Airline Stocks: Which Of These Companies Can Fly High?

By John Williams In recent years, the airline industry has undergone great consolidation and reform through the merger and acquisition of failing airlines by larger players in the market. The sector is poised to take off soon, and a position in a worthy airline could prove to be a lucrative investment. Yet, while some airlines are poised for lift-off, others still are facing severe headwinds. Which airlines are winners for 2012, and which will prove to be unreliable investments that are unable to keep up with the competition? Delta Airlines (DAL) is managing to stay alive even though it possesses nearly as much liability as it has assets. The airline possesses assets worth $43 billion, but liabilities of $41 billion – $12.5 billion of which is long term debt. It seems to have made it out of the storm, however, posting a profit of $593 million in 2010 that compares extremely well to its devastating loss of $8.9 billion back in 2008. The first three quarters of 2011 shows the airline continuing in the right direction and I believe that there could be a move for this stock in 2012. Delta is currently eyeing ARM Corporation (AMR), which owns American…