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United Survives Boeing Debacle

United Survives Boeing Debacle

And, Ethereum Foundation liquidation.

Photo by Tim Gouw on Unsplash

Today is Tuesday, January 23, 2024.

The Early Bird Index today is 63.89.

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United Survives Boeing Debacle

Amid another headache in the air travel industry, United Airlines (Nasdaq: UAL) posted strong financial results on Monday and shares jumped 6.14% in after-hours trading.

Financials: United Airlines reported earnings of $2.00 per share in the past quarter and revenue of $13.6 billion; both were better than expected.

Details: While revenue per seat mile decreased in the quarter, United Airlines more than made up for the drop. Capacity grew 14.7% while total operating revenue jumped 9.9%.

Outlook: United Airlines expects its 2024 full-year earnings per share to be between $9 to $11 per share, which is better than expected.

Background: These results come during a precarious time for the airline industry. An incident involving a Boeing (NYSE: BA) aircraft in January resulted in the grounding of most Boeing 737 MAX 9s for safety checks.

Powering the Story: If this grounding lasts through the end of January, United Airlines said that it will report a loss between 35 cents to 85 cents per share in the current quarter.

Stock Price: United Airlines is down 21% in the last year, including 8% in the last 30 days.

Final Thoughts: Good results from United Airlines. But if the 737 MAX 9 grounding lasts beyond January, the company could see bigger losses.

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Notables

Notable Earnings Today: Netflix (Nasdaq: NFLX), Verizon Communications (NYSE: VZ), 3M (NYSE: MMM), Intuitive Surgical (Nasdaq: ISRG), General Electric (NYSE: GE), Texas Instruments (Nasdaq: TXN), RTX (NYSE: RTX), Steel Dynamics (Nasdaq: STLD), Johnson & Johnson (NYSE: JNJ), Baker Hughes (Nasdaq: BKR), Halliburton (NYSE: HAL), Stride (NYSE: LRN), Lockheed Martin (NYSE: LMT), Canadian National Railway (NYSE: CNI), Procter & Gamble (NYSE: PG), D.R. Horton (NYSE: DHI), PACCAR (Nasdaq: PCAR), WesBanco (Nasdaq: WSBC), Invesco (NYSE: IVZ), Old National Bancorp (Nasdaq: ONB), Synchrony Financial (NYSE: SYF), Trustmark (NasdaqGS: TRMK), Veritex Holdings (Nasdaq: VBTX), NBT Bancorp (Nasdaq: NBTB), EastWest Bancorp (Nasdaq: EWBC).

Notable IPOs Today: Ramper Innovations (Wefunder), Nepal Tea Collective (Wefunder).

Notable Equity Crowdfunding Campaigns Ending Today: Coco Pago (Wefunder), Bando Alternative Group Delivery (Mainvest), Arrive (PicMii).

Notable Economic Events Today: API Weekly Crude Oil Stock (4:30 p.m. ET).

Ethereum Foundation Liquidation

A single ETH coin stands on a chess table

Photo by Kanchanara on Unsplash

The price of Ethereum dropped by around 4% on Monday, continuing a slide since spot Bitcoin ETFs (exchange-traded funds) were approved earlier this month.

Details: Ethereum, which had a strong 2023, is now in the red for 2024. Most of the losses have come in the past few days.

Powering the Story: The non-profit Ethereum Foundation liquidated more coins on Monday by selling $1.6 million worth of Ethereum in the process, according to Arkham Intelligence.

Final Thoughts: The expectation of more investors coming into crypto hasn’t materialized. Many coins, including Ethereum, are down in recent weeks.

AGNC Investment’s Mixed Results

AGNC Investment (Nasdaq: AGNC) posted mixed financial results on Monday, causing the stock of the real estate company to dip 1.65% in after-hours trading.

Final Thoughts: The stock is down 16% in the past year due to the struggling real estate market.