Goldman Sachs has resumed coverage of Air Arabia with a "buy" rating and a target price of Dhs1.34, saying rising oil prices and strong air traffic growth in the Middle East will boost the low cost carrier's earnings. Goldman Sachs is forecasting traffic growth in the Middle East in the next 20 years at 6.8%, a rise at a faster rate than compared to other regions. On August 4, Nomura initiated Air Arabia with a "buy" rating and price target of dhs1.40. (Mac Capital Advisors)