American Airlines Group (NASDAQ:AAL) Shares Gap Up - Still a Buy?

Key Points

• American Airlines Group Inc. shares increased from $11.81 to $12.44 upon opening, trading at $12.12 with a volume of nearly 14.9 million shares.
• Analysts generally maintain a Moderate Buy consensus rating, with target prices ranging from $12.00 to $16.59.
• Institutional investors own over 52% of American Airlines Group's stock, with several firms increasing their stakes in recent quarters.

American Airlines Group Inc. (NASDAQ:AAL - Get Free Report) gapped up before the market opened on Thursday . The stock had previously closed at $11.81, but opened at $12.44. American Airlines Group shares last traded at $12.12, with a volume of 14,923,886 shares trading hands.

Analyst Ratings Changes

A number of equities research analysts have weighed in on the company. Weiss Ratings restated a "hold (c-)" rating on shares of American Airlines Group in a research note on Wednesday. Evercore ISI raised their price objective on American Airlines Group from $13.00 to $14.00 and gave the company an "in-line" rating in a research note on Monday, September 29th. Susquehanna raised their price objective on American Airlines Group from $10.00 to $12.00 and gave the company a "neutral" rating in a research note on Friday, October 3rd. Barclays lifted their target price on American Airlines Group from $11.00 to $12.00 and gave the stock an "equal weight" rating in a research report on Thursday, July 10th. Finally, Raymond James Financial set a $14.00 target price on American Airlines Group in a research report on Monday, August 25th. Two analysts have rated the stock with a Strong Buy rating, eight have issued a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, American Airlines Group has a consensus rating of "Moderate Buy" and a consensus target price of $16.59.

American Airlines Group Stock Down 1.6%

The firm has a 50-day moving average of $12.39 and a two-hundred day moving average of $11.48. The stock has a market capitalization of $7.67 billion, a price-to-earnings ratio of 14.53, a price-to-earnings-growth ratio of 3.34 and a beta of 1.36.

American Airlines Group (NASDAQ:AAL - Get Free Report) last issued its earnings results on Thursday, July 24th. The airline reported $0.95 earnings per share for the quarter, topping the consensus estimate of $0.79 by $0.16. The company had revenue of $14.39 billion for the quarter, compared to analyst estimates of $14.27 billion. American Airlines Group had a negative return on equity of 24.55% and a net margin of 1.05%.The business's revenue was up .4% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.09 EPS. American Airlines Group has set its Q3 2025 guidance at -0.600--0.100 EPS. As a group, sell-side analysts predict that American Airlines Group Inc. will post 2.42 EPS for the current year.

Institutional Investors Weigh In On American Airlines Group

A number of hedge funds and other institutional investors have recently bought and sold shares of AAL. Vanguard Group Inc. increased its stake in shares of American Airlines Group by 1.0% in the 1st quarter. Vanguard Group Inc. now owns 63,625,284 shares of the airline's stock valued at $671,247,000 after buying an additional 639,760 shares during the period. Primecap Management Co. CA increased its stake in shares of American Airlines Group by 0.4% in the 1st quarter. Primecap Management Co. CA now owns 60,445,097 shares of the airline's stock valued at $637,696,000 after buying an additional 219,390 shares during the period. U S Global Investors Inc. increased its stake in shares of American Airlines Group by 7.5% in the 2nd quarter. U S Global Investors Inc. now owns 7,718,224 shares of the airline's stock valued at $86,598,000 after buying an additional 536,978 shares during the period. Marshall Wace LLP increased its stake in shares of American Airlines Group by 319.4% in the 2nd quarter. Marshall Wace LLP now owns 5,019,492 shares of the airline's stock valued at $56,319,000 after buying an additional 3,822,757 shares during the period. Finally, Charles Schwab Investment Management Inc. increased its stake in shares of American Airlines Group by 5.2% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 4,575,284 shares of the airline's stock valued at $48,269,000 after buying an additional 227,762 shares during the period. 52.44% of the stock is owned by institutional investors and hedge funds.

About American Airlines Group

American Airlines Group Inc, through its subsidiaries, operates as a network air carrier. The company provides scheduled air transportation services for passengers and cargo through its hubs in Charlotte, Chicago, Dallas/Fort Worth, Los Angeles, Miami, New York, Philadelphia, Phoenix, and Washington, DC, as well as through partner gateways in London, Doha, Madrid, Seattle/Tacoma, Sydney, and Tokyo.

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