of 35 cents by 2.9%. The company had reported adjusted earnings of $1.05 per share a year earlier. Higher fuel expenses weighed on profitability despite strong revenue momentum. Operating revenues increased 14.4% year over year to $4.30 billion but missed the consensus mark of $4.31 billion by 0.1%. Revenue per available seat mile, or RASM, rose 11.7%, supported by strong yields, premium demand and loyalty revenues. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report United Airlines Holdings Inc (UAL) : Free Stock Analysis Report Delta Air Lines, Inc. (DAL) : Free Stock Analysis Report J.B. Hunt Transport Services, Inc. (JBHT) : Free Stock Analysis Report Alaska Air Group, Inc. (ALK) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Wabtec Corporation WAB reported mixed third-quarter 2026 results, wherein earnings surpassed the Zacks Consensus Estimate but revenues missed the same. Both metrics increased year over year, supported by growth across Freight and Transit businesses and improved profitability. Quarterly earnings (excluding 41 cents from non-recurring items) of $2.83 per share beat the Zacks Consensus Estimate of $2.72 by 4.04% and increased 22% year over year. Revenues climbed 8.1% year over year to $3.12 billion but missed the consensus mark of $3.18 billion by 2%. The 12-month backlog increased 8.8% to $8.99 billion. Freight segment revenues increased 6.9% year over year to $2.24 billion. Services revenues rose 6.7% to $794 million, driven by stronger core demand and increased modernization deliveries. Equipment sales edged up 0.3% to $679 million as higher mining sales were largely offset by lower locomotive deliveries. Digital Intelligence revenues surged 24.2% to $369 million, aided by the Frauscher Sensor Technologies acquisition and robust core digital demand. Components revenues increased 5.3% to $395 million, supported by industrial, maintenance-of-way and international demand. Freight adjusted operating margin expanded 190 basis points to 26.4%, reflecting improved gross margins and operating efficiency. Wabtec price-consensus-eps-surprise-chart | Wabtec Quote Transit segment revenues advanced 11.3% year over year to $883 million. Growth reflected the Dellner Couplers acquisition and higher original equipment and aftermarket sales, partially offset by unfavorable currency movements. On a constant-currency basis, revenues increased 12.5%. Original equipment revenues rose to $408 million from $367 million, while aftermarket revenues increased to $475 million from $426 million. Transit adjusted operating margin expanded 260 basis points to 18.1%, primarily benefiting from improved gross profitability despite higher operating expenses relative to sales. Acquisitions contributed $114 million to third-quarter revenue growth, comprising $49 million from Freight and $65 million from Transit. Organic growth added $137 million, including $102 million from Freight and $35 million from Transit. Portfolio optimization activities reduced revenues by $12 million, while unfavorable foreign exchange movements lowered sales by $5 million. Organic growth exceeded acquisition contributions, highlighting the role of underlying customer demand alongside strategic investments in expanding Wabtec's business. Adjusted gross margin improved 180 basis points year over year to 37.4%, while adjusted operating margin expanded 190 basis points to 22.9%. Adjusted operating income increased to $715 million from $607 million, supported by higher sales, favorable product mix and productivity improvements. GAAP operating income climbed to $625 million from $491 million, with operating margin expanding 300 basis points to 20%. Benefits from cost recovery, manufacturing efficiencies and Integration 3.0 savings helped offset higher raw material costs, tariffs and acquisition-related expenses. Selling, general and administrative expenses increased to $383 million from $375 million. Total backlog reached $31.44 billion as of Sept. 30, 2026, up 22.9% from $25.58 billion a year earlier. Freight backlog increased to $25.77 billion, while Transit backlog reached $5.67 billion, reflecting continued order momentum across both businesses. The 12-month backlog grew $725 million year over year. Freight accounted for $6.54 billion of near-term orders, while Transit represented $2.45 billion. Recent orders included $1 billion in international locomotive and service contracts and $633 million in North American locomotive and modernization orders. Cash from operations increased to $455 million from $367 million in the prior-year quarter, primarily driven by higher net income. Operating cash flow conversion stood at 82% compared with 83% a year earlier. Wabtec ended the quarter with $489 million in cash, cash equivalents and restricted cash. Total available liquidity was $2.09 billion, including $1.61 billion available under existing credit facilities. Total debt stood at $6.38 billion. During the quarter, Wabtec repurchased $305 million of shares and paid $52 million in dividends. Wabtec raised and tightened its full-year 2026 adjusted earnings guidance to $10.85-$11.05 per share from the previous $10.60-$10.90 range. The midpoint increased 20 cents and represents expected year-over-year growth of approximately 22%. The Zacks Consensus Estimate for 2026 earnings is currently pegged at $10.89 per share, below the midpoint of the guided range. The company maintained its 2026 revenue guidance at $12.30-$12.60 billion, implying growth of approximately 11.5% at the midpoint. The outlook assumes continued operating margin expansion, productivity improvements