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Fly News Breaks for July 3, 2019
LTM, AZUL, GOL
Jul 3, 2019 | 05:28 EDT
Goldman Sachs analyst Bruno Amorim last night upgraded Gol Linhas Aereas (GOL) to Buy from Neutral and raised his price target for the shares to $22.40 from $12.15. The stock closed yesterday up 12c to $16.68. The suspension of Avianca Brasil's operations on May 24 should provide a "significant boost" to unit revenues in the Brazilian domestic market in upcoming quarters, Amorim tells investors in a research note. Among the airlines exposed to the Brazilian domestic market, Gol is poised to benefit the most, contends the analyst. He believes the stock offers 33% upside in the next 12 months, which places the airline as the analyst's preferred name for exposure to the reduced competition in the Brazilian market. Amorim expects Gol Linhas to outperform both Neutral-Azul (AZUL) and Sell-rated Latam Airlines Airlines (LTM).
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