UPDATE: Citigroup Upgrades Spirit Airlines Following Strong September Traffic Stats

In a report published Friday, Citigroup analyst Stephen Trent upgraded the rating on

from Neutral to Buy, and raised the price target from $38.00 to $42.00. In the report, Citigroup noted, “We are upgrading Spirit Airlines from Neutral to Buy, on the back of very strong September traffic stats, including 3Q13 RASM growth guidance of 8% to 9% y-o-y. Plugging this stronger guidance into our model boosts our estimates. This, along with the shares' ca. 1% decline since late July as the group has rallied, present a compelling backdrop for a Buy rating on the shares.” Spirit Airlines closed on Thursday at $34.06.