SOURCE: Street Insider
http://www.streetinsider.com/Analys...+Rating+on+Mesa+Air+Group+(MESA)/3542043.html
April 14, 2008 10:33 AM EDT
S&P Equity Research reiterates a 'Sell' rating on Mesa Air Group (Nasdaq: MESA).
S&P analyst, J. Corridore, says, "We have updated our estimates to reflect the potential loss of the Delta (DAL 10.69, hold) Connection contract. Though MESA says that it did not violate the contract and DAL is not entitled to cancel, we expect DAL to draw down utilization in coming months and start to move capacity out toward the end of FY 08 (Sep.). We have cut our '08 EPS estimate to a $0.10 loss from $0.45 EPS. MESA has also filed a proxy in which it seeks approval to more than double the outstanding shares to satisfy a debt issue. We have cut our 12-month target price to $0.50, from $2.00."
Mesa Air Group, Inc. (Mesa) is a holding company whose principal subsidiaries operate as regional air carriers providing scheduled passenger and airfreight service.[SM]
Mesa stock trading at 64 cents a share in mid-day trading.
http://www.streetinsider.com/Analys...+Rating+on+Mesa+Air+Group+(MESA)/3542043.html
April 14, 2008 10:33 AM EDT
S&P Equity Research reiterates a 'Sell' rating on Mesa Air Group (Nasdaq: MESA).
S&P analyst, J. Corridore, says, "We have updated our estimates to reflect the potential loss of the Delta (DAL 10.69, hold) Connection contract. Though MESA says that it did not violate the contract and DAL is not entitled to cancel, we expect DAL to draw down utilization in coming months and start to move capacity out toward the end of FY 08 (Sep.). We have cut our '08 EPS estimate to a $0.10 loss from $0.45 EPS. MESA has also filed a proxy in which it seeks approval to more than double the outstanding shares to satisfy a debt issue. We have cut our 12-month target price to $0.50, from $2.00."
Mesa Air Group, Inc. (Mesa) is a holding company whose principal subsidiaries operate as regional air carriers providing scheduled passenger and airfreight service.[SM]
Mesa stock trading at 64 cents a share in mid-day trading.
