Originally Posted by rickair7777

That does not say that market cap is the sole metric, and it's definitely not.

In fact it's possible for the actual value of the company to approach or even exceed market cap if the market is way down, in which case you've got yourself a smokin' deal.

A low market cap combined with lots of cash (or even other hard assets) makes you a tempting and realistic target. In other industries that could even set you up to get bought, dismantled, cash looted and assets auctioned off... there are people who specialize in making a quick and large profit that way and all it takes is a handful of people and access to enough cash or credit to gain a controlling interest.

Fortunately for us, in this era the fed would not allow an airline acquisition by someone who just wants to part it out, so potential buyers need to be able and interested in actually running an airline without losing their arse. So we're a very niche market, mostly other airlines or people who have experience with airlines.

Originally Posted by rickair7777

That does not say that market cap is the sole metric, and it's definitely not.

In fact it's possible for the actual value of the company to approach or even exceed market cap if the market is way down, in which case you've got yourself a smokin' deal.

A low market cap combined with lots of cash (or even other hard assets) makes you a tempting and realistic target. In other industries that could even set you up to get bought, dismantled, cash looted and assets auctioned off... there are people who specialize in making a quick and large profit that way and all it takes is a handful of people and access to enough cash or credit to gain a controlling interest.

Fortunately for us, in this era the fed would not allow an airline acquisition by someone who just wants to part it out, so potential buyers need to be able and interested in actually running an airline without losing their arse. So we're a very niche market, mostly other airlines or people who have experience with airlines.

Originally Posted by WNeast

https://seekingalpha.com/article/4513297-jetblue-and-alaska-airlines-superior-match Lot of people keep making articles like this lately.

Originally Posted by WNeast

https://seekingalpha.com/article/451...superior-match Lot of people keep making articles like this lately.

Originally Posted by rickair7777

It obviously makes business sense.

It doesn't make sense for egotistical management teams who are in love with their brands and jobs in XYZ city.

Also doesn't make sense for SEA locals who are in love with boeing, or whatever zombie is wearing boeing's skin these days.

Originally Posted by WNeast

https://seekingalpha.com/article/4513297-jetblue-and-alaska-airlines-superior-match Lot of people keep making articles like this lately.

Originally Posted by rickair7777

It obviously makes business sense.

It doesn't make sense for egotistical management teams who are in love with their brands and jobs in XYZ city.

Also doesn't make sense for SEA locals who are in love with boeing, or whatever zombie is wearing boeing's skin these days.

Originally Posted by 9mikemike

A merger between Spirit and Frontier makes business sense. Two airlines doing exactly the same thing with a common fleet. The merger between Continental and United made business sense for the same reason. The acquisition of Virgin America for the purpose of eliminating a competitor will likely never be a break even deal. A merger between Jetblue and Alaska makes no kind of sense….Jetblue has no idea who they are and are thrashing around with three fleet types and horrible consumer ratings. Alaska has no idea who they are but are sure they do. Alaska has decided to chase Jetblues consumer ratings…They also have no operational leadership in the same way Jetblue has none. Both airlines are universally hated by their operational employees. My thought is a merger of Jetblue and Alaska would create the second coming of Peoples Express….All flash, no substance and gone by the way of the Dodo bird…no thanks