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American Airlines (AAL) Stock Declines While Market Improves: Some Information for Investors
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American Airlines (AAL - Free Report) ended the recent trading session at $14.24, demonstrating a -1.73% swing from the preceding day's closing price. The stock's performance was behind the S&P 500's daily gain of 0.45%.
Market participants will be closely following the financial results of American Airlines in its upcoming release. In that report, analysts expect American Airlines to post earnings of $0.03 per share. This would mark a year-over-year decline of 97.44%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $13.02 billion, down 1.29% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $2.40 per share and revenue of $52.76 billion, which would represent changes of +380% and +7.73%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for American Airlines. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.25% higher. American Airlines is currently a Zacks Rank #3 (Hold).
In terms of valuation, American Airlines is currently trading at a Forward P/E ratio of 6.04. This valuation marks a discount compared to its industry's average Forward P/E of 7.42.
Meanwhile, AAL's PEG ratio is currently 0.11. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Transportation - Airline was holding an average PEG ratio of 0.32 at yesterday's closing price.
The Transportation - Airline industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 188, positioning it in the bottom 26% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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American Airlines (AAL) Stock Declines While Market Improves: Some Information for Investors
American Airlines (AAL - Free Report) ended the recent trading session at $14.24, demonstrating a -1.73% swing from the preceding day's closing price. The stock's performance was behind the S&P 500's daily gain of 0.45%.
Market participants will be closely following the financial results of American Airlines in its upcoming release. In that report, analysts expect American Airlines to post earnings of $0.03 per share. This would mark a year-over-year decline of 97.44%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $13.02 billion, down 1.29% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $2.40 per share and revenue of $52.76 billion, which would represent changes of +380% and +7.73%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for American Airlines. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.25% higher. American Airlines is currently a Zacks Rank #3 (Hold).
In terms of valuation, American Airlines is currently trading at a Forward P/E ratio of 6.04. This valuation marks a discount compared to its industry's average Forward P/E of 7.42.
Meanwhile, AAL's PEG ratio is currently 0.11. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Transportation - Airline was holding an average PEG ratio of 0.32 at yesterday's closing price.
The Transportation - Airline industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 188, positioning it in the bottom 26% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.