and benefits from Integration 3.0 and portfolio optimization initiatives. The Zacks Consensus Estimate for 2026 revenues is currently pegged at $12.53 billion. Currently, Wabtec carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Delta Air Lines DAL reported third-quarter 2026 earnings (excluding 57 cents from non-recurring items) of $1.72 per share, missing the Zacks Consensus Estimate of $1.80 by 4.44%. Earnings increased year over year despite sharply higher fuel costs and rising non-fuel expenses. Adjusted revenues climbed 16% year over year to $17.59 billion but missed the consensus estimate of $17.74 billion by 0.9%. Broad demand strength and healthy yields lifted adjusted total revenue per available seat mile, or TRASM, 15%, while premium and diversified revenue streams continued to expand. Union Pacific UNP is scheduled to report third-quarter 2026 earnings on Oct. 22. The Zacks Consensus Estimate for third-quarter 2026 earnings has been revised 2.1% upward over the past 60 days. UNP's earnings beat the Zacks Consensus Estimate in three of the preceding four quarters (missing the mark on the other occasion). The average beat is 2.8%. Improvement in the freight scenario is expected to aid results. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Wabtec (WAB) : Free Stock Analysis Report Delta Air Lines, Inc. (DAL) : Free Stock Analysis Report Union Pacific Corporation (UNP) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

- American Airlines surged 7% ahead of its Q3 report, where it guided for a loss despite posting record Q2 operating revenue. - WTI crude falling 1.5% to $97 lifted United Airlines and Delta 5% each, since most U.S. carriers carry fuel costs unhedged. - The U.S. Global Jets ETF jumped 4%, dwarfing the S&P 500's 0.6% gain, signaling broad sector strength beyond any single carrier. - Building a portfolio and living off one are two completely different skills, and almost nobody teaches the second. This problem is what The Definitive Guide to Retirement Income helps, and it is free today. Read more here. (Sponsor) Airline stocks are rising as crude oil pulls back from its recent climb, and one carrier with a quarterly report on deck is leading the group. American Airlines Group (NASDAQ:AAL) stock has climbed 5% to $12.27, a strong move for this major U.S. network carrier. Meanwhile, United Airlines Holdings (NASDAQ:UAL) shares are up 3% to $98.46, a smaller advance than American Airlines stock. Similarly, Delta Air Lines (NYSE:DAL) stock is rising 3% to $76.75, a move that's in line with United Airlines stock. The key development sits in the oil market. For American Airlines, West Texas Intermediate (WTI) crude oil is down 1.5% over the past day to $97.05 per barrel. Jet fuel ranks among the largest costs for all three carriers. Most U.S. carriers don't hedge fuel, leaving them exposed to every swing in oil prices. Oil prices had climbed sharply amid conflict in the Middle East, pressuring margins at American Airlines, United Airlines and Delta. Any retreat in WTI eases part of that squeeze, since lower fuel bills flow straight to each carrier's cost line. American Airlines is heading into its upcoming Q3 2026 report, and the company guided to a loss per share for the quarter. Wall Street analysts also expect a loss, alongside higher revenue than a year earlier. ------ Many successful investors eventually reach the same moment. The saving is done, the portfolio is built, and the question quietly changes from how much can I grow this to how much can I take out? Get that second question wrong and decades of good investing can come apart in a handful of years. That is exactly what The Definitive Guide to Retirement Income helps answer. It covers what your retirement could actually cost, which income sources are worth using, and the withdrawal math that decides whether the money lasts. It is free today from Fisher Investments. Read More Here › ------ In its Q2 2026 report, American Airlines posted record operating revenue. Premium demand, loyalty growth and restored travel-agency distribution relationships are the tools the company is leaning on to lift sales. American Airlines' managed corporate revenue and AAdvantage registrations both posted strong growth in that quarter. Those demand drivers form the core of the bull case for American Airlines, because stronger sales could offset part of the fuel burden if oil keeps cooling. Heavy fuel costs and a guided Q3 loss weigh against those strengths. Shares of American Airlines are rising faster than United Airlines stock, Delta shares and the broader airline group. This gap suggests part of the move may reflect positioning ahead of the report, on top of the sector-wide lift from relieving oil prices. Pre-earnings positioning can reverse quickly if results or commentary fall short. For broad-market context, the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) is up 0.6% to $771.16, a far smaller gain than the airline rally. Against that backdrop, the U.S. Global Jets ETF (NYSEARCA:JETS) is up 4% to $26.71. American Airlines, United Airlines and Delta all rank among the fund's largest holdings, so the ETF captures much of the same lift. The U.S. Global Jets ETF also holds budget airlines, international carriers, aircraft makers and travel-booking companies. This broader mix reduces the pure fuel effect. That makes the fund a steadier gauge of sector sentiment than any single carrier. A key question for American Airlines is whether its Q3 loss lands inside its own guidance range. Investors can watch for whether WTI holds its drop. Strong momentum heading into the report raises the bar for American Airlines' management. Shareholders may want to stay lightly positioned until results confirm the rally, since a guided loss and pre-earnings positioning leave room for a sharp reversal. (Sponsor) Most people spend their entire working lives focusing on one thing: growing a pile of money. Then they retire and discover the skill they actually need is close to the opposite. 