Benzinga | Jul 22, 2021 12:28PM EDT

Roth Capital Maintains Buy Rating On Gogo, Sees Over 48% Upside

* Roth Capital analyst Scott Searle has reiterated a Buy rating and a price target of $16 on Gogo Inc (NASDAQ:GOGO), implying a 48.4% upside.

* Concerns around start-up competitor Smartsky has largely overshadowed Core Business Aviation fundamentals, Searle points.

* Through the first two weeks of July, flights are up 30% versus the comparable 2019 period, he adds.

* Searle expects this strength to translate to a slight Q2 upside and continued growth into the second half of 2021.

* With strong demand, modest market penetration assumptions, and 5G on the horizon, he would use weakness as a buying opportunity.

* Price action: GOGO shares traded lower by 3.06% at $10.45 on the last check Thursday.