NEW YORK (
) -- Airline stocks surged Tuesday, lifted by a glowing UBS analyst's note and a second-straight day of falling oil prices.
Oil futures edged lower after the world's leading oil-producing nations opted to leave production volumes unchanged, a decision that could lead to short-term stability for energy prices after a volatile year.
Also on Tuesday, UBS analyst Kevin Crissey raised his 12-month stock-price targets on American Airlines' parent company,
, as well as
Delta Air Lines,
, and United Airlines parent
Crissey also lifted his 2010 bottom-line expectations for
US Airways Group
, whose shares shot higher by 11.5% Tuesday to $5.10.
Among the other names, AMR closed up 6.5% to $8.10; Continental Airlines rose by 4.9% to end at $18.60; Delta Air Lines added 3.5% to $11.80; and Southwest Airlines edged up 1.2% to $11.50.
UAL -- which got the biggest price-target boost from the UBS analyst, to $24 from $15 -- gained 12.2% to $12.90.
Crissey wrote that even if travel demand doesn't continue to strengthen, airline passenger revenue could rise 1.5% in January and 4.5% in February.
-- Reported by Andrea Tse in New York
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