It seems like JetBlue is getting squeezed more and more by the major airlines ... it's stock price has fallen from around $45 or so in Oct. 2003 to $23 currently. So would you think it's a good buy?

Can the company sustain/improve it's position and become a bigger and better company ... or did JetBlue grow too fast?

Any thoughts?

 

ah no one cares for another start up airline company with low fares, southwest and airtran have taken most of the market for that, so i predict they will fail especially with external press from other major airlines.

 

I feel they will fail because the other airlines are larger has more market share. Plus the whole fear of flying after 9/11. I personally wouldn't invest in JetBlue

 

you think so? I think the industry can only grow from here on out. It may take a while for fears to subside, but its still the best way to travel. The need for flights on the east coast is always going to be there

 

Business 2.0 had a great article on AirTran airways back in December of 2003. They compared them to another discount airline of the 80's. Basically AirTran uses the same people for 2-4 different jobs, reducing it's staff and also reducing it's spending. I would suggest reading it.

http://www.business2.com/b2/web/arti...548882,00.html

 

They are trying to copy the business model of Southwest, and that is a good thing. Here is why. By the way, I am also a professional pilot, so I understand aircraft maintenance.

Flying commercial on UAL from Chicago to Newark, I start talking to the guy next to me, and I ask him what he does for a living. This was just after Boeing rolled out the 777. We were on board a 737.

He said he was a master A&P (airframe and powerplant) mechanic for United, and he was chasing "his" 777, about an hour ahead of us. He was there to assist and evaluate any of the quirks of the new 777 that pilots write in a book called "squawks." We got to talking about the airlines, and he came up with this:

"Southwests' business model is very smart. They have to maintain only one airplane. The B737. That means their mechanics can focus, and need no specialization. United, on the other hand, needs to maintain knowledge and parts inventory for Boeing (6 types, with several different models), McDonnel Douglas
(DC-10s, but I think they are phasing them out), British Aerospace (BAE 146), Saab (twin engine turboprops) and Bombadier (late, short route turbofans).

This means United must stock way more parts, and train specialized mechanics. Very expensive."

I believe Jet Blue is doing the same as Southwest, so that can't bee all bad.

Personally, I WOULDN'T TOUCH airline stocks. Keep in mind, under the present Southwest business strategy, although they may grow, they will never be a serious long distance (i.e, international) carrier.

And, keep in mind mighty United's (UALAQ) lofty stock price these days. About $1.50.

 

I have had GREAT experiences flying AirTran. Very cheap, great service, nice planes (nothing from the 70s that smells like puke), etc.

I've never flown JetBlue, but i hear good things. It's just a matter of whether or not they can compete.

 

I would certainly fly JetBlue, but I don't think I would invest at the moment:

http://www.newratings.com/analyst_ne...le_379092.html

http://www.forbes.com/markets/newswi...tr1232454.html

 

i would have invested in jet blue 2 years ago though. If you guys remember, they were the only company making money!!!


AMR was at an all time low and so was that market sector. Jet blue was one of the first companies to introduce discounted flights at the level they were competing at. They undercut everyone and had a very attractive balance sheet at the time. when they went public, it was a big deal. at least for what i remember. it could have even been just a year ago, but i do remember this happening.

 

that is cheap ass hell i dont know they spend too much on their planes and dont charge enough for their limited customers, so i d have to say no

 

They better not fail before April 18th 2004! I purchased round trip tickets (Boston/Orlando) for the family to go the Disney. I'm in deep shit if I can't get down there!