Goldman Sachs analyst Catherine O'Brien initiates coverage on $JetBlue Airways (JBLU.US)$ with a sell rating, and sets the target price at $5.5.
According to TipRanks data, the analyst has a success rate of 45.6% and a total average return of -6.0% over the past year.
Furthermore, according to the comprehensive report, the opinions of $JetBlue Airways (JBLU.US)$'s main analysts recently are as follows:
JetBlue's focus on a product that caters to growing premium demand is acknowledged, yet its capacity is limited due to factors largely beyond management's influence. The underlying reasons for concerns on the company's performance include profitability challenges due to engine-related and regional capacity limitations, alongside a leverage ratio that surpasses the industry average.
The firm anticipates a shift in airline industry dynamics by 2025, with a strong positive trend in fundamentals that could lead to an enhanced market perception for leading companies within the sector. This shift, alongside a change in investor sentiment, is expected to potentially catalyze a substantial rally in airline stocks as the next year approaches. With moderating capacity growth, a reorganization of low-cost carrier competition, and the strengthening of advantageous positions for industry leaders, there is a belief that significant upside potential exists for these companies.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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