Why Shares of Latam and Other Latin American Airlines Are Soaring Today

Airline shares are taking flight throughout the Americas on improving optimism that the worst of the COVID-19 pandemic travel slump is now behind us. The U.S. airlines are all up between 5% and 15% apiece on Monday, but those gains pale in comparison to how New York-traded Latin American airlines are trading.

Shares of two of Brazil's largest airlines, Azul (NYSE: AZUL) and Gol Linhas Aereas Inteligentes (NYSE: GOL), traded up 20% apiece on Monday, as did shares of bankrupt Latam Airlines Group (NYSE: LTM) of Chile.

Airlines around the globe have been hit hard by the pandemic, which has reduced travel demand to near-zero and starved companies of revenue. Two of Latin America's largest carriers, Latam and Colombia's Avianca Holdings, have flown into bankruptcy. And investors fled shares of Gol and Azul fearful that those airlines would end up there as well.

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Source Fool.com