American Airlines Group (NASDAQ:AAL) Downgraded by Melius Research to "Hold"

Key Points

• Melius Research downgraded American Airlines Group from buy to hold and kept a $19 price target, implying about 7% upside from the prior close.
• The stock currently has a consensus Hold rating among analysts, with eight Buy, ten Hold, and two Sell ratings, and an average price target of $19.37.
• American Airlines shares were down 0.9% in recent trading, and the company’s latest quarterly results showed an EPS beat but revenue below expectations.

American Airlines Group (NASDAQ:AAL - Get Free Report) was downgraded by stock analysts at Melius Research from a "buy" rating to a "hold" rating in a research report issued on Tuesday, MarketBeat Ratings reports. They presently have a $19.00 target price on the airline's stock. Melius Research's price target would suggest a potential upside of 7.04% from the stock's previous close.

AAL has been the subject of a number of other research reports. TD Cowen upped their target price on shares of American Airlines Group from $20.00 to $24.00 and gave the stock a "buy" rating in a research report on Thursday. Barclays boosted their price target on shares of American Airlines Group from $16.00 to $19.00 and gave the stock an "equal weight" rating in a research note on Thursday, June 25th. Jefferies Financial Group increased their price objective on shares of American Airlines Group from $15.00 to $16.00 and gave the company a "hold" rating in a report on Wednesday, June 24th. BMO Capital Markets raised their price objective on American Airlines Group from $13.50 to $19.50 and gave the company a "market perform" rating in a research report on Thursday, July 2nd. Finally, Citigroup lifted their target price on American Airlines Group from $14.00 to $22.00 and gave the stock a "buy" rating in a report on Friday, June 26th. Eight investment analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat.com, the stock has a consensus rating of "Hold" and an average price target of $19.37.

American Airlines Group Stock Down 0.9%

NASDAQ AAL opened at $17.75 on Tuesday. American Airlines Group has a 52 week low of $10.09 and a 52 week high of $18.79. The company has a market capitalization of $11.74 billion, a P/E ratio of 57.26 and a beta of 1.32. The stock's 50-day moving average price is $14.44 and its 200-day moving average price is $13.68.

American Airlines Group (NASDAQ:AAL - Get Free Report) last announced its quarterly earnings data on Thursday, April 23rd. The airline reported ($0.40) earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.45) by $0.05. American Airlines Group had a negative return on equity of 9.11% and a net margin of 0.36%.The company had revenue of $13.91 billion during the quarter, compared to the consensus estimate of $16.13 billion. During the same period in the previous year, the company posted ($0.59) EPS. The firm's revenue was up 10.8% on a year-over-year basis. American Airlines Group has set its FY 2026 guidance at -0.400-1.100 EPS and its Q2 2026 guidance at -0.200-0.200 EPS. Research analysts anticipate that American Airlines Group will post 0.25 EPS for the current year.

Insider Activity at American Airlines Group

In other news, COO David Seymour sold 69,343 shares of the business's stock in a transaction dated Wednesday, June 24th. The shares were sold at an average price of $17.00, for a total value of $1,178,831.00. Following the sale, the chief operating officer directly owned 1,025,489 shares in the company, valued at $17,433,313. The trade was a 6.33% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 0.70% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. West Branch Capital LLC bought a new stake in American Airlines Group in the fourth quarter worth $31,000. MassMutual Private Wealth & Trust FSB increased its position in American Airlines Group by 102.0% during the fourth quarter. MassMutual Private Wealth & Trust FSB now owns 2,353 shares of the airline's stock valued at $36,000 after acquiring an additional 1,188 shares during the last quarter. Center for Financial Planning Inc. raised its stake in shares of American Airlines Group by 377.4% in the fourth quarter. Center for Financial Planning Inc. now owns 2,530 shares of the airline's stock valued at $39,000 after acquiring an additional 2,000 shares during the period. Root Financial Partners LLC raised its stake in shares of American Airlines Group by 33.1% in the first quarter. Root Financial Partners LLC now owns 3,816 shares of the airline's stock valued at $41,000 after acquiring an additional 949 shares during the period. Finally, Clearstead Advisors LLC lifted its holdings in shares of American Airlines Group by 140.3% in the 4th quarter. Clearstead Advisors LLC now owns 2,968 shares of the airline's stock worth $45,000 after acquiring an additional 1,733 shares during the last quarter. Hedge funds and other institutional investors own 52.44% of the company's stock.

American Airlines Group Company Profile

American Airlines Group Inc is a leading global airline holding company headquartered in Fort Worth, Texas. Formed in December 2013 through the merger of AMR Corporation (parent of American Airlines) and US Airways Group, the company operates one of the world's largest passenger and cargo networks. Its subsidiaries include American Airlines, which provides mainline service, and American Eagle, a network of regional carriers operating short- and medium-haul routes on behalf of the mainline carrier.

The company offers scheduled air transportation for passengers and cargo to more than 350 destinations in over 50 countries.

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