Market Overview

UPDATE: JP Morgan Downgrades Embraer SA to Underweight on Tough Outlook for E-Jets

Related ERJ
After-Hours Recap: April In Review, Friday Index Movers & After-Hours Runners
Earnings Scheduled For April 29, 2016
Brandes Funds Comments on Embraer (GuruFocus)

JP Morgan downgraded Embraer-Empresa Brasileira de Aeronautica (NYSE: ERJ) from Neutral to Underweight and lowered the price target from $31.00 to $25.00.

JP Morgan said, "We are downgrading Embraer to UW from N because we believe the stock does not fully account for a decline in commercial deliveries. We are lowering our 2014 E-Jet delivery estimate to 60 from 80, and we see potential for both upside and downside to this estimate. As each delivery accounts for ~3 cents of EPADS, this represents a 60 cent hit in 2014. We are also lowering margin estimates due to concerns about the profitability of early Legacy 500 and 450 business jet deliveries and a more cautious outlook for E-Jet pricing."

Embraer SA closed at $28.35 on Monday.

Latest Ratings for ERJ

May 2016Goldman SachsMaintainsNeutral
Mar 2016CitigroupMaintainsBuy
Mar 2016Bank of AmericaDowngradesBuy

View More Analyst Ratings for ERJ
View the Latest Analyst Ratings

Posted-In: JP MorganAnalyst Color Downgrades Pre-Market Outlook Analyst Ratings


Related Articles (ERJ)

View Comments and Join the Discussion!