Airlines for Sale: Hawaiian Airways stock is UP 8% from last week, after the Hawaiian Airlines parent company bought the airline from its previous owner, United Airlines.
Hawaiian Airlines has a market cap of $11.2 billion and has a profit of $3.9 billion, according to Bloomberg data.
The Hawaiian stock has a value of $1.65 billion, which is more than four times what the previous owner had.
This is a good time to buy Hawaiian Airlines, which shares a lot in common with United Airlines, but its earnings per share are lower.
United Airlines is the airline that has the best earnings per passenger ratio, with profits at least four times that of Hawaiian Airlines.
In its second quarter earnings, Hawaiian Airlines posted a profit that was $1,832 million.
That was nearly three times that profit the previous year.
Hawaiians airline is still the world’s fourth largest carrier with nearly 14 million passengers.
“The Hawaiian Airlines acquisition provides us with the flexibility to build our own business model while continuing to build and sustain a solid network of low-cost carriers across the globe,” said CEO David Toga.
After the deal was announced, Hawaiian CEO Jim McIsaac was quoted as saying, “We’re all excited to get started.”