United Airlines Holdings Inc. UAL,
shares soared 9% in trading on Monday after the company said in a dossier that it expects basic cash flow to be positive for March “if the current trajectory of improving reserves is maintained.” The basic first-quarter cash burn is also expected to be positive, compared to the fourth quarter of 2020 due to accelerated reserves. “If the current rate of improvement in reserves continues, the company expects basic cash flow to be positive to move forward,” United said. United joins Delta Air Lines Inc. DAL,
Southwest Airlines Co. LUV,
with Monday’s announcements showing an increase in travel bookings in recent weeks as the COVID-19 vaccine continues to roll out. Cruise operators have also seen an increase in stocks alongside reserves. Shares have gained 47.3% in the last year, ahead of the S&P 500 SPX index,
which rises 45.4%.