Dahlman Rose Price Target On Air Transport Services Group (ATSG)

Dahlman Rose & Co. analyst Helane Becker is raising her price target on shares of Air Transport Services Group Inc.

to $8 from $6.70, as it believes ATSG's aircraft and customer diversification have enabled it to transform its business. It has a Buy rating on shares. In the research report, Becker writes, "ATSG recently acquired three ex-Qantas Boeing 767-300 passenger aircraft at attractive rates. The planes in freighter configuration have a value of $20 - $21 million each. These aircraft expand the company's portfolio to a modern, fuel efficient aircraft in high demand and are an excellent growth aircraft for ATSG. Additionally, ATSG is adding new customers to its stable, lessening its dependence on DHL, once 70% of revenues and now, seven years later, 30%, is a critical element of its growth strategy." Shares of ATSG are up 2 cents to $6.37 in early Thursday trading.