Azul downgraded to Neutral from Buy at Seaport amid ‘profitless recovery’

As previously reported, Seaport Research downgraded Azul to Neutral from Buy and withdrew the firm’s previous price target Shares of Azul are up 3.4% since management announced a deal with lessors and OEMs that hold about 92% of the existing equity issuance obligations in exchange for 100M shares, notes the analyst, who is widening the firm’s 2024 and 2025 loss estimates on higher interest expense and slightly worse revenue expectations.