Major Airline Market Capitalization

[Ralph Wiggums]

Not bragging, not flame-bait, just a comment on the state of the industry:

From Saturday's Chicago Tribune:

"The combined market capitalization of the six U.S. legacy carriers just outpaces that of Southwest Airlines."

Market Capitalization
As of Friday's market close, in billions

US Airways $695.3 million
Continental $1.69
United $1.81
American $1.85
Northwest $1.98
Delta $2.05

Combined Total $10.07 billion

Southwest $9.31


In a related story, United's Glenn Tilton received $10.3 million last year.

 

[Formula 1]

If Delta's market capitalization is only $2.05 billion, then why did it lose $6.4 billion in one quarter? That over 3 times its market capitalization in just 3 months! If you combine Northwest's and Delta's market capitalization of $4.013 billion that still dose not cover the $6.4 billion dollar loss.

 

[Secret Squirrel]

That is the point. It is a accounting write down to revalue the airline based on current market cap/ stock price. They are saying they understand that fuel prices have pushed the airline stock down and now the airline is only worth XXX amount.

 

[JumpJetter]

Doesn't the price of the stock on the market do that automatically? It seems these write downs, specifically for Delta and NWA, are specifically timed for the merger.

 

[Beetle007]

Yeah...this is the first time I have noticed airlines taking a loss for their stock dropping. The investors are the ones who took a loss...not the airline.

Seems like fuzzy math to me

 

[Clyde]

Not bragging, not flame-bait, just a comment on the state of the industry:

From Saturday's Chicago Tribune:

"The combined market capitalization of the six U.S. legacy carriers just outpaces that of Southwest Airlines."

Market Capitalization
As of Friday's market close, in billions

US Airways $695.3 million
Continental $1.69
United $1.81
American $1.85
Northwest $1.98
Delta $2.05

Combined Total $10.07 billion

Southwest $9.31


In a related story, United's Glenn Tilton received $10.3 million last year.

Wasn't Southwest the only one to report a profit for the quarter? I could be wrong, but I'm fairly certain the big six listed above all reported losses.

 

[Max Powers]

If Delta's market capitalization is only $2.05 billion, then why did it lose $6.4 billion in one quarter? That over 3 times its market capitalization in just 3 months! If you combine Northwest's and Delta's market capitalization of $4.013 billion that still dose not cover the $6.4 billion dollar loss.

Dude please make sure you don't invest your money or change a light bulb without someone else's help!

 

[Sam Snead]

I think you may have gone over some heads with "market capatalization"

.......

 

[Hamburger]

Not bragging, not flame-bait, just a comment on the state of the industry:

Combined Total $10.07 billion

Southwest $9.31


In a related story, United's Glenn Tilton received $10.3 million last year.

Not bragging.........................Just starting a thread to make sure everybody is aware of some ground shaking current events.
Sure thing. You use the final approach to a Southwest hub as your avatar, but you're not rubbing anyones nose in the success of the company you happen to work for................

Is that success directly related to anything you've done? Did you just happen to buy a ticket on the one ship that isn't sinking and you want to make sure every other ship knows you're playing shuffleboard instead of running for a lifeboat.

Smug southwest guys on this board are a dime a dozen. You'll have to do more than that to set yourself apart. How about telling everyone that you are personally responsible for all of the decisions at corporate and not just some employee along for a great ride?

 

[Carl S.]

Market Cap. is just one of the factors when looking at a company. Debt load and structure of the debt is big. With the market swings today of 35% of stock prices, the cap. can go 1 billion either way in a day or two. According to a few new FASB's(Accounting rules) goodwill now must be written down in the quarter, so DAL/NWA have huge losses, but not operational losses. It's still a giant cash register in a basic form and more must go in than out to remain liquid.