Why Hawaiian Holdings Stock Fell 11.8% in March
Shares of Hawaiian Holdings (NASDAQ: HA), parent company of Hawaiian Airlines, descended by nearly 12% last month, according to data from S&P Global Market Intelligence, after a new threat emerged in its core market.
Southwest Airlines (NYSE: LUV) made its long-awaited entrance into the lucrative Hawaiian market in early March. The popular discount airline began offering flights from California to Hawaii priced as low as $49 -- or about 75% less than the typical cost of a similar ticket from Hawaiian Airlines. Southwest's reduced-price tickets proved popular with travelers and quickly sold out.
Southwest also announced that it would begin inter-island flights on April 28. Flights from one Hawaiian island to another are particularly profitable for Hawaiian Airlines, as it has up until now enjoyed a near monopoly in this area.
Source Fool.com
