Out of the 15 analysts tracking JBLU, 13.3% have a “strong buy” rating on the stock, and 40% have a “buy” rating on the stock. Another 40% have a “hold” rating on JBLU. None of the analysts have a “sell” rating. However, 6.7% have a “strong sell” rating.
There haven’t been any upgrades or downgrades since JetBlue’s April and May traffic releases. However, there were two upgrades after the first quarter results. Imperial Capital raised its target price from $29 to $31, and Cowen and Company raised its target price from $23 to $24, maintaining its “market perform” rating.
The consensus target price for JBLU is $25.9, similar to the $25.7 target price since 1Q17. Most analysts have maintained their rating and target prices on the stock. The current target price indicates a return potential of 11.8% as of the July 10 closing price of $23.1. JetBlue’s high price target is $33.0, and its low price target is $20.0.
Investors can reduce the risk of investing in a single airline stock by investing in the PowerShares Dynamic Leisure & Entertainment ETF (PEJ). It invests ~5.0% of its portfolio in Southwest Airlines (LUV), ~5.0% in United Continental Holdings (UAL), 4.6% in Delta Air Lines (DAL) and American Airlines (AAL), and 2.8% in JetBlue Airways (JBLU).