www.forbes.com/feeds/ap/2007/04/10/ap3598509.html -
[Cached Version]
Published on: 4/10/2007
Last Visited: 4/10/2007
Bear Stearns (nyse: BSC - news - people )' Frank Boroch also became the latest analyst to trim first-quarter estimates for the industry.Carriers battled harsh winter storms that forced thousands of cancellations and delays during the quarter, and fuel prices are rising again.
But he also wrote in a research report that the industry still has positives, particularly strong international air travel.
Boroch cut his price target for American Airlines (nyse: AMR - news - people )' parent AMR Corp. to $45 from $52 and for JetBlue Airways (nasdaq: JBLU - news - people ) Corp. to $15 from $19.
For AMR, he trimmed his first-quarter profit expectations to 35 cents per share from 80 cents.Wall Street overall, on average, expects a profit of 41 cents per share, according to an analyst survey by Thomson Financial.
AMR shares fell 85 cents, or 2.6 percent, to $32.27 on the New York Stock Exchange.
For JetBlue, Boroch forecast a wider first-quarter estimate loss of 18 cents per share, compared with prior projections of a 6 cent loss.Wall Street overall also is looking for a loss of 18 cents per share.
JetBlue shares dropped 19 cents to $11.71 on the Nasdaq Stock Market (nasdaq: NDAQ - news - people ).
Boroch also widened his loss forecasts for Alaska Air Group Inc. (nyse: ALK - news - people ), Frontier Airlines (nasdaq: FRNT - news - people ) Holdings Inc. and United Airlines' parent UAL Corp. (nasdaq: UAUA - news - people ) He trimmed his profit estimates for Southwest Airlines Co. (nyse: LUV - news - people ) and US Airways Group.
Alaska Air Group slipped 18 cents to $37.25, Southwest lost a penny at $15.12, and US Airways dropped $1.54, or 3.2 percent, to $46.27, all on the NYSE.US Airways is not a member of the Amex Airline Index.
Frontier dipped 8 cents to $6.05, and UAL Corp. lost 66 cents to $41.64, both on the Nasdaq.
Boroch boosted his estimate for just one company, Continental Airlines Inc. (nyse: CAL - news - people ) He expects a profit of 18 cents per share, compared with a prior estimate for a loss of 5 cents per share, changing his view due to improved revenue trends.