American Airlines Group (NASDAQ:AAL) Releases FY 2026 Earnings Guidance

Key Points

• Big Q1 miss and weak guidance: American reported ($0.40) EPS vs. $0.99 expected and $13.91B revenue vs. $16.13B consensus, and set FY‑2026 guidance at -0.40 to 1.10 EPS and Q2‑2026 at -0.20 to 0.20 EPS, both below Street estimates.
• Street reaction is mixed-to-cautious: The consensus analyst rating is Hold with an average price target of $15.09 amid divergent firm views (e.g., UBS raised its PT to $16 while Jefferies cut its PT to $12).
• Headwinds and strategic noise: Management highlighted cost pressure from rising jet fuel, and the company is exploring deeper international cooperation with Alaska Air while merger speculation continues despite denials.

American Airlines Group (NASDAQ:AAL - Get Free Report) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of -0.400-1.100 for the period, compared to the consensus estimate of -0.370. The company issued revenue guidance of -. American Airlines Group also updated its Q2 2026 guidance to -0.200-0.200 EPS.

Analyst Ratings Changes

Several research firms have issued reports on AAL. Argus raised shares of American Airlines Group to a "hold" rating in a research report on Wednesday, January 28th. BMO Capital Markets reissued a "market perform" rating and issued a $17.00 price objective on shares of American Airlines Group in a research report on Wednesday, January 28th. UBS Group boosted their price objective on shares of American Airlines Group from $14.00 to $16.00 and gave the company a "buy" rating in a research report on Wednesday, April 15th. Raymond James Financial reissued a "market perform" rating on shares of American Airlines Group in a research report on Monday, February 2nd. Finally, Jefferies Financial Group lowered their price objective on shares of American Airlines Group from $15.00 to $12.00 and set a "hold" rating for the company in a research report on Thursday, March 12th. Six research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average price target of $15.09.

American Airlines Group Price Performance

American Airlines Group stock opened at $11.50 on Thursday. The stock has a market cap of $7.61 billion, a price-to-earnings ratio of 67.65 and a beta of 1.25. American Airlines Group has a 1 year low of $9.21 and a 1 year high of $16.50. The firm has a 50-day moving average of $11.82 and a two-hundred day moving average of $13.26.

American Airlines Group (NASDAQ:AAL - Get Free Report) last posted its quarterly earnings results on Thursday, April 23rd. The airline reported ($0.40) EPS for the quarter, missing the consensus estimate of $0.99 by ($1.39). American Airlines Group had a net margin of 0.20% and a negative return on equity of 5.90%. The business had revenue of $13.91 billion during the quarter, compared to the consensus estimate of $16.13 billion. 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 expect that American Airlines Group will post -1.05 earnings per share for the current year.

American Airlines Group News Summary

Here are the key news stories impacting American Airlines Group this week:

• Positive Sentiment: Potential network expansion — American is in preliminary talks with Alaska Air to deepen international cooperation (could expand transatlantic/transpacific reach and revenue opportunities). American Airlines, Alaska Air explore deeper international partnership, sources say
• Neutral Sentiment: Merger speculation persists despite company denials — commentary and writeups note takeover rumors remain a theme, but American says it’s not pursuing a merger; this removes a potential near‑term takeover premium and refocuses investors on fundamentals. Why American Airlines (AAL) Still Draws Merger Speculation Despite Its Denial
• Neutral Sentiment: Analyst previews and forecast revisions ahead of the print increased focus on how fuel and demand trends would show up in results — these previews shape expectations but aren’t new company action. American Airlines Gears Up For Q1 Print; Here Are The Recent Forecast Changes From Wall Street's Most Accurate Analysts
• Negative Sentiment: Big earnings miss — AAL reported ($0.40) EPS vs. $0.99 consensus and revenue of $13.91B vs. $16.13B consensus, a clear downside surprise that often triggers immediate selling. American Airlines Group (AAL) stock page
• Negative Sentiment: Weaker guidance — Management set Q2‑2026 EPS at -0.20 to 0.20 (consensus ~ -0.13) and FY‑2026 at -0.40 to 1.10 (consensus ~ -0.37). Both ranges are below Street expectations and increase near‑term earnings uncertainty.
• Negative Sentiment: Cost headwinds from jet fuel — Coverage notes airlines have cut/suspended guidance as fuel costs surge, pressuring margins and supporting the cautious guidance outlook. American Airlines Reports Earnings Thursday. It's Tough Out There.

Institutional Investors Weigh In On American Airlines Group

Several hedge funds have recently modified their holdings of AAL. Two Sigma Investments LP lifted its position in shares of American Airlines Group by 49.1% in the 3rd quarter. Two Sigma Investments LP now owns 13,670,800 shares of the airline's stock worth $153,660,000 after purchasing an additional 4,500,897 shares during the period. AQR Capital Management LLC lifted its position in shares of American Airlines Group by 1,711.5% in the 4th quarter. AQR Capital Management LLC now owns 1,984,457 shares of the airline's stock worth $30,422,000 after purchasing an additional 1,874,909 shares during the period. First Trust Advisors LP lifted its position in shares of American Airlines Group by 572.8% in the 4th quarter. First Trust Advisors LP now owns 2,152,577 shares of the airline's stock worth $32,999,000 after purchasing an additional 1,832,613 shares during the period. Par Capital Management Inc. purchased a new position in American Airlines Group in the second quarter valued at about $14,025,000. Finally, Quadrature Capital Ltd grew its stake in American Airlines Group by 7,891.3% in the third quarter. Quadrature Capital Ltd now owns 1,243,925 shares of the airline's stock valued at $13,969,000 after purchasing an additional 1,228,359 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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