longtermgains

Given the rate slashes expected to be announced within the next few days, I am thinking that we should see a nice upswing in stocks for SpiceJet, IndiGo and GoAir. Between the lower fuel costs and the withdrawal of custom duty, fares are going to drop up to 15% by the middle of the month. I think once there is an official announcement made, we'll see a rise in value and then maybe again when the rate decreases take effect. What do you think - good time to invest in those companies?

InvestForFun

I would still say no. We have seen a huge amount of volatility in these companies of late, with airlines going bust with no warning, just there being no planes flying when customers show up.

Just too uncertain for me.

longtermgains

I was thinking more of a short term thing with picking up a chunk of stock now and just holding it for a month or two. I think we'll see several rise quite a bit with what's going on then I figured on selling it for a quick profit. I'm still debating it.

InvestForFun

British Airways PLC has consistently fallen until Friday, when it saw a bit of an increase. It might continue, but I would be very nervous. Honestly, I'm afraid for the money that is tied up in two airline tickets I have booked for February, let alone buying into the company!

MakingUpRules

BA is indeed doing a little better, and so is Aer Lingus. I haven't looked at any others, but it would be nice if at least one industry was able to stay afloat.

InvestForFun

The airline industries have not been hugely stable of late, so I would need to see a longer period of prosperity. I would think it possible that the drop in fuel costs has had a positive effect on the stock.

pabbe

I think still a long way to go before the aviation industry in India recovers. There are still a lot of problems which they need to sort out. If one is planning to invest they can do so keeping a long investment horizon.

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WorkingHard

Today has shown falls for BA, Aer Lingus and others. Airlines are suffering because of policies such as locking in fuel costs. This is done to protect them from price rises, but when fuel prices fall a great deal, they lose out. This is part of what is giving them trouble now.