Markets & Finance

Morgan Stanley Downgrades Atlas Air


Morgan Stanley downgraded Atlas Air Worldwide (CGO ) to neutral from strong buy.

On Tuesday the company forecast breakeven Q2, and $0.90-$1.10 EPS for 2001 from operations. Analyst Kevin Murphy says the weak air cargo sector has resulted in a significant underutilization of Cargo's fleet and staff. He notes management has taken the only prudent moves it can: the company reduced staff by 200 ground personnel and grounded six aircraft.

Murphy cut the $2.30 2001 EPS estimate to $1.00. He notes that with much of Cargo's freight having international origins, it is likely that any recovery in this sector will lag that of the U.S. Accordingly, he also cut the $2.70 2002 EPS estimate to $1.50.


Burger King's Young Buns
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

Sponsored Financial Commentaries

Sponsored Links

Buy a link now!

 
blog comments powered by Disqus