More Northwest Craziness

This is a first for me; an analyst upgrades a stock to sell.

Standard & Poor’s Equity Research upgraded Northwest Airlines to “sell” from “strong sell” but cut the price target. “With the shares off sharply today amid market talk about possible bankruptcy, we think the current share price more adequately discounts the risks of bankruptcy we foresee,” S&P Equity Research said. Investors should sell shares of Northwest, “which we do believe is likely to file for bankruptcy, but our upgrade reflects possibilities for the share price,” the research firm said. S&P Equity Research said shares could see upside if Northwest denied bankruptcy talk, reached agreement with striking mechanics, or if there are further oil price declines or “meaningful progress” with other unions. The firm cut Northwest’s 12-month target price to $1.50, from $3.

So, let me get this straight. They think NWAC will go bankrupt, and their 12-month price target is $1.50 per share? Has a bankrupt airline ever given equity holders anything when they come out? And what is the difference between a sell and a strong sell? Do you use a market order if you want to sell strongly, versus a limit order if you just want to sell?