Shares of major airlines slumped in trading on Wednesday after the Associated Press reported that the Justice Department is investigating whether they colluded to fix prices.
Shares of Delta and American Airlines fell more than 4%. JetBlue slipped more than 5%.
A Justice Department spokesperson confirmed to the investigation to the AP.
According to the AP's report, airlines have removed unprofitable routes and tried to slow down growth in order to prop up the prices of airfares since 2008.
The report is based on a document the AP obtained.
In an email to Business Insider, S&P Capital IQ analyst Jim Corridore maintained his positive outlook on the airline industry and was "skeptical" that collusion happened.
"That being said, we also think the industry, which has been generating cash and repairing balance sheet health, can afford any penalties, should they be meted out. We remain positive on demand in the sector, and think summer travel will be strong," he wrote.
Here's a chart showing the dip in shares of some of the major carriers (United, Southwest, Spirit, Delta, and JetBlue) on Wednesday:
SEE ALSO: The Justice Department investigating whether airlines are colluding to keep airfares high
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