Evercore ISI cuts price target for American Airlines to $1, warns debt will crowd out equity

American airlines jets made by Embraer and other manufacturers sit at gates at Washington's Reagan National airport as the novel coronavirus (COVID-19) pandemic continues to keep airline travel at minimal levels and the U.S. economy contracts in the first quarter at its sharpest pace since the Great Recession, in Washington, U.S. April 29, 2020.
Kevin Lemarque | Reuters

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The coronavirus pandemic has devastated the airline industry, and Evercore ISI said in a new note that American Airlines may be in one of the worst positions. 

The bank slashed its price target on the stock by 90%, saying falling revenues and rising debt levels make for an "unsustainable" situation.