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United Airlines (UAL) Stock Sinks As Market Gains: What You Should Know

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United Airlines (UAL - Free Report) closed at $50.10 in the latest trading session, marking a -0.36% move from the prior day. This move lagged the S&P 500's daily gain of 0.38%. At the same time, the Dow added 0.11%, and the tech-heavy Nasdaq gained 0.54%.

Prior to today's trading, shares of the airline had lost 5.6% over the past month. This has lagged the Transportation sector's loss of 5.26% and the S&P 500's loss of 1.68% in that time.

Investors will be hoping for strength from United Airlines as it approaches its next earnings release. Our most recent consensus estimate is calling for quarterly revenue of $14.42 billion, up 11.96% from the year-ago period.

Investors might also notice recent changes to analyst estimates for United Airlines. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.05% higher. United Airlines currently has a Zacks Rank of #1 (Strong Buy).

Looking at its valuation, United Airlines is holding a Forward P/E ratio of 4.49. This valuation marks a discount compared to its industry's average Forward P/E of 8.73.

The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 74, putting it in the top 30% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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