Avoid Spirit Airlines Stock in 2024: Understanding the Impact of Business Crisis
Avoid Spirit Airlines Stock in 2024
Despite its popularity among retail investors, Spirit Airlines (NYSE: SAVE) faces challenges due to its failed merger with JetBlue and financial instability.
A Botched Merger with JetBlue
In 2022, JetBlue's attempt to merge with Spirit Airlines was rejected by regulators, leading to a 70% decline in stock value.
Where Are the Profits?
Spirit Airlines struggles to turn a profit, with negative operating margins and high debt levels that may lead to bankruptcy.
Don't Get Misled by a Low Stock Price
Investing in Spirit Airlines solely based on its low stock price is risky, as the company faces a looming cash crunch and potential insolvency.
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