Market Overview

UPDATE: JP Morgan Raises PT to $19 on US Airways Group on Lower Fuel Cost, Higher Margins

Related LCC
7 Years After Hudson River Plane Crash, 29 Of The 35 Safety Recommendations Remain Unimplemented
American Airlines Stock Is Neutral Despite Strong Management

JP Morgan reiterated its Overweight rating on US Airways Group (NYSE: LCC) and increased its price target from $17 to $19 in a research report published today.

JP Morgan commented, "Higher completion factors lead to greater 2Q consolidated capacity, rising 1% vs. flattish expectations. In turn, consolidated ex-fuel CASM emerged at 2.2% vs. 3.0%, while RASM rose 6.9% vs. our 7.9% estimate. Coupled with lower fuel prices, guidance implies an operating profit of $397mm vs. our $384mm. Resulting 10.6% operating margin expected to rival that of LUV, exceed that of DAL (9.3%) and UAL (9.0%) though fall short of expected outcomes at JBLU (11.1%) and ALK (15.4%)."

Shares of US Airways were trading at $13.47 at the time of posting, up 1.97% from Tuesday's market close.

Latest Ratings for LCC

Nov 2013Imperial CapitalMaintainsOutperform
Nov 2013Imperial CapitalMaintainsOutperform
Oct 2013Deutsche BankUpgradesHoldBuy

View More Analyst Ratings for LCC
View the Latest Analyst Ratings

Posted-In: JP MorganAnalyst Color Price Target Reiteration Intraday Update Analyst Ratings


Related Articles (LCC)

View Comments and Join the Discussion!