Despite Underwhelming Earnings, Airbus Scores an Upgrade

Every day, Wall Street analysts upgrade some stocks, downgrade others, and "initiate coverage" on a few more. But do these analysts even know what they're talking about? Today, we're taking one high-profile Wall Street pick and putting it under the microscope...

With its shares up 45% over the past year, there was a lot of optimism built into Airbus (NASDAQOTH: EADSY) stock heading into earnings last Thursday. Airbus entirely failed to reward investors' optimism, missing analyst targets for both sales and profits, and warning that delays in obtaining new engines were slowing down deliveries of new airplanes.

And yet, this morning, Connecticut-based equity research firm Vertical Research Partners upgraded Airbus stock anyway. Here are three things you need to know about that.

Source: Fool.com