Vitality In AirTran (AAI) Springing Back
According to an article by Dave Mock on Motley Fools, there is no shortage of experts calling market bottom. Even the man of the year, Ben Bernanke, has twice called bottom. The time at which these stocks will hit bottom, beaten down by undue pessimism, will present the true opportunity for traders to expand their portfolio. However, there is no foolproof method to time a market bottom.
Although the airline sector has been posting losses for the past several years, investors believe that the low-cost carrier, AirTran Holdings (NYSE: AAI), has seen the last of the worst. AAI has been seeing improvements and has swung to profits in the fourth quarter. Similar to Delta Air Lines (NYSE: DAL) and United Airline parent UAL (NASDAQ: UAUA), AAI is benefiting from the recovery in the economic environment.
Apart from reporting traffic growth for January, AirTran also got a boost in its rating from Standard & Poor's. The same trends that are helping AAI have also resulted in priceline.com (NASDAQ: PCLN) posting a better-than-expected quarter.
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