JP Morgan Publishes Report on Airlines
In its report, J.P. Morgan writes, “AMR capacity reductions are expected to divert revenue and increase profitability at its competitors. Our J.P. Morgan Shrink-o-lator explores these estimated benefits, driving substantial improvement to 2012 estimates and price targets… we remain confident AMR's filing will ultimately be recognized as a seminal event, serving to rekindle investor interest in the space. Combined with robust current demand trends and seasonal track record for Autumnal potential upside, risk/reward in US airlines has significantly improved – particularly in light of an anticipated surge in consensus as AMR capacity benefits become more widely understood.”
Companies included in the J.P. Morgan report are: AMR Corp. (NYSE: AMR), Alaska Air Group (NYSE: ALK), Delta Air Lines (NYSE: DAL), JetBlue Airways Corp. (NASDAQ: JBLU), Southwest Airlines Co. (NYSE: LUV), United Continental Holdings (NYSE: UAL), and US Airways Group (NYSE: LCC)
