JP Morgan upgrades US Airways (LCC) to overweight from neutral saying that even if a planned merger with AMR fails--putting the chances at about 50%--"its stand-alone prospects are materially better than implied by the market." Firm also lifts Delta Air Lines (DAL) to overweight saying carrier is likely to raise it
What all of these analysts fail to consider is rising labor costs. 2003 bankruptcy wages are substantially below industry average. Without the merger, labor is not going to just sit back and say they didn't really want those industry standard wages anyway.