United Airlines (UAL) shares are pushing higher this week as a sudden, brief reprieve in global energy markets yesterday provided much-needed relief to the airline's bottom line. Following a poor start to 2026, the airline stock now looks headed to challenge its 200-day moving average (MA), with a clear breach of the $96 level expected to accelerate bullish momentum in the days ahead.
Despite recent surge, United Airlines stock remains down more than 20% versus its year-to-date high.
What Makes United Airlines Stock Worth Owning in 2026?
At a recent JPMorgan conference, UAL said it’s seeing unprecedented demand in 2026, with the first 10 weeks of this year marking its largest booking weeks ever.
According to CEO Scott Kirby, the airline is aiming for an 8.5-point increase in its revenue per available seat mile (RASM) to fully offset the rising fuel costs.
Meanwhile, the RASM this month is already tracking 14% higher and booked yields are up at least 15% as well, he added.
United Airlines strategic shift toward a premium-heavy fleet — exemplified by the new Coastliner and A321XLR configurations — allows it to capture higher-margin travelers who are proving less sensitive to fare hikes.
Together, these structural tailwinds make UAL shares worth owning for the long term.
UAL Shares Are Trading at a Discount
United Airlines shares are attractive also because the airline is proactively trimming 5% of its least profitable capacity, demonstrating a disciplined approach that protects its path toward low double-digit operating margins, even in a high-cost environment.
From a valuation standpoint, UAL is trading at a discount that’s difficult for value investors to ignore. At just 7x forward earnings, it’s cheaper to own currently than peers, including Delta (DAL) and Southwest (LUV).
And that’s when the airline has actually achieved a 10-year low in total debt and is maintaining $10 billion in liquidity.
Options traders are also bullish on the company’s “United Next” strategy. Contracts expiring mid-June currently have the upper price set at about $107, indicating potential upside of 15% over the next three months.
What’s the Consensus Rating on United Airlines Stock?
Wall Street also seems to believe that United Airlines is strongly positioned to see disproportionate expansion as oil prices retreat from recent highs.
The consensus rating on UAL stock sits at a “Strong Buy,” with the mean target of $133 indicating potential upside of about 45% from here.
This article was created with the support of automated content tools from our partners at Sigma.AI. Together, our financial data and AI solutions help us to deliver more informed market headline analysis to readers faster than ever.
On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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