U.S. Markets closed

Raymond James Cuts United Airlines Price Target By ~23%

  • Oops!
    Something went wrong.
    Please try again later.
·1 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • Raymond James analyst Savanthi Syth lowered the price target for United Airlines Holdings Inc (NYSE: UAL) to $48 (an upside of 35%) from $62 while maintaining the Outperform rating on the shares.

  • The analyst states that the revised U.S. airline estimates reflect a stronger near-term revenue trend, stubbornly higher fuel prices, anticipated demand softening, and planned and expected capacity growth moderation.

  • RelatedRaymond James Shakes Up Ratings & Price Targets On Several US Airlines

  • Syth believes United is well-positioned to take advantage of the recovery in business and long-haul international travel.

  • She added that greater exposure to these segments that are still recovering should result in less pressure of demand loss than in past recessions.

  • Also Read: Pilot Shortage Pushes American Airlines To Quit Services In 4 Cities: CNBC

  • United is better positioned to weather the impact of pilot supply and cost trends while benefiting from industry supply constraints, noted the analyst.

  • She states that UALs highly elevated United Next Capex plan is a notable risk for the airline heading into any slowdown.

  • Price Action: UAL shares are trading lower by 3.27% at $35.52 on the last check Thursday.

Latest Ratings for UAL

Date

Firm

Action

From

To

Jan 2022

Raymond James

Maintains

Outperform

Jan 2022

Barclays

Maintains

Equal-Weight

Sep 2021

Morgan Stanley

Maintains

Equal-Weight

View More Analyst Ratings for UAL

View the Latest Analyst Ratings

See more from Benzinga

Don't miss real-time alerts on your stocks - join Benzinga Pro for free! Try the tool that will help you invest smarter, faster, and better.

© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.