Morgan Stanley Calls Spirit Airlines 'Most Profitable Airline In The World'

Morgan Stanley analysts commented on Spirit Airlines Incorporated SAVE following third quarter 2014 earnings.

Within the note titled, ‘SAVE Most Profitable Airline in the World’ John Godyn stated, “In 2Q14, SAVE was the 2nd most profitable airline in the world on an EBITDAR basis. Following strong 3Q result, we forecast SAVE generating ~36% EBITDAR margins in 2015 – a level likely to make it the most profitable airline in the world. Accordingly, we expect SAVE to sustain its premium multiple.”

Morgan Stanley analysts maintained an Overweight rating and raised the price target from $90 to $100.

Shares of Spirit Airlines closed Friday at $73.11, up 3.12 percent.

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