Bank of America Merrill Lynch Has Buy On Southwest

Bank of America Merrill Lynch has a Buy rating and a $13 price target on shares of Southwest LUV. In a note to clients, Bank of America Merrill Lynch writes, "Because the loss of momentum relative to the industry was so sudden, we are not sure how quickly LUV will recover. We are revising our 2011E to $0.34 (street $0.53) from $0.57 and our 2012E to $0.85 (street $0.90) from $1.15. As a result of the lower estimate, we are reducing our price objective to $13 from $16." Shares of LUV lost 37 cents on Friday to close at $8.47.