Airline stocks are also beginning to take off after years of competitive pricing, higher oil prices and labor disputes thinned out the market. Now, airline investors are pointing to the reduced competition, improved management and steady energy prices as supporting factors that could lead to higher profits, reports Matt Jarzemsky for the Wall Street Journal.
“This is the first time I’ve been—broadly based—very bullish on the industry,” Eli Salzmann, a manager at Neuberger Berman, said in the article.
While there are no longer any airline specific ETFs, investors can still find significant exposure to the sub-sector through transportation ETFs. IYT has a 14.2% weight toward airline companies and XTN includes 24.4% in airline stocks.
iShares Transportation Average ETF
For more information on the transportation sub-sector, visit our transportation category.