UPDATE: Deutsche Bank Upgrades Alaska Air Group to Buy on Stronger Earnings Outlook

In a report published Tuesday, Deutsche Bank analyst Michael Linenberg upgraded the rating on Alaska Air Group

from Hold to Buy, and raised the price target from $60.00 to $70.00. In the report, Linenberg noted, “We are raising our rating on Alaska Air Group shares from Hold to Buy due to a stronger earnings outlook, an improving credit profile, and a more favorable competitive backdrop. We also believe the recent 11% correction in the share price represents a more attractive entry-point for investors. Lastly, we are of the view that Alaska's growing equity value (recently topped $4 billion) will help broaden its investor base which we think should minimize its valuation discount to other legacy/growth airlines.” Alaska Air Group closed on Monday at $56.63.