Airline Industry Update (DAL, HA, LCC, RJET)

In a quick industry update released today by Dahlman Rose & Co., the firm noted that airline stocks outperformed the S&P again last week, although they fell 0.6%, and that year-to-date, the airline complex as a whole has gained 16.6%. Things are slowing down some, however, ahead of the back to school season. The analysts wrote, "the traditional end of summer is approaching. Schools in the South and Midwest are already back in session or going back shortly. We are seeing slowing of domestic leisure traffic, while international premium traffic remains strong. Last week, the International Air Transport Association reported June premium traffic up 16.6%. The US Air Transport Association reported July system traffic up 2%." The firm's top picks for this week in the airline space are Delta DAL, Hawaiian Airlines HA, US Airways LCC and Republic Airways RJET.