TD Cowen Cuts Alaska Air, Delta And United Price Targets Ahead Of Q3 Earnings

Brazil's antitrust regulator CADE approved American Airlines' $100 million investment in Azul, giving it an 8% stake. The approval was conditional on compliance with a Merger Control Agreement. Azul previously restructured and emerged from bankruptcy with investments from United Airlines and American.

Brazil's antitrust regulator approved American Airlines' $100m investment in Azul, granting an 8% stake. The deal requires a Merger Control Agreement. Azul previously exited bankruptcy with investments from United Airlines and American.

Wells Fargo lowered its price target for Delta Air Lines (DAL) from $105 to $100 but maintained an overweight rating. The stock closed at $83.08, down 1.20%, and is expected to open at $84.74, up 2.00%.

Alaska Air Group's average price target was reduced from $56.56 to $55.94 by 16 analysts, with a range of $37 to $92. This implies 42% upside from the Oct. 2 closing price. The consensus rating remains 'Buy' among 18 analysts.

United Airlines' Boeing 787-10 aircraft now has an increased Maximum Takeoff Weight (iMTOW), adding 14,000 lb and extending range by 430 nautical miles or increasing payload by 5 metric tonnes. This upgrade, certified by the FAA, may allow United to use the 787-10 on longer routes previously better suited to the 787-9 or Airbus A350, potentially altering its fleet deployment strategy.

Berkshire Hathaway has invested $5.4 billion in Delta Air Lines, despite Warren Buffett's past skepticism about airlines. The stake, now 1% of Berkshire's portfolio, was acquired during a period of high fuel costs. Analysts suggest Delta's refinery and strong financials make it a quality pick in the sector. Delta's earnings report, set for October 9, will be closely watched for revenue guidance and pricing power.