A recent sell-off in airline stocks has created an attractive entry point — but investors should be careful about which names they buy, according to Deutsche Bank.
Airline stocks have pulled back about 15% since peaking in mid-July, analyst Michael Linenberg told clients in a note released Monday.
That comes as investors attempt to gauge how rising fuel prices, increases in domestic capacity and macro economic uncertainty will impact these companies.
AAL DAL,UAL YTD mountain The three airlines this year Airline stocks, he said, are discounting a hard economic landing unlike the broader market.
High fuel prices have also been a key driver of downward pressure on these stocks, he said.
Persons:
Michael Linenberg, Linenberg, AAL DAL, — CNBC's Michael Bloom
Organizations:
Deutsche Bank . Airline, NYSE Arca, nab, International, Sun
Locations:
Delta, United, China, Alaska, Allegiant, SkyWest