Analysts’ recommendations

Analysts don’t seem too optimistic about JetBlue Airways (JBLU) in the near term as it has received a consensus “hold” recommendation from analysts polled by Reuters.

How Wall Street Views JetBlue Airways ahead of Q1 Results

Sign up for Bagels & Stox, our witty take on the top market and investment news, straight to your inbox! Whether you’re a serious investor or just want to be informed, Bagels & Stox will be your favorite email.

The company has struggled in recent years due to rising costs and lower passenger fare rates. It made a strong comeback in late 2018, reporting a 56% year-over-year jump in earnings and robust unit revenue growth in the fourth quarter.

Nonetheless, analysts’ projections of over a 50% decline in first-quarter EPS suggests it’s still struggling to turn its financials around. On March 5, the company also lowered its unit revenue guidance for the first quarter as it saw low fares for last-minute bookings and weak demand in off-peak periods.

Only 21% of the 19 analysts covering the stock have provided a bullish recommendation. About 63% of analysts have suggested holding it while the remaining 16% recommend selling the stock. Wall Street analysts’ consensus target price of $19.03 shows an increase of 12.4% in a year.

Peer ratings

Analysts have a different view on the majority of JetBlue Airways’ peers. They have provided a “buy” recommendation for most US airlines (IYT) and see significant upside potential in their stock price in a year.

Approximately 76% of the 21 analysts surveyed have provided a “strong buy” or “buy” recommendation on Delta Air Lines (DAL) while the remaining 24% have a “hold” rating on the stock. Their target price of $66.37 depicts a return of 15.5%.

For Spirit Airlines (SAVE), about 83% of 18 analysts have a “strong buy” or “buy” recommendation while the remaining 17% have given a “hold” rating. The target price of $72.44 signifies a gain of 31.3% in the next year.

Nearly 62% of the 26 analysts tracking American Airlines (AAL) have given the stock a “strong buy” or “buy” recommendation, and the remaining 38% said “hold.” Their consensus target price of $43.28 shows an upside potential of 28.2% in the next year.

Latest articles

Broadcom (AVGO) stock fell ~8.5% after markets closed yesterday following the semiconductor giant's fiscal 2019 second-quarter earnings release. It missed analysts' revenue estimate and cut its fiscal 2019 revenue guidance by $2 billion to $22.5 billion due to sluggishness in its semiconductor solutions business.

The SPDR Gold Shares ETF (GLD), which tracks physical gold prices, has underperformed the broader markets year-to-date, rising just 4.4% compared to the S&P 500’s (SPY) gain of 15.9% as of June 14. The sentiment for gold, however, has been turning around.

Safe havens such as Treasuries and gold were back in favor on June 14 as stocks fell due to rising tensions in the Middle East, concerns over growth, and the looming threat of the US-China trade war. The tech-heavy Nasdaq Composite Index fell 0.67% in the first hour of trading.

Lululemon (LULU) stock rose 2.1% on June 13 in reaction to better-than-expected first-quarter results and an upgraded outlook for fiscal 2019 overall. The company's first-quarter adjusted EPS grew 34.5% to $0.74 on revenue growth of 20.4% to $782.32 million. Analysts had expected EPS of $0.70 and revenue of $755.31 million. Here's why the outlook got an upgrade.

14 Jun

IEA Again Slashes Its Oil Demand Growth Estimate

WRITTEN BY Rabindra Samanta

As of 4:40 AM Eastern Time today, US crude oil active futures were at $51.83, ~4% below their closing level in the previous week. If US crude oil prices stay at those levels today, they'll mark their third week of decline in five weeks.

Amazon is discontinuing its Amazon Restaurants service, which has been delivering food for restaurants in parts of the United States. Amazon Restaurants launched in the United States in 2015 and entered the British market the following year. However, it met strong opposition in the British market.