JetBlue is at an inflection point towards profitability. Its JetForward turnaround plan, including revenue and cost initiatives, is gaining traction. The launch of the ‘Blue First’ domestic first-class product this year will ramp into 2027-2028 and drive meaningful earnings, giving confidence to reinstate the full-year guide and target $1 EPS in 2028.
The airline industry is starting to gain pricing power, combined with strong demand. Airfares are still 20% below 2019 levels in real terms and need to rise to cover input cost inflation (fuel, labor, maintenance, airport fees). This supports a revenue recovery for the sector.