Why Airline Stocks Are Still Dead Money Despite Record Travel

If there is one segment of the consumer market that is still doing well, it has to be travel. Despite the high inflationary pressures across other spending channels, consumers have continued to open their wallets and travel. This includes a hefty dose of so-called bleisure and business traveling. And they’re flying in spades.

So why are the airlines’ stocks once again becoming dead money?

A combination of higher costs, corporate pressures, and consumers wanting deals has continued to hurt airline stocks. Even Warren Buffett has been suffering. All of this gives rise to the old Wall Street adage about airline stocks being akin to lighting your money on fire.