Why Shares of Major U.S. Airlines Declined in February

Shares of the legacy U.S. airlines all lost altitude in February, according to data provided by S&P Global Market Intelligence, caught in the broader COVID-19 coronavirus-related market downdraft. Shares of American Airlines Group (NASDAQ: AAL) traded down 29%, while shares of United Airlines Holdings (NASDAQ: UAL) and Delta Air Lines (NYSE: DAL) each lost more than 17% during the month.

Although some of the market sell-off over coronavirus was likely fueled by uncertainty, the outbreak will definitely have a significant effect on first quarter results due to canceled flights and lost revenue. The "big three" airlines all canceled flights to China in late January after near-term demand for travel plummeted, and have selectively suspended other routes in response to coronavirus-related fears.

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Source Fool.com