American Airlines $AAL fell about 8% after Q2 results showed record $16.7B revenue but a renewed fuel shock. The carrier guided Q3 adjusted EPS to a loss of $0.70-$0.10 and full-year adjusted EPS to a range of ($0.65)-$0.65.
Apollo proposed £7.15 per easyJet share, valuing the airline at about £5.7B and topping Castlelake’s £6.90 proposal. EasyJet shares rose about 14% as the board said it was minded to recommend the higher offer.
Delta Air Lines beat Q2 estimates with adjusted EPS of $1.56 and roughly $17.7B of adjusted revenue, but fuel costs near $4.4B pressured the stock. The carrier kept full-year EPS guidance at $6.50-$7.50 and guided Q3 EPS to $2.00-$2.50.
EasyJet shares rose 10.5% after the airline agreed in principle to a £5.5B ($7.3B) takeover bid from Castlelake. The offer followed a rejected £4.93B proposal and pushed the stock to a new 52-week high.
Greg Abel, Warren Buffett's successor at Berkshire Hathaway ($BRK.B), has invested approximately $2.8 billion in Delta Air Lines ($DAL) despite surging fuel costs pressuring the sector — a direct reversal of Buffett's 2020 pandemic-era exit from all airline positions. On the same day, Appaloosa Management disclosed it had sold its entire positions in Delta, American Airlines ($AAL), and United Airlines ($UAL).
American $AAL lowered its 2026 adjusted EPS outlook to a loss of $0.40 to profit of $1.10, from $1.70-$2.70 in January, as jet-fuel costs add more than $4B of expense.
United $UAL cut its 2026 adjusted EPS outlook to $7-$11 from $12-$14, even as Q1 adjusted EPS of $1.19 and revenue of $14.61B beat LSEG estimates.