Southwest price target raised to $35 from $27 at Rothschild & Co Redburn

Rothschild & Co Redburn raised the firm’s price target on Southwest (LUV) to $35 from $27 and keeps a Sell rating on the shares. Domestic airline capacity growth is accelerating through this year, and the Iran conflict will add “disruptive pressures and material fuel cost inflation,” the analyst tells investors in a research note. The firm says higher fuel prices result in a material cut to its airlines forecasts and an expectation of substantial consensus cuts this year.