UPDATE: Deutsche Bank Raises PT to $12 on Republic Airways Holdings on Consolidation Outlook
Deutsche Bank reiterated its Buy rating on Republic Airways Holdings (NASDAQ: RJET) and raised its price target from $8 to $12.
Deutsche Bank noted, "We continue to favor the names that we believe are most leveraged to an industry benefiting from secular change (e.g. consolidation, higher barriers to entry, and shift in fixed/variable costs mix). We think RJET [is] the major beneficiar[y] of regional airline consolidation. With several of [its] regional competitors being shut down or acquired over the past couple years (Comair and ExpressJet are examples of the former and latter, respectively), we believe that RJET [is] well-positioned to supply regional jet lift, especially as the majors replace 50-seat jets with 70+-seaters."
Republic Airways Holdings closed at $7.49 on Monday.
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