Analyst Upgrades: Public Storage, JetBlue, Southwest

Analysts upwardly revised their ratings on Public Storage (PSA), JetBlue Airways Corporation (JBLU), and Southwest Airlines Co (LUV)

Sep 4, 2015 at 9:00 AM

Analysts are weighing in today on real estate investment trust (REIT) Public Storage (NYSE:PSA), as well as airlines JetBlue Airways Corporation (NASDAQ:JBLU) and Southwest Airlines Co (NYSE:LUV). Here's a quick roundup of today's bullish brokerage notes on PSA, JBLU, and LUV.

Raymond James upped its opinion on PSA to "outperform" from "market perform." This is an unusual dose of optimism from the brokerage crowd, as two-thirds of covering analysts rate the stock a "hold" or worse. Similarly, Public Storage's consensus 12-month price target of $210.21 stands at a slim 3.4% premium to last night's close at $203.25. On the charts, the REIT ran to a record high of $217.99 in mid-August, but has since turned lower, with upside moves held in check by its 10-day moving average. Nonetheless, PSA remains 10% higher on a year-to-date basis.

JBLU saw its price target bumped to $25 from $24 at Evercore ISI. The upward revision is warranted, too, considering the stock has soared nearly 48% in 2015 -- and hit a decade-plus high of $24.64 in mid-August -- to close at $23.42 yesterday. Option traders have seemingly failed to appreciate this technical tenacity. JetBlue Airways Corporation's 10-day International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) put/call volume ratio of 0.22 ranks in the 71st percentile of its annual range. An unwinding of these bearish bets could provide a tailwind to JBLU.

Despite its 11.6% year-to-date loss, LUV received a price-target hike to $43 from $40 at Evercore ISI. This is just more of the same from the brokerage crowd. In fact, of the 14 analysts covering Southwest Airlines Co, 10 have handed out "strong buy" endorsements, versus four "hold" or worse ratings. What's more, the stock's consensus 12-month price target of $50.29 sits in all-time-high territory. Last night, LUV settled at $37.43, and is facing overhead resistance at its 20-day moving average.

Get the skinny on all the biggest stories of the morning… Sign up now to get Schaeffer's Midday Market Check delivered straight to your inbox!

Follow @Schaeffers

You Don’t Need 25 Alerts -- You Need ONE You Can Trust!

That’s the idea behind Trade of the Week, Schaeffer’s newest trade alert.

Every Monday morning before the opening bell, you’ll receive a single, expertly researched trade recommendation -- built from the same proprietary research we’ve been using for over four decades.

It’s not just a signal.

It’s a plan designed for traders who are tired of jumping from alert to alert without ever finding their edge.

No juggling alerts. No switching directions mid-week. Just one clear, expertly researched trade idea -- delivered before the market even opens.

👉 JOIN RIGHT NOW FOR JUST $1 TO GET THE NEXT TRADE!