American Airlines Group (NASDAQ:AAL – Get Free Report) updated its fourth quarter 2026 earnings guidance on Friday. The company provided EPS guidance of -1.100–0.500 for the period, compared to the consensus earnings per share estimate of -0.410. The company issued revenue guidance of $16.7 billion-$17.1 billion, compared to the consensus revenue estimate of $16.5 billion. American Airlines Group also updated its FY 2026 guidance to -1.600–1.000 EPS.
Analyst Upgrades and Downgrades
A number of research analysts recently issued reports on the stock. Morgan Stanley dropped their target price on shares of American Airlines Group from $24.00 to $22.00 and set an “overweight” rating on the stock in a research report on Friday. Bank of America lifted their price objective on shares of American Airlines Group from $16.00 to $19.00 and gave the company a “neutral” rating in a report on Wednesday, July 1st. Barclays decreased their price objective on American Airlines Group from $19.00 to $14.00 and set an “equal weight” rating for the company in a report on Friday, September 11th. JPMorgan Chase & Co. raised their target price on American Airlines Group from $22.00 to $24.00 and gave the company an “overweight” rating in a report on Friday, July 24th. Finally, UBS Group cut their target price on American Airlines Group from $17.00 to $16.00 and set a “buy” rating on the stock in a research report on Friday, October 16th. Eight research analysts have rated the stock with a Buy rating, ten have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $17.29.
Get Our Latest Research Report on American Airlines Group
American Airlines Group Trading Down 3.9%
AAL stock opened at $12.11 on Friday. The stock’s fifty day simple moving average is $13.07 and its two-hundred day simple moving average is $13.92. American Airlines Group has a 1-year low of $10.09 and a 1-year high of $18.79. The stock has a market cap of $8.02 billion, a P/E ratio of -16.59 and a beta of 1.37.
American Airlines Group (NASDAQ:AAL – Get Free Report) last announced its earnings results on Thursday, October 22nd. The airline reported ($0.28) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.36) by $0.08. The firm had revenue of $16.34 billion during the quarter, compared to analyst estimates of $16.21 billion. American Airlines Group had a negative return on equity of 9.11% and a negative net margin of 0.79%. The business’s revenue was up 19.3% compared to the same quarter last year. During the same period last year, the firm posted ($0.17) EPS. As a group, analysts forecast that American Airlines Group will post -1.22 earnings per share for the current fiscal year.
Insider Activity
In other news, SVP Angela Owens sold 40,077 shares of the firm’s stock in a transaction that occurred on Friday, July 31st. The shares were sold at an average price of $15.26, for a total transaction of $611,575.02. Following the completion of the sale, the senior vice president owned 178,799 shares in the company, valued at $2,728,472.74. This trade represents a 18.31% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.70% of the stock is currently owned by insiders.
Key Headlines Impacting American Airlines Group
Here are the key news stories impacting American Airlines Group this week:
- Positive Sentiment: Third-quarter revenue rose 19.3% year over year to a record $16.34 billion, exceeding analyst expectations. Premium seating and international traffic outperformed domestic demand, supporting the company’s strategy of targeting higher-yielding passengers. AAL Q3 deep dive: premium investments and cost focus offset by fuel headwinds
- Positive Sentiment: Fourth-quarter revenue guidance of $16.7 billion to $17.1 billion was above the $16.5 billion consensus estimate, indicating continued demand and expected revenue growth of roughly 20% to 23%. American Airlines Forecasts Another Quarterly Loss on Surging Fuel Costs
- Positive Sentiment: Morgan Stanley maintained an “overweight” rating, although it reduced its price target from $24 to $22, implying substantial potential upside based on the recent share price. Morgan Stanley stock recommendations
- Neutral Sentiment: American reported an adjusted third-quarter loss of $0.28 per share, better than the expected $0.36 loss, while its 83.4% load factor showed solid aircraft utilization. However, revenue growth has not yet translated into sustainable earnings. American Airlines Group quarterly earnings report
- Negative Sentiment: Fuel expense increased $1.9 billion, or 67.5%, to approximately $3.85 per gallon. Management said historically high fuel prices are overwhelming fare gains, and fares may remain elevated even if oil prices decline. American Airlines forecasts 2026 loss as fuel costs outpace fare gains
- Negative Sentiment: American now expects a larger full-year 2026 loss, with EPS guidance of negative $1.60 to negative $1.00 versus consensus of negative $0.97. Fourth-quarter EPS guidance of negative $1.10 to negative $0.50 also trails the expected negative $0.41, overshadowing the revenue beat. American Airlines expects deeper 2026 loss on pricier fuel despite record revenue
- Negative Sentiment: Rising oil prices are adding further pressure to airline stocks and reversing the initial relief following American’s earnings release. American Airlines Sinks as Oil Climb Reverses Post-Earnings Rebound
About American Airlines Group
American Airlines Group Inc is a holding company whose principal subsidiary, American Airlines, provides scheduled passenger air transportation and air cargo services. The company operates a large mainline network under the American Airlines brand and offers regional service through carriers operating as American Eagle. Its services include domestic and international flights, connecting passengers through a network of hubs and focus cities.
American Airlines serves destinations throughout the United States, as well as markets in Canada, Mexico, the Caribbean, Central and South America, Europe, Asia and other international regions.
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