Deutsche Bank Update on the Airline Industry

In its update on the airline industry, Deutsche Bank reports that “past history would suggest that the time to own airline shares is from the fall to the spring (i.e. the ‘seasonal trade') and to lighten up during the early summer (i.e. ‘go away in May').” “However, every once in awhile (most recently 2008 and before that 2003), airline shares are some of the summer's best performing stocks as investors return to the names and refocus on improving fundamentals,” Deutsche Bank writes. “This usually occurs after a challenging March quarter. So far, 2011 is shaping-up to be a year where we the stocks are well-positioned for a contra-seasonal trade.” Delta Air Lines Inc. DAL, which closed Tuesday at $11.01, was mentioned in the report.