Investing in Airline Stocks in 2025

By Lou Whiteman – Updated Sep 16, 2025 at 1:16 PM | Fact-checked by Frank Bass

Key Points

Four major U.S. airlines dominate 80% of the market, improving fare and schedule management.
Airline industry faces pilot shortages and high fuel costs, impacting profits despite rising revenues.
Consolidation has strengthened the airline sector, helping major U.S. airlines avoid pandemic bankruptcies.

Airlines are an important part of the economy, but their stocks have often been lousy investments. Airline stock prices move with economic cycles, and past downturns have caused airline bankruptcies and failures.

Industry consolidation, however, has created a small group of competitors that are more effectively using technology to manage schedules and set fares. Today, four airlines control about 80% of the U.S. market.

Loading paragraph...

United Airlines airplane — Image source: Getty Images.

Loading image...

Loading paragraph...

Loading pitch...

Loading paragraph...

Ticker Information Table
Name and ticker	Market cap	Dividend yield	Industry
Delta Air Lines (NYSE:DAL)	$40.3 billion	1.09%	Airlines
United Airlines (NASDAQ:UAL)	$32.8 billion	0.00%	Airlines
Southwest Airlines (NYSE:LUV)	$18.1 billion	2.09%	Airlines
Alaska Air Group (NYSE:ALK)	$5.6 billion	0.00%	Airlines
Frontier Group (NASDAQ:ULCC)	$992.5 million	0.00%	Airlines

Data as of Oct 21, 2025.

Loading ticker_table...

Airlines in the U.S. fall into three categories:

Full-service companies, which fly globally, have different cabin classes and serve many markets.
Discounters, which offer few frills and service few destinations.
Regional airlines, which provide small-jet service to secondary markets under the brands of full-service partners.

There are about a dozen publicly traded airlines in the U.S. Here are some of our top picks:

Loading paragraph...

NYSE: DAL

Delta Air Lines

Today's Change

(0.92%) $0.57

Current Price

$62.32

Key Data Points

Market Cap

$40B

Day's Range

$61.18 - $62.91

52wk Range

$34.73 - $69.98

Volume

Avg Vol

8.2M

Gross Margin

17.50%

Dividend Yield

0.01%

Loading company_card...

Loading paragraph...

United Airlines Holdings

Loading paragraph...

NASDAQ: UAL

United Airlines

Today's Change

(-1.17%) $-1.18

Current Price

$100.11

Key Data Points

Market Cap

$33B

Day's Range

$99.42 - $101.67

52wk Range

$52.00 - $116.00

Volume

5.7M

Avg Vol

5.8M

Gross Margin

29.13%

Dividend Yield

N/A

Loading company_card...

Loading paragraph...

Southwest Airlines

Loading paragraph...

NYSE: LUV

Southwest Airlines

Today's Change

(0.73%) $0.25

Current Price

$34.68

Key Data Points

Market Cap

$18B

Day's Range

$34.06 - $34.98

52wk Range

$23.82 - $37.96

Volume

9.4M

Avg Vol

9.6M

Gross Margin

17.73%

Dividend Yield

0.02%

Loading company_card...

Loading paragraph...

NYSE: ALK

Alaska Air Group

Today's Change

(1.05%) $0.51

Current Price

$49.01

Key Data Points

Market Cap

$6B

Day's Range

$47.93 - $49.19

52wk Range

$39.79 - $78.08

Volume

2.7M

Avg Vol

2.8M

Gross Margin

16.24%

Dividend Yield

N/A

Loading company_card...

Loading paragraph...

Frontier Group Holdings

Loading paragraph...

NASDAQ: ULCC

Frontier Group

Today's Change

(0.23%) $0.01

Current Price

$4.36

Key Data Points

Market Cap

$1B

Day's Range

$4.29 - $4.46

52wk Range

$2.89 - $10.26

Volume

3.4M

Avg Vol

4.3M

Gross Margin

3.34%

Dividend Yield

N/A

Loading company_card...

Loading paragraph...

Loading pitch...

Loading paragraph...

Are airline stocks right for you?

The airline industry remains cyclical, but the pandemic proved the companies are now strong enough to withstand tough operating conditions without having to fly into bankruptcy.

If you are bullish on long-term demand for travel, buying into a well-run airline is a way for your investment dollars to go along for the ride.

Loading paragraph...

Loading pitch...

Loading paragraph...

Loading faq...

About the Author

Lou Whiteman is a contributing Motley Fool industrials and financial services analyst covering aerospace, defense, transport, manufacturing, specialty finance, and bank stocks. Previously, Lou was a financial analyst and senior writer for TheStreet, a venture capital specialist for The Deal LLC, and a high school personal finance teacher. He holds a bachelor’s degree in communications from Loyola University Maryland and completed a fellowship at the ABA Stonier Graduate School of Banking.

TMFeldoubleu

@louwhiteman

Lou Whiteman has no position in any of the stocks mentioned. The Motley Fool recommends Alaska Air Group, Delta Air Lines, and Southwest Airlines. The Motley Fool has a disclosure policy.