MW Airline stocks get downgraded at Deutsche Bank
U.S. airline companies could be in for "the greatest demand recovery since World War II in 2021," according to Deutsche Bank analyst Michael Linenberg, but he argued that their stocks look fairly valued after a big recent run up. Linenberg downgraded shares of American Airlines Group Inc. $(AAL.UK)$, Allegiant Travel Co. $(ALGT)$, Delta Air Lines Inc. $(DAL.UK)$, Hawaiian Holdings Inc. $(HA)$, JetBlue Airways Corp. $(JBLU)$, Southwest Airlines Co. $(LUV)$, Spirit Airlines Inc. $(SAVE.UK)$, Skywest Inc. $(SKYW)$, and United Airlines Holdings Inc. $(UAL)$ to hold from buy, writing that that he doesn't see too much room for upside in the sector. "The stocks are at or near fair value based on 2022 valuations (and in some cases, 2023), suggesting to us that investors' have already paid for two years of earnings growth," Linenberg wrote. The U.S. Global Jets ETF (JETS) has risen 31% over the past three months as the S&P 500 has increased 10%.
-Emily Bary; 415-439-6400; AskNewswires@dowjones.com
$(END)$ Dow Jones Newswires
December 11, 2020 08:36 ET (13:36 GMT)
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