Schaeffer's 43rd Anniversary Stock Picks in 2024

Spirit Airlines Wins Key Runway Slots

The company has been trying to secure these spots since 2019

Deputy Editor
Jul 6, 2022 at 10:16 AM
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Spirit Airlines Incorporated (NYSE:SAVE) is in the spotlight this morning, after Newark-Liberty International Airport reassigned 16 peak-hour runway slots to the airliner. Spirit has been trying to win these slots since Southwest Airlines (LUV) vacated them when it stopped its operations there in 2019, but the Federal Aviation Administration (FAA) had to assess traffic conditions before they were granted. 

Spirit Airline stock is flat today, down 0.3% at $24.08 at last check. When we checked in with SAVE last week, the company had just reported plans to accept Frontier Group's (ULCC) improved takeover bid after a drawn-out bidding war. The stock has been rising since its mid-May 18-month low of $15.92, but has recently been seeing pressure just above the $24.60 level as it reclaims its early-May bear gap. 

It's worth noting that though short interest fell 7% during the last two weeks, it still represents 9% of the stock's available float. Meanwhile, of the nine analysts in coverage, five carry a "strong buy" with four a tepid "hold." 

 

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