Signature Aviation PLC (LON:SIG) took a knock on Wednesday as Citigroup cut its stance for the aerospace & defence engineer to ‘neutral’ from ‘buy’ citing near, medium and long term headwinds as the coronavirus crisis impacts travel.

In a note to clients, the US bank’s analysts said: “Signature are facing multiple headwinds in FY20 that will likely continue in FY21 and potentially beyond.”

“All travel is likely to remain suppressed in the near term, in the medium term economic conditions will likely weigh on business travel and in the longer term we may see structurally lower business travel given the acceleration of virtual infrastructure and habits adjust,” the Citigroup analysts added.

They concluded: “We still believe Signature is a high-quality business with sufficient liquidity to ride the downturn but see the risk reward as more balanced.”

In late morning trading, shares in the FTSE 250-listed firm – formerly known as BBA Aviation – were 1.8% lower at 168.95p.