Spirit Airlines Inc (SAVE)

Spirit Airlines Inc (SAVE) stock plummeted by 13.43% due to uncertainties surrounding its planned merger with JetBlue Airways. The uncertainty emerged as JetBlue expressed doubts about meeting closing conditions for the merger before the agreed-upon deadline of January 28. A federal judge's decision to support antitrust regulators seeking to block the merger added to the turmoil. Both airlines had initially pledged to fight this decision by filing an appeal, but the appeal's outcome now remains uncertain. JetBlue's disclosure that certain critical closing conditions might go unmet has cast further doubt on the merger's completion. Spirit Airlines, while countering that there is no valid reason for termination, is navigating this challenging situation with investors expressing deep concerns about the merger's fate.

Shares of Spirit Airlines Inc (SAVE) dropped by 12.26% from $15.58 to $13.67 in the trading on Tuesday, December 5, 2023. The reason why SAVE is down today is due to a legal dispute surrounding its merger with JetBlue Airways (JBLU). Lawyers for JetBlue urged a federal judge to reject the Department of Justice's attempt to block the merger, creating uncertainty for investors. JetBlue's attorneys argued that the merger would create a consumer-friendly, disruptive competitor to the industry's dominant airlines, which currently control 80% of the domestic market. In contrast, Spirit and JetBlue combined represent only about 8% of the market. However, the DOJ claims the merger would reduce competition, potentially leading to higher fares and fewer flight options for consumers. JetBlue's lawyers argue that smaller airlines like Spirit have been disproportionately affected by the pandemic, justifying the merger as a means to bolster their competitiveness.

Spirit Airlines Stock (SAVE) dropped by 12.10% from $13.06 to $11.48 in the trading on Tuesday October 31, 2023. The reason why SAVE stock down today is due to the trial to block the acquisition. Spirit Airlines fell for the fourth day in a row, after the Justice Department's trial to block the discount airlines $3.8 billion sale to JetBlue started in Boston before a federal judge. The Justice Department alleges that the proposed transaction will increase fares and reduce choice on routes across the country, raising costs for the flying public and harming cost-conscious fliers most acutely.

Spirit Airlines Stock (SAVE) dropped by 11.10% from $14.69 to $13.06 in the trading on Monday October 30, 2023. The reason why SAVE stock down today is due to hope for settlement with DOJ over JetBlue. Some investors were hoping for a settlement with the Dept. of Justice before its trial to block the discount airline's $3.8 billion sale to JetBlue is scheduled to start Tuesday. The trial has been delayed a few times in recent weeks, leaving some investors thinking that there may be some a settlement with the antitrust regulator in the works.

Shares of Spirit Airlines (SAVE) dropped by 8.24% from $16.01 to $14.69 in the trading on Friday, October 27, 2023. The reason why SAVE stock down is due to the company's lower-than-expected quarterly results:

• Earnings: Spirit reported a $1.37 per share loss, beating the Zacks Consensus Estimate of a $1.47 loss. However, this was a significant contrast to the $0.03 per share earnings from the previous year.
• Revenue: Spirit reported $1.26 billion for the quarter, slightly surpassing the Zacks Consensus Estimate by 0.61%, but lower than the year-ago revenues of $1.34 billion.