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When Warren Buffett stepped down as CEO of Berkshire Hathaway (NYSE: BRKA) (NYSE: BRKB), there were a lot of eyes on his successor, Greg Abel. Would Buffett's replacement follow the Oracle of Omaha's approach to buying stocks? Less than a year into Abel's tenure, we're getting an answer. Berkshire went on a buying spree during the second quarter, adding to its positions in Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOG) and Delta Air Lines (NYSE: DAL). And another purchase stood out -- $4.5 billion of Berkshire Hathaway's own stock. Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue » Here's what that means for investors. For years, Buffett accumulated an enormous cash reserve at Berkshire Hathaway, preferring to wait for attractive investment opportunities rather than overpay for stocks. That approach helped Berkshire build a reputation for finding companies with strong competitive advantages and buying their shares when they traded below their intrinsic value -- what the underlying business is actually worth. Abel appears to be following that philosophy, although he's becoming more aggressive about putting Berkshire's money to work. During the second quarter, Berkshire increased its Alphabet holdings substantially, adding millions of shares of the Google parent company. It also bought an additional 17.5 million shares of Delta, increasing its stake by 44%. Berkshire opened a position in Delta during the first quarter -- Abel's first as CEO -- and now has more than 57 million shares of Delta stock. Berkshire ended June with approximately $359.2 billion in cash and short-term investments. Even after its recent purchases, Abel has plenty of money available for additional investments. Berkshire Hathaway spent approximately $235 million buying back shares during the first quarter, then increased that amount to $4.5 billion in the second quarter. Berkshire has a specific rule governing repurchases. According to its second-quarter regulatory filing, the company can buy back shares only when its CEO determines that the price is below Berkshire's conservatively estimated intrinsic value. So, Abel isn't buying Berkshire shares simply because the company has money available. He's buying because he believes the stock offers value. Berkshire purchased Class B shares at an average price of $476.01 in May and $487.98 in June. Those figures give investors something useful -- actual prices at which Berkshire's leadership was willing to invest billions of dollars in its own business. One of Berkshire Hathaway's strengths is that it's a conglomerate -- the company owns dozens of businesses, including insurance companies, consumer goods such as Duracell, and iconic brands like Dairy Queen. It also has a huge investment portfolio, with large stakes in blue chip companies like Apple and Bank of America. That means it has exposure to several different parts of the economy. For investors considering Berkshire Hathaway, the company's recent repurchases provide a useful starting point for evaluating the stock. After all, when Berkshire's own management is willing to spend billions buying its shares, that's worth a closer look. Before you buy stock in Berkshire Hathaway, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Berkshire Hathaway wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $380,363!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,315,732!* Now, it's worth noting Stock Advisor's total average return is 919% — a market-crushing outperformance compared to 211% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of October 17, 2026. Bank of America is an advertising partner of Motley Fool Money. Patrick Sanders has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Apple, and Berkshire Hathaway. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy. Greg Abel Made Major Additions to Alphabet and Delta Last Quarter While Berkshire Bought Back $4.4 Billion of Its Own Stock. Is This a Buying Signal Investors Should Watch? was originally published by The Motley Fool

The third-quarter earnings season for the Zacks Transportation sector kicked off on Oct.9, with Delta Air Lines DAL missing bottom-line estimates. High fuel costs and rising non-fuel expenses hurt the bottom line. Several transportation companies are due to report their financial results shortly. Per the Earnings Outlook dated Oct. 14, while the transportation sector's earnings for third-quarter 2026 are expected to improve 9.6%, revenues are likely to grow 10.8% on a year-over-year basis. We have identified — with the help of the Zacks Stock Screener — a few transportation players that are set to outshine the Zacks Consensus Estimate with respect to the bottom line this earnings season. These include Union Pacific Corporation UNP, United Parcel Service UPS, Old Dominion Freight Line ODFL and C.H. Robinson Worldwide CHRW. Before we discuss the companies, let's take a look at the factors shaping the quarterly performance. The transportation sector demonstrated greater resilience than anticipated in the third quarter of 2026. Despite geopolitical uncertainties and persistently high fuel