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Is a Beat in Store for JetBlue Airways in Third-Quarter Earnings?

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JetBlue Airways Corporation (JBLU - Free Report) is scheduled to report third-quarter 2024  results on Oct. 29 before market open.

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

JetBlue Airways has an impressive earnings surprise history, having surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missed once. The average beat is 42%.

The Zacks Consensus Estimate for JBLU’s soon-to-be-reported is currently pegged at a loss of 26 cents per share. The consensus mark currently is narrower than a loss of 42 cents in the past 60 days.

JetBlue Airways’ proactive efforts to expand its connectivity amid increased demand scenarios are expected to have boosted its performance in the to-be-reported quarter. The Zacks Consensus Estimate for revenues is pegged at $2.35 billion, which indicates a decline of 0.2% from the year-ago levels.

Our estimate for passenger revenues is pegged at $2.19 billion, which hints at a decrease of 0.6% from the third-quarter 2023 actuals. Meanwhile, estimates for other revenues are pegged at $160 million.

On the contrary, the adverse effect of increasing operating expenses is expected to be reflected in the company’s bottom line in the September quarter. High interest expenses might hinder the company’s prospects. Our estimate for the metric is pegged at $108.2 million.

What Our Model Says About JBLU

Our proven model predicts an earnings beat for JetBlue Airways this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here.

JBLU has an Earnings ESP of +18.66% and a Zacks Rank #3 at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Highlights of JBLU's Q2

JetBlue's second-quarter 2024 earnings (excluding one cent per share from non-recurring items) of 8 cents per share beat the Zacks Consensus Estimate of a loss of 13 cents. In the year-ago quarter, JBLU reported earnings of 45 cents. Operating revenues of $2.43 billion beat the Zacks Consensus Estimate of $2.39 billion. However, the top line decreased 7% year over year.

Other Stocks to Consider

Here are a few other stocks from the broader Zacks Transportation sector that investors might want to consider as our model shows that these also have the right combination of elements to beat third-quarter 2024 earnings.

Copa Holdings (CPA - Free Report) has an Earnings ESP of +2.46% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here. The company is scheduled to report third-quarter 2024 earnings on Nov. 20 after market close.

CPA surpassed the Zacks Consensus Estimate in each of the preceding four quarters. The average beat is 16%.

American Airlines (AAL - Free Report) has an Earnings ESP of +32.97% and a Zacks Rank #2. AAL is scheduled to report third-quarter 2024 earnings on Oct. 24.

AAL has an encouraging earnings surprise history, having surpassed the Zacks Consensus Estimate in three of the preceding four quarters and missed once, the average beat is 103.2%.


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