JBLU is trading 4.6% down at $5.78 after Raymond James downgraded the stock to Underperform, citing severe capital structure and valuation risks.

  • Analysts highlighted JetBlue’s high debt load and liquidity pressures, noting that the ~$6.12 convertible debt conversion price acts as a significant constraint on the stock.
  • The firm suggested that a Chapter 11 restructuring could be the most prudent long-term option for the company's balance sheet, a move that would be negative for existing equity holders.