Shares of Sabre (NASDAQ: SABR) took flight Monday, climbing 11% as of 3:25 p.m. EDT, on optimism surrounding the tech company's airline customers. The market thinks the airlines are going to get another round of government stimulus, and this is good news for Sabre and other companies that rely on the sector for revenue. Airline revenue has plummeted due to the pandemic, and that in turn has taken its toll on companies like Sabre, a one-time American Airlines Group subsidiary that runs airline ticketing and reservation systems.
The company, which provides software for the global travel industry, is following the broader market downward.
Investors need to pay close attention to Sabre (SABR) stock based on the movements in the options market lately.