prices, robust air-travel demand and improving freight market conditions appear to have supported transportation companies. Consumers seem to have adjusted to elevated inflation, high interest rates and policy-related uncertainties by modifying their spending patterns accordingly. Following a prolonged period of downturn, things appear to be brightening as far as freight demand is concerned. Highlighting the brightening freight demand scenario, the Cass Freight Shipments Index improved 2.3% month on month in September 2026. This measure has improved month on month in five of the past seven months, which confirms the improving scenario. Additionally, the measure rose 1.9% year over year, marking its second consecutive annual increase following a three-and-a-half-year contraction, the longest such decline on record. Transportation companies are increasingly investing in artificial intelligence (AI) to enhance operational efficiency, lower costs and improve safety. Efforts toward cost optimization and automation are helping companies safeguard profitability. Efficiency gains stemming from cost-containment initiatives are likely to have supported bottom-line performance in the September quarter. Furthermore, the third-quarter results of most shipping companies in the sector are expected to benefit from the resilience of the dry bulk market, supported by factors such as growing Chinese demand for minor bulk commodities and high vessel utilization rates. While it is not possible to be sure about which companies are well-positioned to beat earnings estimates, our proprietary methodology — Earnings ESP — makes it relatively simple. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. Earnings ESP shows the percentage difference between the Most Accurate Estimate and the Zacks Consensus Estimate. Our research shows that for stocks with the above-mentioned combination, the chances of an earnings beat are as high as 70%. For investors seeking to apply this proven model to their portfolio, we have highlighted four transportation stocks that are poised to beat third-quarter earnings estimates. Headquartered in Omaha, NE, Union Pacific operates a rail network spanning 23 states across the western two-thirds of the United States, serving as a vital component of the global supply chain. The railroad operator currently has an Earnings ESP of +0.29% and a Zacks Rank of 3. You can see the complete list of today's Zacks #1 Rank stocks here. The company is scheduled to report its third-quarter 2026 results on Oct. 22. Union Pacific's efforts to reward its shareholders through dividends and share buybacks are commendable. With the freight scene on the mend, the company's performance is likely to have been aided. The company's earnings surpassed the Zacks Consensus Estimate in three of the past four quarters (missing the mark on the other occasion), with the average beat being 2.8%. Union Pacific Corporation price-eps-surprise | Union Pacific Corporation Quote United Parcel Service's third-quarter results are likely to reflect its focus on improving profitability over sheer volume. Under the cost-cutting initiatives, UPS has substantially reduced its U.S. operational workforce and closed daily operations at multiple leased and owned buildings. Moreover, United Parcel Service has been focusing on increasing automation in sorting and operations, and leveraging AI for logistics planning to boost efficiency. The shift in focus toward higher-margin areas such as small and medium-sized businesses or SMBs and healthcare logistics from low-margin volumes is expected to be reflected in UPS' third-quarter results, scheduled to be released on Oct. 27, and to aid its per-package revenues. United Parcel Service's earnings surpassed the Zacks Consensus Estimate in each of the past four quarters, with the average beat being 12.4%. The company has an Earnings ESP of +1.06% and a Zacks Rank of 3. United Parcel Service, Inc. price-eps-surprise | United Parcel Service, Inc. Quote Old Dominion Freight Line is a leading less-than-truckload or LTL company. The trucking company is based in Thomasville, NC. The company has an Earnings ESP of +0.25% and a Zacks Rank of 2. Old Dominion, whose third-quarter performance is likely to have been aided by the brightening freight environment, is scheduled to report results on Oct. 28. The company's efforts to reward its shareholders through dividends and share buybacks are commendable. Old Dominion's earnings surpassed the Zacks Consensus Estimate in each of the past four quarters, with the average beat being 6.7%. Old Dominion Freight Line, Inc. price-eps-surprise | Old Dominion Freight Line, Inc. Quote C.H. Robinson's consistent initiatives to reward its shareholders through dividends and share repurchases are encouraging. Cost-cutting efforts are expected to have aided its bottom line in the September quarter. Results are scheduled to be out on Oct. 28, 2026. C.H. Robinson currently has an Earnings ESP of +0.12 % and a Zacks Rank #2. CHRW's earnings surpassed the Zacks Consensus Estimate in each of the past four quarters, with the average beat being 8.1%. C.H. Robinson Worldwide, Inc. price-eps-surprise | C.H. Robinson Worldwide, Inc. Quote Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Union Pacific Corporation (UNP) : Free Stock Analysis Report United Parcel Service, Inc. (UPS) : Free Stock Analysis Report C.H. Robinson Worldwide, Inc. (CHRW) : Free Stock Analysis Report Old Dominion Freight Line, Inc. (ODFL) : Free Stock Analysis Report Delta Air Lines, Inc. (DAL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research