In the show ‘Making Money with Charles Payne,” Fox Business News contributor and host of the show, Charles Payne, gives his comments to viewers on Zillow Inc (NASDAQ:Z) as well as on airlines like Southwest Airlines Co (NYSE:LUV) and American Airlines Group Inc (NASDAQ:AAL).
Speaking about airlines, Payne said that there was a time when people avoided airlines stocks as most of them i.e. nearly 200 airlines had closed from 1979 to the recent past. He said that in spite of all this, airlines have been allowed to consolidate as well as charge consumers for each and every service like for luggage, for using the quarters, for using bathrooms, etc.
On airline stocks like Southwest Airlines Co (NYSE:LUV) and American Airlines Group Inc (NASDAQ:AAL), Payne said, “I now like Southwest that used to be a big name in the space, maybe American Airlines, under 40, I will go with that.”
Adding to Payne’s comments, Penn Financial Group founder Matt McCall said that he recently bought the American Airlines Group Inc (NASDAQ:AAL) stock at $39 and expects it to go to around $48 to $49 with a 20% rise and also added that the valuations of the stock looked attractive to him.
Moving on to the stock of Zillow Inc (NASDAQ:Z), Payne said that he loves the stock and that he recommends a ‘Buy’ on Zillow Inc (NASDAQ:Z). Payne said “They (Zillow) are in such a unique position because if you are moving if you are renting if you are buying a house, that is were people go, so if you are holding the stock, I say you ride out the volatility if not, you buy it on weakness.”
While Payne said that compared to the present situation, five years back nobody would have put their money into airline stocks, FoxBusiness.com reporter, Kate Rogers, also commented on the topic of airlines stocks, which included stocks like Southwest Airlines Co (NYSE:LUV) and American Airlines Group Inc (NASDAQ:AAL), and said that while on one hand having a price on each and every service is not liked by consumers but, on the other hand, these prices are mainly helping in moving the stocks up.
Retail Analyst Hitha Prabhakar also sounded positive on charging prices when she said “I think they are going to change the whole travel industry, I think they are only the one who’s going to drive up these airline stocks, as well as the travel stocks.”