United Airlines Stock May Take Off in Wrong Direction After Earnings Report

Sell United Airlines Stock Ahead of Its Upcoming Earnings? United Airlines (NASDAQ: UAL) is set to publish its earnings report on Thursday, October 16, 2025. Historically, the airline's stock has shown a negative single-day return in 53 out of 60 cases following earnings announcements, with a median decline of -3.4%. This trend raises concerns among investors and analysts, who are advising traders to sell their UAL shares ahead of the upcoming report. UAL's Earnings Track Record Reviewing the last five years' worth of data, it becomes clear that United Airlines has struggled to meet market expectations after earnings releases. In 53 out of 60 cases (88.3%), the stock price declined on the day following the announcement. The median decline was -3.4%, with some instances showing drops as high as -12.1%. This pattern suggests that investors may want to exercise caution and consider selling their UAL shares before the earnings report. Market Implications The airline industry has faced significant challenges in recent years, including rising fuel costs, increased competition, and regulatory hurdles. United Airlines' performance will likely be influenced by these factors, as well as its ability to manage capacity, pricing, and operational efficiency. The market's reaction to UAL's earnings report will likely be driven by the company's ability to meet or exceed analyst expectations. Stakeholder Perspectives Investors who have held onto their UAL shares in anticipation of a positive earnings surprise may want to reconsider their position. With 88.3% of past earnings announcements resulting in a decline, it is essential for traders to reassess their investment strategy and consider selling before the report is released. Future Outlook and Next Steps While United Airlines' track record suggests that investors should be cautious ahead of its upcoming earnings release, it is essential to remember that each quarter's performance can be influenced by various factors. Traders who focus on events may want to review historical data and assess their investment strategy accordingly. As the airline industry continues to navigate challenges such as rising fuel costs and increased competition, investors must remain vigilant and adapt their approach to changing market conditions. Recommendation Considering United Airlines' history of negative single-day returns following earnings announcements, we recommend that traders sell their UAL shares ahead of the upcoming report. This decision should be made with caution, taking into account individual investment goals and risk tolerance. As always, investors are advised to consult with a financial advisor or conduct their own research before making any investment decisions. Disclaimer This article is intended for informational purposes only and should not be considered as investment advice. The views expressed in this piece are those of the author and do not reflect the opinions of Forbes or its affiliates. *Financial data compiled from Forbes reporting.*