Goldman Downgrades Bristol Group To Neutral

In a recent report, Goldman Sachs is downgrading Bristol Group BRS to Neutral from Buy as shares approach the price target. Goldman's Buy rating was based on a view that Bristol Group's 20% discount to book value was unjustified considering that it was a beneficiary of BP's clean up in the Gulf while international project awards could provide further catalysts. Bristol remains a solid, reasonably defensive way to invest in the energy sector for small cap managers. Overall fundamentals in petroleum aviation are sound considering that 60% of the business is driven by production, rather than drilling activity globally, at a time when the international market remains sluggish. Key risks include execution on key contracts, aircraft startups, and declining commodity prices. Bristol Group closed at $36.45 Monday