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15 handpicked stocks

Clearing The Runway For IT Modernization

A major technical failure at United Airlines grounded its fleet, highlighting the airline industry's reliance on complex IT systems. This event signals a potential increase in investment by airlines into technology modernization, creating opportunities for companies that supply resilient software and IT infrastructure.

Author avatar

Han Tan | Market Analyst

Published on August 7

Your Basket's Financial Footprint

Market capitalisation breakdown for the basket 'Clearing The Runway For IT Modernization'.

Key Takeaways for Investors:
  • Expect stability rather than volatility: large-cap dominance generally implies lower risk and closer tracking of broader markets.
  • Consider as a core holding: suitable for foundational portfolio exposure, not for speculative, concentrated growth bets.
  • Manage expectations: anticipate steady, long-term value rather than rapid, short-term, explosive gains.
Total Market Cap
  • UAL: $32.41B

  • DAL: $40.69B

  • LUV: $18.21B

  • Other

About This Group of Stocks

1

Our Expert Thinking

United Airlines' recent system failure that grounded its entire fleet highlights a critical vulnerability across the aviation industry. Airlines rely heavily on complex, often ageing IT infrastructure that can cause widespread disruption when it fails. This creates an urgent need for technological modernisation and presents significant investment opportunities in companies that provide resilient IT solutions.

2

What You Need to Know

This group includes both airlines under pressure to upgrade their systems and technology vendors positioned to benefit from increased spending. The focus is on companies that provide cloud infrastructure, data management, aviation software, and IT consulting services. These investments target the anticipated acceleration in technology modernisation spending across the aviation sector.

3

Why These Stocks

These stocks were handpicked by professional analysts to capture the full spectrum of IT modernisation opportunities. The selection includes airlines that must now invest heavily in system upgrades to prevent future disruptions, alongside technology providers specialising in robust, modern solutions that ensure operational stability and prevent costly outages.

Why You'll Want to Watch These Stocks

Crisis Creates Opportunity

Major system failures like United's ground stop expose critical vulnerabilities that demand immediate action. Airlines can no longer afford to delay IT modernisation, creating urgent demand for technology solutions.

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Billions in Upgrade Spending

The aviation industry is set to accelerate technology investments to prevent future disruptions. This represents a massive opportunity for companies providing cloud infrastructure, aviation software, and IT consulting services.

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Expert-Selected Winners

These stocks were carefully chosen to capture both sides of the modernisation wave - airlines under pressure to upgrade and the technology providers positioned to benefit from increased spending.

Get the full story on this Basket. Read our detailed article on its risks and potential.

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