Spirit Airlines: Trading Strategies While Waiting For The Airline Merger

Jan. 08, 2024 6:04 AM ET

Spirit Airlines, Inc. (SAVE) Stock

By: Lexi Mural

Summary

The proposed merger between Spirit Airlines and JetBlue Airways is facing challenges from the Department of Justice on antitrust grounds. The fate of the merger now rests in the hands of the judge, with potential significant returns for shareholders if the deal goes through.

Spirit Airlines and JetBlue Airways are currently in the midst of a proposed merger, which has encountered hurdles from the Department of Justice due to antitrust concerns. The outcome of the merger is now pending a judicial decision, offering the potential for substantial returns to shareholders should the merger be approved.

Analysis

The proposed merger between Spirit Airlines and JetBlue Airways has been met with resistance from the Department of Justice over antitrust issues. This development has led to uncertainties surrounding the fate of the merger, with the final decision now lying in the hands of the judiciary. Should the merger proceed, it has the potential to yield significant benefits for shareholders.

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Analyst’s Disclosure

I/we have a beneficial long position in the shares of SAVE either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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