CFRA says Spirit Airlines is still a sell, says JetBlue’s moves to secure merger unlikely to save deal

CFRA reiterated its sell rating on Spirit Airlines Inc.
SAVE,
+11.98%
on Tuesday, and said JetBlue Airways Corp.’s
JBLU,
-0.39%
move Monday to transfer Spirit holdings at Boston and Newark airports was likely not enough to salvage JetBlue’s effort to merge with Spirit. JetBlue agreed to transfer to Allegiant Travel Co. 
ALGT,
+3.01%
the two gates held at each airport and the rights for 43 takeoff and landing slots at Newark. The discount carrier also agreed to give up five gates and related ground facilities at Fort Lauderdale to Allegiant. “Given that the Biden Administration is adamant against the merger of JBLU/SAVE, we believe the recent announcement could do very little to save the deal,” CFRA analyst Jonnathan Handshoe wrote in a note to clients. The analyst is sticking with his 12-month stock price target of $15 for Spirit, which closed Monday at $17.48.