UPDATE: Sterne Agee Lowers Southwest Airlines' PT

According to a research report published this morning, Sterne Agee has lowered Southwest Airlines'

PT from $16 to $13. In the report, Sterne Agee commented, "While our thoughts on LUV have improved, our price objective has declined, marking down the premium valuation LUV shares have garnered relative to other legacy and growth airlines. We are factoring in the positive benefits of somewhat lower fuel prices and stronger cash flows in the wake of LUV's recent capacity deferrals. Relative to other airlines, LUV remains NEUTRAL." Southwest Airlines closed yesterday at $8.87.