A month has gone by since the last earnings report for JetBlue Airways (JBLU). Shares have added about 11.6% in that time frame, outperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is JetBlue due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.
JBLU Q1 Earnings Miss Estimate
JetBlue Airways Corporation reported a wider-than-expected loss in first-quarter 2026. Revenues edged past the Zacks Consensus Estimate.
The company reported a loss of 87 cents per share, wider than the Zacks Consensus Estimate of a loss of 72 cents. In the year-ago quarter, JBLU reported a loss of 59 cents.
Meanwhile, the operating revenues of $2.24 billion beat the Zacks Consensus Estimate by 0.2%. Total revenues jumped 4.7% year over year, with passenger revenues accounting for 91.4% of the top line and increasing 4% to $2.05 billion, while beating our model estimate of $2.03 billion.
On a year-over-year basis, other revenues increased 12.5% to $192 million but missed our estimate of $206.7 million.
Other Details of JBLU’s Q1 Earnings
Revenues per available seat mile (RASM: a key measure of unit revenues) increased 6.5% year over year to $14.60, driven by resilient demand and solid execution in a challenging environment.
Passenger revenues per available seat mile increased 5.8% year over year to 13.35 cents. The average fare at JetBlue increased 3.2% year over year to $219.5. The yield per passenger mile rose 3.9% year over year.
Consolidated traffic (measured in revenue passenger miles) remained flat at $12.6 million on a year-over-year basis. Capacity (measured in available seat miles) fell 1.7% year over year. Consolidated load factor (percentage of seats filled by passengers) increased 1.5 percentage points to 82.2%. Our estimate for the load factor was 81.3%.
Total operating costs (on a reported basis) inched up 6.5% year over year to $2.46 billion. Expenses on aircraft fuel increased 12.1% year over year. Other operating expenses gained 9.9% year over year.
The average fuel price per gallon (including related taxes) was $2.96, up 15.2% year over year. JBLU’s operating expenses per available seat mile (CASM) increased 8.3% year over year. Excluding fuel, CASM rose 6.6% to $12.21.
JBLU’s Outlook
For second-quarter 2026, capacity is anticipated to increase in the band of 1.5-4.5% from second-quarter 2025 actuals. CASM, excluding fuel and special items, is predicted to climb in the range of 3-5%. Capital expenditures are expected to be approximately $275 million. RASM is forecasted to increase in the range of 7-11% from the second-quarter 2025 actuals. The average fuel cost per gallon is estimated to be between $4.13 and $4.28.
For 2026, capital expenditures are expected to be approximately $800 million.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in estimates revision.
The consensus estimate has shifted -15.73% due to these changes.
VGM Scores
Currently, JetBlue has a poor Growth Score of F, a grade with the same score on the momentum front. Charting a somewhat similar path, the stock has a score of D on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, JetBlue has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
JetBlue belongs to the Zacks Transportation - Airline industry. Another stock from the same industry, SkyWest (SKYW), has gained 7.6% over the past month. More than a month has passed since the company reported results for the quarter ended March 2026.
SkyWest reported revenues of $1.01 billion in the last reported quarter, representing a year-over-year change of +6.8%. EPS of $2.21 for the same period compares with $2.42 a year ago.
For the current quarter, SkyWest is expected to post earnings of $2.85 per share, indicating a change of -2.1% from the year-ago quarter. The Zacks Consensus Estimate has changed -2.4% over the last 30 days.
SkyWest has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of B.
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JetBlue Airways Corporation (JBLU): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).