UDPATE: Deutsche Bank Raises ALK and ALGT EPS and Lowers EPS, PT, and Rating on LUV

A report from Deutsche Bank states that it has raised the 2011 EPS on Alaska Air Group ALK to $8 and the 2011 EPS on Allegiant Travel Company ALGT to $2.55. It has lowered the 11/12/13 estimates to $.40/$.60/$1, the price target from $16 to $9, and the rating from Buy to Hold on Southwest Airlines LUV. Deutsche Bank writes, “Following on the heels of last week's upward revision to many of our stocks, we are once again raising our Sep Q and 2011 EPS estimates for Alaska (ALK) and Allegiant (ALGT) due to better-than-expected revenues and modestly lower fuel prices. Conversely, we are lowering our EPS estimates for Southwest (LUV) to reflect a more gradual ramp-up of benefits related to the acquisition of AirTran. As such, we are lowering our rating on LUV from Buy to Hold to reflect our revised 12 month price target of $9”. Friday ALK closed at $57.53, ALGT closed at $47.28, and LUV closed at $7.69.