Warren Buffett's Warning about Airline and Cruise Line Stocks

Warren Buffett has recently held Berkshire's Annual Shareholder meeting where he warned investors about the dangers of investing in Airline and Cruise line stocks. These stocks are quickly becoming value traps and tempting new investors, despite the companies themselves being risky investments.
Let's discuss value traps and why the Airline and Cruise line business is currently fraught with danger.

#investing #warrenbuffett

[NewMoneyYouTube]

What are your thoughts on the Airline and Cruise line industry? Good opportunity? Or value trap?

[evanday]

Just invested $1k across airlines, cruise lines, and oil/gas companies. I'll revisit this comment in 5 years.

[phoenix]

Buffet also said ‘Be greedy’ when everyone is Scared !

[Omnilysis]

6 months later I've made over 200% on airline stocks....lolol

[charlesperkins]

The way I look at it: When the FED owns 1% of Delta, they are now 'invested' and will help them be successful.

[bugalugsnz]

Never underestimate the loyalty of wealthy retired Americans with Elite cruise status...

[stuartacarter]

I made 43% in two weeks on Norwegian cruises and then sold. Boom 💥

[daws]

Bought delta stock at $18.70 lowest since 2013.
Reason ?
I can afford to lose $700. High risk high reward In long term the reward is fantastic

[George_Perez]

Great analysis Brandon, I personally just bought some delta shares at around $20.. I can't see the US government letting them fail because it would negatively impact so many other businesses that rely on tourism, so I see it as a almost guaranteed 2-3X return in 3-5 years, as long as you believe in air travel & are willing to hold long term, easy money 🤑🔥🚀

[gmusic]

You where wrong on airlines, I trusted my instinct and bought American airline I have 86% growth on it

[BPable]

This video was funny to watch while my airline and cruise stocks are making me money right now.

[InvestorCenter]

Warren Buffett is the greatest investor of all time. A great person to study if you truly want to learn about investing.

[JayZoop]

Do you see what he is doing. Buffet is selling airline now, then will buy airlines back when it is near bottom. Or he will buy another industry like the entertainment industry.

[polishfish]

FOUR things have kept me away from these stocks: 1) Peter Lynch saying cyclicals should be bought when earnings make it look EXPENSIVE, not cheap, 2) Peter Lynch saying to wait for substantive positive change, rather than jumping in right away, 3) Sven Carlin suggesting that we wait for poor earnings to see if we still want to buy Disney/CCL/etc, and 4) Warren Buffet telling us to ONLY invest in things you understand (and nobody understands the duration or degree of suppression of travel/vacation ... also Phil town with that last part.

[ThePicklePlays]

I’m high and just bought 10 shares of airline now getting this in my recommended... bruh

[Brandon-xpob]

I bought a few shares of southwest simply because their balance sheet is the best out of the 4 and people WILL fly again ... eventually. They're better positioned to ride out this downturn. I don't expect to see a return until maybe 2023 at least though so I'm in it for the long term. Other airline stocks didn't seem as solid to me so I only bought SW.

[RomanChaar]

Just bought
$2k of Delta
$2k of SW
$2k of United
Gonna wait for a year to double my investment.

[oghaggins]

This guy - wears Tesla hoodie
Me - laughs in royal Caribbean up 40% right now

[jayus]

Be greedy while others are fearful. Airlines will recover in time, but in no way should we invest in airlines to make a quick dollar. I'm investing in airline stocks with a long-term view approach and I'm buying airline stocks in moderation.

[johng]

If you bought these stocks when this video came out you’d already be up 30-40% 😂