---
title: "The 3 Most Undervalued Airline Stocks to Buy in June 2024"
description: "Global airlines have raised their profit forecast due to increased demand, which is expected to fuel undervalued airline stocks. American Airlines (AAL) and JetBlue Airways (JBLU) present buying oppor"
type: "news"
locale: "en"
url: "https://longbridge.com/en/news/205822635.md"
published_at: "2024-06-07T10:15:00.000Z"
---

# The 3 Most Undervalued Airline Stocks to Buy in June 2024

> Global airlines have raised their profit forecast due to increased demand, which is expected to fuel undervalued airline stocks. American Airlines (AAL) and JetBlue Airways (JBLU) present buying opportunities, with both stocks trading at attractive valuations. For investors looking for diversification, the US Global Jets ETF (JETS) provides exposure to various airline-related stocks.

With demand taking off, global airlines just raised their profit forecast to $30.5 billion for the year. All as they prepare for about five billion passengers, as noted by the International Air Transport Association. That’s just over 11% higher than last year’s numbers. All of which should fuel undervalued airline stocks.

Additionally, travel demand is only getting stronger. According to TripAdvisor, “Americans and travelers around the world continue to place a high priority on summer vacations, according to the annual Summer Travel Index released today by Tripadvisor, the world’s largest travel guidance platform. In fact, 95 percent of respondents are planning to travel as much (51%) or more (44%) than last summer, despite some concern about economic headwinds.”

That being said, airline stocks – especially undervalued airline stocks – could take off.

## American Airlines (AAL)

Source: GagliardiPhotography / Shutterstock.com

Over the last few days, **American Airlines** (NASDAQ:**AAL**) gapped from about $15 to a recent low of $11.62. All after it cut its profit and revenue guidance. However, it does appear that most of the negativity has been priced into the now-oversold stock.

It’s also over-extended on RSI, MACD and Williams’ %R at the moment. In addition, AAL now trades at less than growth, with a price-to-earnings growth ratio of just 0.29, and at less than sales with a price-to-sales (P/S) ratio of 0.16.

In fact, I’d use that crisis as an opportunity to buy. Sure, a few top analysts at Susquehanna, Seaport Research, and TD Cowen lowered their price targets on AAL. But at this point, the pullback is overkill, and I’d again use this drop as an opportunity.

Remember, as we’ve learned from Baron Rothschild, the time to buy is when the blood is flowing in the street, even if the blood is your own.

## **JetBlue Airways (JBLU)**

Source: Markus Mainka / Shutterstock.com

I’d also use the recent weakness in **JetBlue Airways** (NASDAQ:**JBLU**) as an opportunity.

After gapping from about $7.50 to $5.50 on a lowered outlook, it appears that weakness has been priced in here, too. It’s also trading at less than sales with a P/S ratio of 0.19. With travel season nearing, and higher demand for flights, I don’t see JBLU staying grounded for long.

We also have to consider that the forecast is better than expected.

As noted by MarketWatch.com, “The airline now expects a 2% to 4% drop in available seat miles in the second quarter, whereas its prior forecast called for a 2% to 5% drop. Additionally, JetBlue (**JBLU**) anticipates a 6.5% to 9.5% decline in revenue, compared with its prior outlook calling for a 6.5% to 10.5% drop.” In addition, JBLU continues to see healthy demand.

As with AAL, I’d use weakness as an opportunity to buy JBLU.

## US Global Jets ETF (JETS)

Source: frank\_peters / Shutterstock.com

If you’d rather diversify with undervalued airline stocks at a lower cost, there’s always the **US Global Jets ETF** (NYSEARCA:**JETS**). With an expense ratio of 0.60%, the ETF diversifies with airline operators and manufacturers all over the world.

Some of its top holdings include **United Airlines** (NASDAQ:**UAL**), **Delta Air Lines**(NYSE:**DAL**), American Airlines, **Alaska Air Group** (NYSE:**ALK**), JetBlue, **Boeing** (NYSE:**BA**), **Booking Holdings** (NASDAQ:**BKNG**), **Expedia Group** (NASDAQ:**EXPE**), **Trip.com** (NASDAQ:**TCOM**).

At the moment, if I wanted to buy 100 shares of JETS, it would cost about $2,015. With this ETF, I gain exposure to dozens of airline-related stocks. Meanwhile, if I were to buy 100 shares of just Booking Holdings, it would cost me just under $383,100.

*On the date of publication, Ian Cooper did not hold (either directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.*

Ian Cooper, a contributor to InvestorPlace.com, has been analyzing stocks and options for web-based advisories since 1999.

Airline, Consumer Discretionary, Travel

Undervalued Stocks

### Related Stocks

- [JBLU.US - Jetblue Airways](https://longbridge.com/en/quote/JBLU.US.md)
- [JETS.US - Us Global Jets](https://longbridge.com/en/quote/JETS.US.md)
- [AAL.US - American Airlines](https://longbridge.com/en/quote/AAL.US.md)

## Related News & Research

| Title | Description | URL |
|-------|-------------|-----|
| 美國航空｜10-K：2025 財年營收 546 億美元不及預期 |  | [Link](https://longbridge.com/en/news/276276581.md) |
| 週五聯合航空的股票發生了什麼情況？ | 聯合航空（NASDAQ: UAL）股票在因燃料成本上升而出現的先前下跌後略有回升。該股票目前交易價格比其 20 日簡單移動平均線高出 0.6%，比其 100 日簡單移動平均線高出 5.9%，顯示出長期的強勁表現。分析師維持 “買入” 評級， | [Link](https://longbridge.com/en/news/276447862.md) |
| Booking 超出預期，並計劃進行 25 比 1 的拆股 | Booking Holdings 報告了超出預期的第一季度總預訂額，預計增長 15%，超出了分析師的預期。該公司計劃在 2026 年投資 7 億美元，以增強人工智能、地理擴展和廣告，目標是今年額外增加 4 億美元的收入。公司已批准進行 25 | [Link](https://longbridge.com/en/news/276291562.md) |
| 油價下跌，美國與伊朗談判期間航空股攀升 | 由於美國與伊朗的談判，油價下跌，推動了航空股的上漲。西德克薩斯中質原油期貨下跌了 1.1%，而聯合航空、美國航空和達美航空等航空公司的股票上漲。西南航空在瑞銀的評級上調後，股價大幅上漲。伊朗暫時關閉霍爾木茲海峽進行演習，這一重要的石油通道， | [Link](https://longbridge.com/en/news/276163225.md) |
| 在盈利超預期和股息增加後，評估 Copa 控股（NYSE:CPA）的估值 | Copa Holdings（紐約證券交易所代碼：CPA）公佈了強勁的 2025 年第四季度和全年業績，並宣佈每股新季度股息為 1.71 美元。儘管近期股價有所下跌，但該公司被認為在 139.34 美元的價格上略顯低估，公允價值估計為 156 | [Link](https://longbridge.com/en/news/276404759.md) |

---

> **Disclaimer**: This article is for reference only and does not constitute any investment advice.