Boeing (NYSE:BA) has been making headlines for all the wrong reasons over the years, first with the 737 Max jetliner fatalities and subsequent mishandling of the issue, and most recently, the begging for a government bailout. The company added one more, declaring that a major U.S. airliner could go out of business this year. And many investors believe this to be American Airlines (NASDAQ:AAL), casting a dark cloud on AAL stock.Source: GagliardiPhotography / Shutterstock.com To be clear, Boeing CEO Dave Calhoun never mentioned who he was thinking about specifically during an interview with CNBC. But to those reading between the lines, American Airlines looks to have received the dubious honor. As you know, the broader travel industry has been a mess, impacting every corner of the sector. Even as most states have forged a path toward reopening, travelers largely remain rooted at home.Of course, in any fallout, the weakest components are the first to suffer. In this case, several analysts have pointed the spotlight at AAL stock. Let's be real – airliners weren't exactly the most robust investment class prior to the novel coronavirus pandemic. But now, the crisis has exposed every vulnerability.InvestorPlace – Stock Market News, Stock Advice & Trading TipsFundamentally, American Airlines is burning cash at an unsustainable rate. In my opinion, you can easily use hyperbolic terms here. In its most recent first-quarter earnings report, AAL suffered a net income loss of $2.24 billion. Its balance sheet is now in the red, suffering a loss of $2.64 billion. * 20 Stocks to Buy If You're Still Betting on America to Thrive Again, rivals such as United Airlines (NASDAQ:UAL) and Delta Air Lines (NYSE:DAL) don't necessarily inspire the most confidence. But neither organization has a negative balance sheet. Thus, it's likely that AAL stock would be the odd man out. The Loss of AAL Stock Would Only Be a Pyrrhic VictoryIn a cynical sense, should American Airlines implode, it would ordinarily represent an opportunity for the other, relatively well-heeled airliners. Back in the early 1990s, for instance, the nostalgic airline brand Pan Am found itself in federal bankruptcy court. After a fierce battle, which included United, American and defunct companies Trans World Airlines and Northwest Airlines, the court granted Delta rights to Pan Am's transatlantic service.Essentially, Pan Am's assets were incredibly valuable to almost every major airliner because they could pick up pieces of the once iconic firm for pennies on the dollar. But what makes this present crisis unique is that few will be eager to adopt such a speculative growth strategy.In other words, it doesn't really matter whether AAL stock fades into the darkness. What we really should be concerned about is how many of the airliners will still be flying.I'm almost tempted to say that the airliner industry represents one of the greatest shorting opportunities ever. That's because a sharp disconnect still exists between the industry's market value and what's really over the horizon.According to Boeing chief exec Calhoun, "Traffic levels will not be back to 100%. They won't even be back to 25% [by September]… Maybe by the end of the year we approach 50%. So there will definitely be adjustments that will be have to be made on the part of the airlines."If that's the case, AAL stock is not the only stock we should be worried about. Before the coronavirus disrupted everything, industry experts forecasted that global air traffic volumes, though positive, would decline relative to the highs of 2017.Part of the reason is sluggish economic growth which has now turned into a disaster. Deflationary Environment to Hurt All PlayersIf that wasn't enough to get you airsick, consider that the consumer is probably not ready to fly. I'm not just talking about the obvious health implications. Rather, the financial situation for millions of Americans simply do not justify travel and vacationing.As you've heard, the latest jobless claims number neared three million initial filings. Since the crisis began, the total number of people filing for unemployment benefits have totaled over 36 million. It's an absolutely stupid figure that even hardened analysts cannot comprehend.Not surprisingly, 40% of Americans who have been fortunate enough to receive their coronavirus stimulus checks have chosen to save their funds. Personally, it's the wisest decision you could make. But on a collective level, this is exactly what the government didn't want.After all, our economy is mostly driven by consumption. What happens when people don't consume?It's a similar line of inquiry against AAL stock. Yes, American Airlines might fail. But how long can everyone else last if nobody wants to fly?A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * Top Stock Picker Reveals His Next 1,000% Winner * America's Richest ZIP Code Holds Shocking Secret * 1 Under-the-Radar 5G Stock to Buy Now * The 1 Stock All Retirees Must Own The post American Airlines Could Crash, But Is It the Only One? appeared first on InvestorPlace.

