UPDATE: Imperial Capital Reiterates Rating, Lowers Price Target On LATAM Airlines Group SA On Improving Earnings

In a report published Friday, Imperial Capital analyst Bob McAdoo reiterated an Outperform rating on

, but lowered the price target from $20.00 to $17.00. In the report, Imperial Capital noted, “We are maintaining our Outperform rating but reducing our one-year price target to $17 from $20. We believe LFL shares have continued to lag the industry in part due to challenging economic conditions throughout South America. However, the company appears to have largely insulated itself from these issues going forward and should, as suggested by recent 2015 guidance, benefit from the decreasing cost of jet fuel. In fact, we view the company's current fuel forecast as conservative given where market prices are today. We recommend investors accumulate shares of LFL at these depressed levels ahead of improving operating metrics, albeit with the help of lower fuel costs. Our price target represents 56% upside from recent trading levels.” LATAM Airlines Group SA closed on Thursday at $10.87.