J.P. Morgan: Airline Fare Increases Underway?

J.P. Morgan is out with a research alert this afternoon, looking at recent airline fare increases by Delta Air Lines (NYSE: DAL) and United Continental Holdings (NYSE: UAL). J.P. Morgan has an Overweight rating on both names.

In the report, J.P. Morgan states, "Combined with seasonal trends (the historical observation that November/December is typically among the best entry points for airline equities), we see no sector-specific events as likely to derail the post-AMR equity trajectory, with UAL, LCC, DAL and JBLU our favored pecking order among Overweight-rated names."

At the time of posting, Delta is down 5.88% from Monday's close, currently trading at $8. United is trading at $19.78, down 4.81% from Monday's close.