Grupo Aeromexico (NYSE:AERO) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• Grupo Aeromexico has a “Moderate Buy” consensus rating from 11 analysts, with seven buys, one strong buy, two holds and one sell. The average 12-month price target is $28.06, compared with a share price of $15.08.
• The airline reported a quarterly loss of $0.40 per share, missing the $0.37 consensus estimate, while revenue reached $1.48 billion. Analysts expect full-year earnings of approximately $1.05 per share.
• Analyst views remain mixed, including a JPMorgan price-target cut to $26.50, a Weiss Ratings downgrade to sell and a Goldman Sachs upgrade to strong buy. An insider also sold 350,000 shares, while institutional investors recently initiated several positions.

Shares of Grupo Aeromexico (NYSE:AERO - Get Free Report) have earned a consensus recommendation of "Moderate Buy" from the eleven research firms that are presently covering the stock, Marketbeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, two have assigned a hold recommendation, seven have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average twelve-month price target among analysts that have covered the stock in the last year is $28.0625.

Several equities analysts have issued reports on the company. Weiss Ratings downgraded Grupo Aeromexico from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Friday, July 17th. JPMorgan Chase & Co. reduced their price target on shares of Grupo Aeromexico from $28.00 to $26.50 and set an "overweight" rating on the stock in a research report on Friday, June 12th. Wall Street Zen cut Grupo Aeromexico from a "buy" rating to a "hold" rating in a report on Tuesday. Zacks Research upgraded Grupo Aeromexico from a "strong sell" rating to a "hold" rating in a research report on Monday, May 25th. Finally, The Goldman Sachs Group upgraded shares of Grupo Aeromexico to a "strong-buy" rating in a research report on Monday, April 13th.

Grupo Aeromexico Stock Down 3.1%

Shares of AERO stock opened at $15.08 on Thursday. The company has a market capitalization of $2.06 billion and a P/E ratio of 35.90. Grupo Aeromexico has a 12-month low of $12.26 and a 12-month high of $23.05. The firm has a 50-day moving average price of $16.62 and a 200 day moving average price of $16.82.

Grupo Aeromexico (NYSE:AERO - Get Free Report) last issued its quarterly earnings data on Tuesday, July 14th. The company reported ($0.40) earnings per share for the quarter, missing the consensus estimate of ($0.37) by ($0.03). Grupo Aeromexico had a negative return on equity of 25.10% and a net margin of 3.78%.The firm had revenue of $1.48 billion for the quarter. As a group, research analysts expect that Grupo Aeromexico will post 1.05 earnings per share for the current year.

Insider Buying and Selling at Grupo Aeromexico

In related news, insider Aaron James Murray sold 350,000 shares of the stock in a transaction that occurred on Thursday, May 21st. The shares were sold at an average price of $1.56, for a total value of $546,000.00. Following the transaction, the insider directly owned 1,618,130 shares in the company, valued at $2,524,282.80. This represents a 17.78% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. 12.82% of the stock is currently owned by company insiders.

Institutional Trading of Grupo Aeromexico

Institutional investors and hedge funds have recently made changes to their positions in the business. Public Employees Retirement System of Ohio bought a new position in shares of Grupo Aeromexico in the 1st quarter worth $56,000. R Squared Ltd acquired a new stake in shares of Grupo Aeromexico during the first quarter worth $163,000. Federated Hermes Inc. bought a new stake in Grupo Aeromexico in the fourth quarter valued at about $220,000. Sandia Investment Management LP bought a new stake in Grupo Aeromexico in the fourth quarter valued at about $220,000. Finally, Quarry LP acquired a new position in Grupo Aeromexico in the fourth quarter valued at about $232,000.

Grupo Aeromexico Company Profile

Grupo Aeroméxico is the parent company of Aeroméxico, Mexico’s long-established flag carrier and commercial airline group. The company operates scheduled passenger and cargo services, with a network that connects domestic destinations across Mexico and international markets in the Americas, Europe and Asia. Grupo Aeroméxico’s operations include mainline services as well as regional flying through its regional affiliates, airport ground-handling and cargo divisions that support its commercial network.

The carrier deploys a mix of narrow-body and wide-body aircraft to serve short-, medium- and long-haul routes, using single-aisle jets for domestic and regional markets and wide-body equipment for transcontinental services.

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