Price target: Slashed to $323, from $416
Rating: Downgraded to "neutral," from "outperform"
Credit Suisse said the news could hurt the 737 Max's return to service due to a loss of trust with regulators, increased political risk, and waning public confidence.
"In our interpretation, the key takeaway is that BA seems to have known about MCAS's erroneous tendencies (in sim or otherwise) prior to certification," Credit Suisse analysts wrote in a note to clients Monday.
The firm added: "We can no longer defend the shares in light of the latest discoveries, discoveries which significantly increase the risk profile for investors."