JetBlue Airways (NASDAQ:JBLU) Shares Gap Down on Disappointing Earnings

JetBlue Airways Corporation (NASDAQ:JBLU)’s share price gapped down prior to trading on Tuesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $5.08, but opened at $4.73. JetBlue Airways shares last traded at $4.8650, with a volume of 8,702,850 shares trading hands.

The transportation company reported ($0.49) earnings per share for the quarter, missing the consensus estimate of ($0.45) by ($0.04). The company had revenue of $2.24 billion during the quarter, compared to analysts’ expectations of $2.22 billion. JetBlue Airways had a negative return on equity of 19.87% and a negative net margin of 5.16%.JetBlue Airways’s quarterly revenue was down 1.4% on a year-over-year basis. During the same period in the previous year, the company earned ($0.21) EPS.

Trending Headlines about JetBlue Airways

Here are the key news stories impacting JetBlue Airways this week:

• Positive Sentiment: Revenue slightly beat expectations and management pointed to operational progress under its JetForward program, which it says improved reliability and customer satisfaction. JetBlue Announces Fourth Quarter 2025 Results
• Positive Sentiment: Top-line came in modestly above Street estimates ($2.24B versus $2.22B), which limits the upside risk from the print itself. JetBlue Reports Q4 Loss, Beats Revenue Estimates
• Neutral Sentiment: Management held a detailed earnings call and published a slide deck/transcript — useful for investors who want granular visibility into the turnaround plan, cost actions and capacity guidance. Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Analyst and ETF commentary highlighted divergence in airline results (JetBlue vs. peers), which could drive relative flows into/out of aviation ETFs depending on each carrier’s outlook. American Airlines, JetBlue Earnings Highlight Diverging Paths For Airline ETFs
• Negative Sentiment: EPS missed Street expectations (loss $0.49 vs. est. -$0.45) and the loss widened vs. prior year, signaling profit recovery remains incomplete — a primary driver of the negative stock reaction. JetBlue shares slide on wider-than-expected fourth quarter loss
• Negative Sentiment: Management cited muted demand for economy seats and rising costs, pressuring margins and revenue (Q4 revenue down ~1.4% YoY). These demand/cost dynamics increase near-term margin risk. JetBlue’s quarterly loss widens on muted demand for economy seats
• Negative Sentiment: Key profitability metrics remain negative (negative net margin and return on equity), reinforcing investor concerns about balance-sheet leverage and earnings visibility. JetBlue Q4 Earnings Summary and Metrics

Wall Street Analysts Forecast Growth

JBLU has been the subject of a number of recent analyst reports. TD Cowen increased their price target on JetBlue Airways from $4.00 to $5.00 and gave the company a “hold” rating in a research report on Wednesday, January 7th. The Goldman Sachs Group raised their target price on JetBlue Airways from $3.50 to $4.00 and gave the stock a “sell” rating in a research report on Tuesday, January 13th. Susquehanna increased their target price on JetBlue Airways from $4.55 to $5.00 and gave the stock a “neutral” rating in a report on Friday, January 9th. Morgan Stanley reduced their price target on shares of JetBlue Airways from $8.00 to $7.00 and set an “equal weight” rating on the stock in a research report on Monday, December 8th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of JetBlue Airways in a research note on Thursday, January 22nd. Five research analysts have rated the stock with a Hold rating and six have issued a Sell rating to the stock. Based on data from MarketBeat, JetBlue Airways presently has an average rating of “Strong Sell” and an average price target of $4.93.

Hedge Funds Weigh In On JetBlue Airways

A number of institutional investors have recently modified their holdings of the business. U S Global Investors Inc. increased its stake in JetBlue Airways by 25.2% in the 2nd quarter. U S Global Investors Inc. now owns 5,021,419 shares of the transportation company’s stock worth $21,241,000 after purchasing an additional 1,011,279 shares during the period. Samalin Investment Counsel LLC bought a new stake in JetBlue Airways in the 3rd quarter worth $1,129,000. Assenagon Asset Management S.A. boosted its holdings in shares of JetBlue Airways by 17.6% during the third quarter. Assenagon Asset Management S.A. now owns 1,951,255 shares of the transportation company’s stock worth $9,600,000 after purchasing an additional 291,758 shares during the period. SG Americas Securities LLC grew its stake in shares of JetBlue Airways by 372.1% in the third quarter. SG Americas Securities LLC now owns 485,945 shares of the transportation company’s stock worth $2,391,000 after purchasing an additional 383,018 shares during the last quarter. Finally, Public Employees Retirement System of Ohio lifted its holdings in JetBlue Airways by 5,888.2% in the 2nd quarter. Public Employees Retirement System of Ohio now owns 252,943 shares of the transportation company’s stock worth $1,070,000 after buying an additional 248,719 shares during the period. Institutional investors and hedge funds own 83.71% of the company’s stock.

JetBlue Airways Trading Down 6.9%

The company has a debt-to-equity ratio of 3.42, a quick ratio of 0.77 and a current ratio of 0.82. The stock has a market capitalization of $1.72 billion, a P/E ratio of -3.58 and a beta of 1.78. The stock has a 50-day moving average price of $4.80 and a two-hundred day moving average price of $4.75.

JetBlue Airways Company Profile

JetBlue Airways Corporation is a low-cost scheduled passenger airline headquartered in Long Island City, New York. Since commencing service in 2000, the carrier has built a reputation for combining competitive fares with enhanced onboard amenities, including free in-flight entertainment, complimentary snacks and beverages, and onboard Wi-Fi. JetBlue operates a single fleet type of Airbus A320 family and Embraer 190 aircraft, which supports its focus on efficiency and operational consistency.

The airline’s core offerings include economy-class travel and a premium business-class product known as Mint, which features lie-flat seats, curated culinary options and elevated service on select transcontinental and international routes.