When a Billionaire Bet Big on SAVE Stock: The Rollercoaster That Turned 25% Losses Into Gains

The Setup: Market Turmoil and One Trader’s Contrarian Move

Spirit Airlines, Inc. (NYSE: SAVE) has been experiencing severe turbulence lately. The airline operator’s equity plummeted this week following a federal judge’s decision to block its proposed merger with JetBlue Airways Corporation (NASDAQ: JBLU). This development left most market participants scrambling to exit positions. The stock tumbled to fresh 52-week lows as restructuring speculation mounted throughout the trading session.

However, not everyone was panicking. Dave Portnoy—the founder of Barstool Sports and a figure increasingly recognized for his active involvement in equities and digital assets—saw an opportunity where others saw danger.

The Bold Entry: Portnoy Goes All-In on SAVE

On Thursday, Portnoy made a striking declaration via social media: he had accumulated “a ton of Spirit Airlines stock.” In a detailed blog post, he explained his reasoning and shared his historical connection to the carrier. During his earlier trading days, he recalled being bullish on Spirit when it was trading at the $7 level, only to see the stock eventually rally into the $20s.

The Barstool founder drew an intriguing parallel to his previous clash with Warren Buffett over airline sector positioning. When Portnoy had made his original Spirit play years ago, the legendary investor announced he was liquidating all airline holdings—a move Portnoy characterized as analogous to a young Larry Holmes defeating a “past-his-prime” Muhammad Ali.

Portnoy’s core argument centered on regulatory logic: if Spirit’s only viable paths were a merger with JetBlue or bankruptcy filing, blocking the acquisition seemed counterintuitive. He reasoned that if the airline ceased operations, the economically disadvantaged populations the government sought to protect would lose access to affordable air travel anyway. From his perspective, preventing two struggling entities from combining defied basic capitalist principles.

The Immediate Setback: Timing Is Everything

Within moments of Portnoy’s public announcement that he had purchased SAVE shares, the market delivered a harsh reality check. At precisely 11:55 a.m., as Portnoy tweeted about his position, news broke that Spirit Airlines was exploring restructuring options—according to reports tracked by market observers. The impact was swift: his investment lost approximately 25% in real time.

This dramatic swing unfolded in seconds, demonstrating the hairpin-trigger nature of modern markets and how public positioning by recognizable figures can intersect with breaking news to create outsized volatility.

The Counterattack: Narrative vs. Reality

Rather than retreating, Portnoy maintained his composure and pushed back against what he characterized as coordinated messaging. He suggested that “shorts and the suits” were deliberately spreading “false propaganda” to shake retail confidence.

To support his case, he shared a Reuters report indicating that Spirit Airlines was focused on debt refinancing arrangements rather than pursuing restructuring paths. This subtle but crucial distinction shifted the narrative: the company wasn’t in immediate crisis mode—it was pursuing normal financial management.

The Recovery: From -33% to Positive Territory

As the day progressed, SAVE momentum reversed dramatically. What had appeared to be a catastrophic opening evolved into something far different. The stock rallied from its intraday low and closed the session at $5.70—up over 40% from the day’s worst point.

According to market tracking accounts, Spirit Airlines shares bottomed at a 33% decline before recovering to end just 7% lower than the previous close. For Portnoy, his position ultimately finished the day showing a modest 5% gain, transforming his near-total loss into a winning trade. He captured this with his closing tweet: “What a ride today. $SAVE closes at $5.69. Up over 40% from the day low and when #ddtg Global upgraded it to a mega buy. Back to war tomorrow.”

Where SAVE Stands Now

Spirit Airlines closed Thursday’s session at $5.70, operating within a 52-week range of $4.04 to $19.21. Thursday’s trading established a new 52-week low, with intraday volatility ranging between $4.04 and $5.94. The equity has shed 62% of its value over the preceding five trading days, underscoring the severity of the pressure on the carrier.

This episode serves as a vivid reminder of how quickly narratives shift in public markets and how positioning, timing, and information flow can dramatically alter outcomes within a single trading session. Portnoy’s SAVE trade encapsulated all these elements in real time.