TD Cowen Downgrades Sun Country Airlines (SNCY) to Hold Following Allegiant Merger Announcement

Sun Country Airlines Holdings Inc. (NASDAQ:SNCY) is one of the cheap hot stocks to invest in right now. On February 3, TD Cowen downgraded Sun Country Airlines to Hold from Buy and lowered its price target to $18 from $21. The firm indicated that current share prices appear to reflect a high probability, exceeding 90%, that the recently announced merger with Allegiant Travel Company (NASDAQ:ALGT) will receive regulatory approval. The firm suggests the stock is effectively fully valued relative to the anticipated acquisition consideration.

Earlier on January 20, Wolfe Research downgraded Sun Country Airlines Holdings Inc. (NASDAQ:SNCY) from Outperform to Peer Perform. This sentiment was posted by the firm following the announcement of a merger agreement with Allegiant Travel Company. Under the terms of the cash and stock transaction, the acquisition has an implied value of $18.89 per Sun Country share.

On January 12, as well, JPMorgan downgraded Sun Country Airlines from Overweight to Neutral, setting a $19 price target following the news of its merger with Allegiant Travel Company.

Sun Country Airlines Holdings Inc. (NASDAQ:SNCY) is an air carrier company that operates scheduled passenger, air cargo, charter air transportation, and related services in the US, Latin America, and internationally. It has two segments: Passenger and Cargo.

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Disclosure: None. This article is originally published at Insider Monkey.