Shares of airline company United Airlines (NASDAQ:UAL) gained in after-hours trading after the company reported earnings for its fourth quarter of Fiscal Year 2023. Earnings per share came in at $2.00, which beat analysts’ consensus estimate of $1.69 per share.
Sales increased by 9.9% year-over-year, with revenue hitting $13.63B. This beat analysts’ expectations by $80 million.
Total revenue per available seat mile (TRASM) slipped by 4.2% compared to the fourth quarter of 2022. In addition, the cost per available seat mile (CASM) fell by 0.1%. However, CASM-ex (which excludes the impact of fuel expense, profit sharing, special charges, and third-party expenses) increased by 4.9% year-over-year.
Is United Stock a Good Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on UAL stock based on three Buys, two Holds, and zero Sells assigned in the past three months, as indicated by the graphic below. Furthermore, after a 22% decline in its share price over the past year, the average UAL price target of $55 per share implies 43.79% upside potential.
