Let's face it, airline stocks have been big
losers in 2005. In fact, hammered by fuel prices and poorly
funded pension plans, they were losers in 2004 too, not to
mention 2003. But that hasn't stopped hedge fund managers from
selectively pouring in the cash and making money by timing when
one of these battered names is about get a lift.
At least that's what the smart money is doing. In this case,
the smart money is Steve Cohen at SAC Capital Advisors, which
has more airlines in its portfolio these days than some major
airports. There are about a dozen airline stocks held by SAC,
which recently took huge stakes in both Delta Airlines and
Mind you, there is plenty of headroom for a bounce in these
sector names when the Street defines "good news" as any sign
that a company won't go file for Chapter 11...