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Theoretically, because JPMorgan Chase (NYSE:JPM) is the most powerful among the big four bank stocks – the others being Citigroup (NYSE:C), Bank of America (NYSE:BAC), and Wells Fargo (NYSE:WFC) – it should provide a measure of confidence through this unprecedented storm. After all, the entire banking sector learned harsh lessons from the 2008 financial crash. Once society normalizes from the novel coronavirus pandemic, JPM stock should be back, rocking and rolling.Source: Bjorn Bakstad / Shutterstock.com However, shares have traded pensively relative to the strong bounce back seen in other investment sectors. Unprecedented government action designed to address the pandemic's devastating effects have failed to inspire much momentum in JPM stock. Some might point to the disconnect between benchmark indices and the fundamentals becoming a little bit more connected.For instance, Federal Reserve Chair Jerome Powell gave a stark warning about the current malaise. To paraphrase his sentiments, Powell believes that additional government support is necessary to overcome this crisis. Still, he's under no illusions – this will blow a huge hole in our already massive deficit. But the cost will be worth it, in part because the alternative may be even more disastrous.InvestorPlace – Stock Market News, Stock Advice & Trading TipsNot surprisingly, this shift toward a darker tone has capped upside for JPM stock and other big banks. But according to CNBC, senior administrative officials indicated that the White House would likely support a second round of stimulus checks. * 20 Stocks to Buy If You're Still Betting on America to Thrive Officially, the Trump administration is keeping tight-lipped about this proposal. Nevertheless, I don't think they have much of a choice. With the President being in a pivotal election year, he must do everything in his power to not only stabilize the economy but to spark tangible momentum.But will it work? JPM Stock Caught in a Fiscal ExperimentOn the surface, stimulus 2.0 may be just the catalyst JPM stock needs. Yes, the underlying company has bolstered its balance sheet, as has everyone else. Combined with the industry ridding itself of toxic assets, the big banks should be better prepared to handle this crisis.Unfortunately, I'm skeptical. While I'm not worried about the financial sector sinking itself due to their decision to overleverage themselves, I am worried that the rest of the country will finish the job. As you know, the banks can't exist for existence' sake. In order to recover the economy, you must first have economic stability.That was the well-meaning thesis driving the first coronavirus relief bill. Instead of bailing out just the big institutions, it was time Uncle Sam stepped up and extended a lifeline to the American people. In hindsight, it was probably better for the government to directly support payrolls, incentivizing corporations to keep their employees, similar to what Germany did to handle the Great Recession.What we're discovering – perhaps to no one's surprise – is that American households have consistently socked away their stimulus checks (if they were lucky enough to receive them). That's great for personal stability. Also, it's just common sense considering that we don't know what lies ahead.But from a broader perspective, it's absolutely terrible. As you know, consumption drives the U.S. economy. So, what happens when people stop consuming? For the most part, you get a deflationary environment. And that's exactly what we're seeing.Several commodities (gold being a notable exception) are deflated. Retailers have filed for bankruptcy. Outside of essential purchases and tasks, many consumers are choosing to stay home.In this situation, JPM stock doesn't have many growth opportunities because very few exist. Selective InflationWhile the hoarding of cash naturally imposes deflationary pressures, there is one sector that is experiencing mass inflation: groceries.According to recent data, grocery costs have jumped the most in this country in 46 years. Although some factors, such as the meat shortage, have exacerbated the supply chain, let's face it – most of this cost spike is due to demand. With spiking levels of hunger across America, people are simply scared out of their minds.Whatever funds they have, consumers will use toward food and other essentials. Should we have another round of stimulus, you can be almost sure that the funds will go toward two areas: groceries and savings accounts. Thus, whatever bump JPM stock would receive from the headlines, it wouldn't align with the fundamentals.Ultimately, even if JPMorgan is the most resilient of the bunch, I believe the skeptical position is the smart one. Unless the bank wants to enter the agriculture business, there are very few credible growth channels, even with extra stimulus.A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * Top Stock Picker Reveals His Next 1,000% Winner * America's Richest ZIP Code Holds Shocking Secret * 1 Under-the-Radar 5G Stock to Buy Now * The 1 Stock All Retirees Must Own The post Why JPMorgan Chase Isna€™t Safe From the Onslaught appeared first on InvestorPlace.

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