Zacks highlighted in a recent article that airline stocks are on the rise as air travel picks up one year after the pandemic grounded most flights.
According to data from the Transportation Security Administration (TSA), about 1.357 million travelers checked in at American airports on March 12 — the highest number since Mar 15, 2020. Although the figure is much better than the record-low 87,534 passengers seen on April 14 last year, it is still down 38% from the pre-COVID-19 levels.
Sweta Killa, writing for Zacks, said “the solid trend is likely to continue with more vaccines in progress and a new $1.9 trillion stimulus that will help in speedy economic recovery and thus lead to higher demand for travel and bookings.”
The article then recommends investors explore certain ETFs that tap travel. Zacks highlights the U.S. Global Jets ETF (JETS), which is the only ETF dedicated to the airline industry. JETS had gained over 17.5% in the month of March through the 15th as Americans take to the skies for Spring Break.
Past performance does not guarantee future results. Please click here for standardized performance.
The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when sold or redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. The expense ratio is 0.60%.
U.S. Global Investors has authored and is responsible for the summary on this page. All opinions expressed and data provided are subject to change without notice. Opinions are not guaranteed and should not be considered investment advice. The outbreak of the COVID-19 pandemic and the resulting actions to control or slow the spread has had a significant detrimental effect on the global and domestic economies, financial markets and industries, including airlines. U.S. Global Investors continues to monitor the impact of COVID-19, but it is too early to determine the full impact this virus may have on commercial aviation. Should this emerging macro-economic risk continue for an extended period, there could be an adverse material financial impact to the U.S. Global Jets ETF.