United Airlines Holdings, Inc. (NASDAQ:UAL) on Monday announced a significant deal with GE Aerospace (NYSE:GE).
In particular, United has selected 300 GEnx engines to power its new Boeing Company (NYSE:BA) 787 Dreamliners, enhancing its fleet capabilities and operational efficiency, which may have contributed to investor optimism.
United Becomes Largest GEnx Operator
The agreement with GE Aerospace also includes additional spare engines, bringing United’s 787 fleet to over 200 GEnx-powered aircraft.
Mohamed Ali, President & CEO of GE Aerospace Commercial Engines & Services, highlighted that this deal positions United as the largest GEnx operator globally, emphasizing the long-standing relationship between the two companies.
In addition to the operational benefits, the GEnx engine family is noted for its advanced materials and technologies, delivering greater durability and reliability with a 99.98% dispatch rate.
The deal with GE Aerospace is significant for United as it underscores the airline’s commitment to modernizing its fleet and enhancing operational efficiency.
This positions United favorably in a competitive market, especially as airlines increasingly focus on sustainability and performance.
Deal With Elon Musk’s Starlink
This month, in a post on the social media platform X, the airline announced the expansion of its Starlink partnership. United said that Starlink was now available on 300+ planes, which was nearly the airline’s “entire regional fleet.”
UAL’s Short-Term Weakness vs. Long-Term Trend
Currently, United Airlines is trading 5.2% below its 20-day simple moving average (SMA) and 8.3% below its 100-day SMA, indicating some short-term weakness. Over the past 12 months, shares have increased by 5.85% and are positioned closer to their 52-week highs than lows, reflecting a generally positive longer-term trend.
The RSI is at 44.45, which is considered neutral territory, suggesting that the stock is neither overbought nor oversold. Meanwhile, MACD is below its signal line, indicating bearish pressure on the stock.
The combination of neutral RSI and bearish MACD suggests mixed momentum, indicating that traders should watch for potential shifts in the stock’s direction.
- Key Resistance: $119.00
- Key Support: $100.00
UAL’s Financial Update and Analyst Ratings
United Airlines is slated to provide its next financial update on April 14, 2026.
- EPS Estimate: $1.33 (Up from 91 cents YoY)
- Revenue Estimate: $14.14 Billion (Up from $13.21 Billion YoY)
- Valuation: P/E of 10.7x (Indicates value opportunity)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $135.71. Recent analyst moves include:
- TD Cowen: Buy (Raises Target to $140.00) (Jan. 22)
- UBS: Buy (Raises Target to $147.00) (Jan. 22)
- Argus Research: Buy (Lowers Target to $135.00) (Jan. 22)
UAL’s Strong Benzinga Edge Rankings
Below is the Benzinga Edge scorecard for United Airlines, highlighting its strengths and weaknesses compared to the broader market:
- Value Rank: 82.37 — Indicates strong value relative to peers.
- Growth Rank: 86.44 — Suggests solid growth potential.
The Verdict: United Airlines’ Benzinga Edge signal reveals a strong growth and value proposition in the current market. The high ranks suggest that the stock is well-positioned for future performance, making it an attractive option for investors.
UAL’s Influence in Key ETFs
- Themes Airlines ETF (NASDAQ:AIRL): 5.42% Weight
- iShares US Transportation ETF (BATS:IYT): 4.27% Weight
- Invesco Leisure and Entertainment ETF (NYSE:PEJ): 5.45% Weight
Significance: Because UAL carries such a heavy weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.
Price Action: United Airlines Holdings shares closed down 0.01% at $109.29 on Friday, according to Benzinga Pro data. GE Aerospace shares were down 0.03% at $315.30 during premarket trading on Tuesday.
Photo by Vytautas Kielaitis via Shutterstock
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