United Airlines Holdings, Inc. (UAL  ) shares fell Monday after management disclosed it had approached American Airlines Group Inc. (AAL  ) about a potential merger, which American declined. United Airlines CEO Scott Kirby said he approached American about a merger, believing it could deliver major customer benefits, but the airline declined to engage, "publicly closing the door", ending any path forward without a willing partner.

Merger Proposal And Strategy

United said the proposed deal aimed to create a larger, customer-focused airline driven by growth rather than cost-cutting.

The company believes the combination could expand network reach, improve customer experience, and enhance value through better products and loyalty offerings.

Potential Benefits And Outlook

The airline outlined benefits including broader domestic and international service, increased capacity, and stronger competitiveness against foreign carriers.

It said the merger could have supported job creation, U.S. manufacturing, and economic activity. United emphasized the proposal focused on growth and customer investment, unlike past consolidation-driven mergers.

The company said regulatory approval could have been achievable despite expected divestitures.

With talks ended, United will continue executing its strategy for long-term growth and customer value.

Political Pushback

Sen. Elizabeth Warren criticized United Airlines CEO Scott Kirby's merger proposal with American Airlines, calling it a harmful consolidation that could raise fares.

She also opposed broader airline consolidation and raised concerns about a potential rescue of Spirit Aviation Holdings Inc. (FLYYQ  ), while Kirby separately criticized Spirit's business model.

Critical Price Levels To Watch For United Airlines

United is trading in the lower half of its 52-week range after losing earlier momentum. The stock is 2.3% below its 20-day SMA, indicating short-term weakness.

It is also 11.8% below its 100-day SMA, signaling a bearish intermediate trend.

The moving averages signal caution, with the 20-day SMA below the 50-day SMA. The MACD is below its signal line with a negative histogram, indicating sellers still have a slight edge.

Over the past 12 months, the stock is up 33.35%, showing strong longer-term gains. However, it remains below the $106.00 resistance level after pulling back from its January high.

  • Key Resistance: $106.00 - a prior ceiling where rallies have recently stalled.
  • Key Support: $84.50 - an area where buyers have tended to show up on pullbacks.
United Airlines Earnings Preview

Looking further out, the next major catalyst for the stock arrives with the July 15, 2026 (estimated) earnings report.

  • EPS Estimate: $1.79 (Down from $3.87 YoY)
  • Revenue Estimate: $17.47 Billion (Up from $15.24 Billion YoY)
  • Valuation: P/E of 8.3x (Indicates value opportunity relative to peers)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $121.34. Recent analyst moves include:

  • BMO Capital: Outperform (Raises Target to $130.00) (April 23)
  • UBS: Buy (Raises Target to $135.00) (March 23)
  • Citigroup: Buy (Lowers Target to $132.00) (March 20)
UAL Stock Price Activity: United Airlines Holdings shares were down 1.52% at $91.59 at the time of publication on Monday, according to Benzinga Pro data.