Hodges Capital Management Inc. Takes Position in American Airlines Group Inc. $AAL

Key Points

• Hodges Capital Management opened a new position in American Airlines Group, buying 282,500 shares worth about $3.0 million in the first quarter.
• Wall Street sentiment has turned more constructive, with several analysts lifting price targets; recent updates from Citigroup, Cantor Fitzgerald, BMO Capital Markets, and TD Cowen were mostly bullish, while the consensus rating remains Hold.
• American Airlines reported quarterly earnings that beat EPS expectations but missed revenue estimates, and the stock has traded near its 52-week high, reflecting improved investor interest despite mixed fundamentals.

Hodges Capital Management Inc. purchased a new stake in shares of American Airlines Group Inc. (NASDAQ:AAL - Free Report) during the 1st quarter, according to its most recent disclosure with the SEC. The fund purchased 282,500 shares of the airline's stock, valued at approximately $3,034,000.

A number of other institutional investors have also added to or reduced their stakes in AAL. EverSource Wealth Advisors LLC boosted its position in American Airlines Group by 21.8% in the fourth quarter. EverSource Wealth Advisors LLC now owns 4,276 shares of the airline's stock valued at $66,000 after buying an additional 766 shares in the last quarter. NewEdge Advisors LLC increased its holdings in shares of American Airlines Group by 6.6% during the second quarter. NewEdge Advisors LLC now owns 13,251 shares of the airline's stock worth $149,000 after buying an additional 823 shares in the last quarter. HB Wealth Management LLC increased its holdings in shares of American Airlines Group by 4.5% during the first quarter. HB Wealth Management LLC now owns 20,205 shares of the airline's stock worth $217,000 after buying an additional 871 shares in the last quarter. Root Financial Partners LLC lifted its stake in shares of American Airlines Group by 33.1% in the 1st 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 last quarter. Finally, Frank Rimerman Advisors LLC lifted its stake in shares of American Airlines Group by 4.5% in the 4th quarter. Frank Rimerman Advisors LLC now owns 22,346 shares of the airline's stock valued at $343,000 after acquiring an additional 954 shares during the last quarter. 52.44% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on AAL shares. Citigroup raised their price objective on American Airlines Group from $14.00 to $22.00 and gave the company a "buy" rating in a report on Friday, June 26th. Cantor Fitzgerald set a $24.00 target price on American Airlines Group in a research report on Thursday. BMO Capital Markets increased their target price 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. Wall Street Zen raised American Airlines Group from a "hold" rating to a "buy" rating in a research note on Saturday. Finally, TD Cowen boosted their price target on American Airlines Group from $20.00 to $24.00 and gave the stock a "buy" rating in a report on Thursday. Eight analysts have rated the stock with a Buy rating, ten have issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, American Airlines Group presently has an average rating of "Hold" and an average target price of $19.37.

Key American Airlines Group News

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

• Positive Sentiment: Susquehanna raised its price target on American Airlines Group (AAL) to $25 from $16 and maintained a positive rating, signaling confidence in the airline’s outlook and potential upside. Susquehanna Boosts American Airlines Group NASDAQ: AAL Price Target to $25.00
• Neutral Sentiment: Melius Research downgraded American Airlines Group (AAL) from buy to hold, but increased its price target to $19, which still implies some upside and may temper the impact of the downgrade. American Airlines Group was downgraded by Melius Research from buy to hold
• Neutral Sentiment: Recent commentary also highlighted AAL as a potentially attractive long-term quality stock, but this was largely opinion-based and less directly tied to near-term fundamentals. Here is why American Airlines Group Inc. (AAL) is among the Best Quality Stocks to Buy and Hold for the Next Decade
• Neutral Sentiment: A broader airline-industry article noted that falling jet-fuel prices have not yet translated into much lower fares, with carriers still seeing resilient travel demand. This may support airline margins, but it is not specific to AAL. Jet-Fuel Prices Have Plunged but Aren't Resulting in Much Lower Fares

American Airlines Group Stock Performance

Shares of AAL opened at $17.75 on Tuesday. The firm has a market cap of $11.74 billion, a PE ratio of 57.26 and a beta of 1.32. American Airlines Group Inc. has a 52-week low of $10.09 and a 52-week high of $18.79. The business's 50 day moving average price is $14.44 and its two-hundred 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) EPS for the quarter, topping the consensus estimate of ($0.45) by $0.05. The company had revenue of $13.91 billion during the quarter, compared to the consensus estimate of $16.13 billion. American Airlines Group had a net margin of 0.36% and a negative return on equity of 9.11%. The company's quarterly revenue was up 10.8% on a year-over-year basis. During the same quarter last year, the firm posted ($0.59) EPS. 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 predict that American Airlines Group Inc. will post 0.25 EPS for the current fiscal year.

Insider Transactions at American Airlines Group

In other American Airlines Group news, COO David Seymour sold 69,343 shares of the firm's stock in a transaction on 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 completion of the sale, the chief operating officer directly owned 1,025,489 shares in the company, valued at approximately $17,433,313. This trade represents a 6.33% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 0.70% of the stock is currently owned by corporate insiders.

American Airlines Group 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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