Analyst downgrades: Airline sector, Boeing and UBS
Posted Dec 12th 2007 11:47AM by Eric Buscemi
Filed under: Analyst Upgrades and Downgrades, Boeing Co (BA), Wachovia Corp (WB), US Airways Group (LCC), AMR Corp (AMR)
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MOST NOTEWORTHY: The airline sector, Boeing and UBS were today's noteworthy downgrades:
- Morgan Stanley downgraded the airlines sector to Cautious from Attractive citing higher fuel prices and the weakening economy. The firm lowered AMR Corp (NYSE: AMR) to Underweight from Equal Weight and Northwest Airlines (NYSE: NWA) and US Airways Group (NYSE: LCC) to Equal Weight from Overweight.
- Morgan Stanley also downgraded Boeing (NYSE: BA) to Equal Weight from Overweight and has concerns that the 787 will not be retired as early as they previous believed.
- Lehman downgraded shares of UBS (NYSE: UBS) to Underweight from Equal Weight following the company's $10B write-down and capital injection from Singapore, which they point out will dilute existing shareholders.
OTHER DOWNGRADES:
- Credit Suisse lowered SAP AG (NYSE: SAP) to Underperform from Outperform.
- Goldman downgraded MGIC Investment (NYSE: MTG) to Sell from Neutral.
- Merrill downgraded Wachovia (NYSE: WB) to Sell from Neutral.
Tags: AMR, BA, downgrades, LCC, MTG, NWA, SAP, UBS, WB
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Reader Comments (Page 1 of 1)
12-12-2007 @ 1:34PM
WEINFELD said...
Explain report by Morgan Stanley that Boeing 787
will not be "retired as early as previosly believed"
How can it be retired if it has not yet gone into
service?
12-12-2007 @ 2:26PM
Claude Foutch said...
BA not retired as quickly as they assumed? What the hell does this mean?
12-13-2007 @ 2:53PM
John said...
I have no idea what "retiring the 787" means. How do you retire a "spring chicken." Retire some of these analysts who play with the market, and love the power (clout) they have, by making erroneous and unjustified statements.
The 787 isn't even 1% of BA's business as yet, and BA just declared a dividend increase.