SkyWest descends as Raymond James downgrades ahead of earnings
27/04/2022 15:58
** SkyWest Inc's SKYW.O shares down 5.3% at $28.13 after
Raymond James cuts to "market perform" from "outperform" ahead
of airline operator's Q1 report due Thurs after market close
** Raymond James says downgrade due to push out in block
hour recovery expectations, which is likely to "meaningfully
reduce" its 2023E EPS outlook after co reports results
** "Current pilot supply situation is clearly testing the
limits of the model," brokerage writes in note
** "While we believe SkyWest has the balance sheet to
sustain into the recovery and has the opportunity to leverage
its scale and expertise to consolidate its position in the
regional sector over the long term, uncertainty around the
recovery timing is likely to keep shares rangebound" - Raymond
James
** Analysts on avg calling for Q1 rev to grow 30% yr/yr to
$697 mln and adj profit of a penny/sh vs 71 cents/sh profit in
yr-ago period
** With move on Weds, stock has fallen 28% YTD vs S&P 1500
Airlnes index's .SPCOMALI ~4% rise
(Lance Tupper is a Reuters market analyst. The views expressed
are his own)
((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-332-219-1430))