Back to top

Image: Bigstock

American Airlines (AAL) Dips More Than Broader Markets: What You Should Know

Read MoreHide Full Article

American Airlines (AAL - Free Report) closed the most recent trading day at $19.37, moving -1.97% from the previous trading session. This change lagged the S&P 500's 0.03% loss on the day.

Coming into today, shares of the world's largest airline had lost 5.5% in the past month. In that same time, the Transportation sector gained 4.41%, while the S&P 500 gained 3.59%.

Wall Street will be looking for positivity from AAL as it approaches its next earnings report date. The company is expected to report EPS of -$0.65, up 88.27% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $9.5 billion, up 199.42% from the prior-year quarter.

AAL's full-year Zacks Consensus Estimates are calling for earnings of -$6.78 per share and revenue of $30.57 billion. These results would represent year-over-year changes of +65.51% and +76.33%, respectively.

Any recent changes to analyst estimates for AAL should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.26% higher. AAL is currently sporting a Zacks Rank of #3 (Hold).

The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 177, putting it in the bottom 31% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow AAL in the coming trading sessions, be sure to utilize Zacks.com.


In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


American Airlines Group Inc. (AAL) - free report >>

Published in