Shares of JetBlue Airways Corp. /zigman2/quotes/207639051/composite JBLU +3.19% rallied 2.0% in premarket trading Monday, after analyst Jamie Baker at J.P. Morgan turned bullish on the air carrier, citing a more upbeat earnings outlook despite a downbeat Street view. Baker raised his rating to overweight from neutral, and lifted his stock price target to $24 from $23. He expects 2020 earnings per share of $2.67, within JetBlue's guidance range of $2.50 to $3.00 while the FactSet EPS consensus is below the range at $2.40, citing the upbeat metrics of 2.3% growth in total revenue per available seat mile and the 0.7% decline in costs per available seat mile, excluding fuel. "Of the aforementioned drivers, we have the most confidence in the ex-fuel CASM outcome, which is a sharp reversal from how we've viewed the company over the years," Baker wrote in a note to clients. "And [JetBlue] is far from an analyst favorite, as evidenced by the highest [percent] of 'sells' in our universe (and the second-fewest 'buys' after [Spirit Airlines Inc.])." Separately, Baker downgraded Alaska Air Group Inc. /zigman2/quotes/200972303/composite ALK +1.62% to neutral from overweight, citing valuation concerns. Alaska Air's stock slumped 2.5% ahead of the open. JetBlue shares have rallied 16.8% year to date through Friday and Alaska Air's stock has climbed 17.6%, while the NYSE Arca Airline Index /zigman2/quotes/210598447/delayed XX:XAL +2.60% has hiked up 18.0% and the S&P 500 /zigman2/quotes/210599714/realtime SPX +1.59% has gained 20.6%.