JetBlue Airways Corp (JBLU)

ddberg (96.63) Submitted: 4/28/08 12:10 PM : Start Price: $5.03 JBLU Score: 23.66

JBLU is one of the more fascinating airlines in the nation. But this is an industry that was drowning even when oil prices were at $70 a barrel, so unless oil prices absolutely plummet sometime in the very near future (probability: roughly 0%), someone needs to explain to me how any airline -- big, small or otherwise -- is going to consistently make money with oil prices well above $100. Cost-cutting is great, but it's tough to save much money when your biggest cost -- fuel -- only increases from month to month. The only airline stocks that are going to be in the black 1-2 years from now are those that are acquired. I guess JBLU theoretically could be one of those (though I doubt it since their model is considerably different than the majority of the competition). But if I lay this underperform bet on most players in the industry, the number of laggards will far out-weight the few winners.

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