All eyes on $UAL United Airlines as it's set to buy over 100 jets from $BA ✈

As vaccinations pick up in the United States, and many states declare a plan to potential herd immunity in the next 12-18 months, United Airlines is thinking ahead of the curve.

Travel is set to pick up due to pent up demand and $UAL is eyeing new jets to fly its passengers. The 200-jet mega order is believed to be split between Boeing and Airbus, but is said to include a 150-plane Max order.

Some questions worth thinking about before you investing in Airline manufacturing or Carrier stocks:

  • Is spending cash ahead of a full reopening a prudent move by United?
  • This obviously looks like really good news for Boeing. But if you invest in Boeing, what kind of risk are you taking on? (potential delays in manufacturing, new COVID-strains, travel not picking up as much as expected etc)
  • Investor irrationality, larger than usual volatility in stock prices due to the news cycle.
  • Potential rise in oil prices

As for me, I’m excited to see how consumers react to rising prices (Inflation) and a sustained rise in Crude Prices ($70 now) as it cascades down to travel and tourism.

What do you think this means for United Airlines $UAL and Boeing $BA ?