American Airlines (AAL - Free Report) ended the recent trading session at $12.91, demonstrating a -1.68% change from the preceding day's closing price. The stock trailed the S&P 500, which registered a daily loss of 0.58%. On the other hand, the Dow registered a loss of 1.18%, and the technology-centric Nasdaq decreased by 0.32%.
Shares of the world's largest airline witnessed a loss of 12.47% over the previous month, trailing the performance of the Transportation sector with its loss of 3.23%, and the S&P 500's loss of 0.36%.
The investment community will be paying close attention to the earnings performance of American Airlines in its upcoming release. On that day, American Airlines is projected to report earnings of -$0.32 per share, which would represent a year-over-year decline of 88.24%. Alongside, our most recent consensus estimate is anticipating revenue of $16.12 billion, indicating a 17.77% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of -$0.16 per share and revenue of $62.99 billion, which would represent changes of -144.44% and +15.3%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for American Airlines. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 977.7% lower. American Airlines is currently sporting a Zacks Rank of #3 (Hold).
The Transportation - Airline industry is part of the Transportation sector. This industry, currently bearing a Zacks Industry Rank of 209, finds itself in the bottom 16% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
American Airlines is adding more premium seats to its Boeing 777-300ER planes used on long-haul routes as US carriers increasingly chase higher-spending travelers.
The airline is also phasing out first class on the aircraft, while increasing the number of business-class seats.
The carrier, which is expanding its premium offerings to improve profitability, said the first retrofitted aircraft will begin commercial service on Wednesday from New York to Buenos Aires. American expects to complete upgrades of all 20 of its 777-300ERs sometime in 2027.
American Airlines is adding more premium seats to its Boeing 777-300ER planes used on long-haul routes as US carriers increasingly chase higher-spending travelers. via REUTERS The revamped aircraft will have 144 premium seats, up from 116 under the current layout, with the total percentage rising to about 44% from 38%.
That includes 70 Flagship Suite business-class seats with privacy doors, 44 Premium Economy seats and 30 Main Cabin Extra seats, American’s extra-legroom economy product.
The current 777-300ER has 52 business-class seats and eight Flagship First seats, American’s top-tier international first-class cabin.
The airline is eliminating Flagship First as part of the retrofit, with the product no longer sold on 777-300ER flights for travel beginning November 19.
Among the big three US network carriers, American is the only one that offers a separate international first-class cabin.
Delta Air Lines combined its international first- and business-class cabins beginning in late 1998, while United Airlines stopped selling international first class in 2018 as it transitioned its long-haul fleet to Polaris business class.
American said in 2022 it would phase out international first class because customers were not buying the product and removing it would allow the airline to add more business-class seats that travelers were more willing to pay for.
The revamped aircraft will have 144 premium seats, up from 116 under the current layout, with the total percentage rising to about 44% from 38%. via REUTERS
A flagship suite on a retrofitted American Airlines Boeing 777-300ER plane used on long-haul routes. via REUTERS The retrofit extends American’s bet on premium travel as it tries to narrow a profit gap with Delta and United.
Premium travelers generated nearly half of American’s ticketed revenue in the second quarter while accounting for about 30% of its seats.
American said last month that premium seating on its narrowbody flights would rise to about 40% in coming years from roughly 25% now.
Premium push spreads American’s move is part of a wider push by US carriers toward premium travel.
Revenue from higher-end products has been growing faster than from more price-sensitive offerings at some of the largest airlines, reflecting a widening divide as wealthier customers keep spending while budget-conscious travelers pull back.
Premium travelers generated nearly half of American’s ticketed revenue in the second quarter while accounting for about 30% of its seats. via REUTERS The shift is also reaching airlines traditionally built around lower fares. Southwest Airlines said on Wednesday it will launch its first-ever airport lounges in an effort to attract more higher-spending travelers.
The airline plans to open its first lounges in Austin, Baltimore, Honolulu and Nashville beginning in late 2027.
Frontier is adding first-class-style seats, while JetBlue is expanding its premium offering with airport lounges.
American’s move is part of a wider push by US carriers toward premium travel. REUTERS The retrofit will also increase the aircraft’s capacity to 330 passengers from 304.
The number of standard economy seats will edge down to 186 from 188.
American’s 777-300ERs serve long-haul markets including London, Tokyo, Sao Paulo, Buenos Aires and Sydney.
The retrofitted aircraft will also offer upgraded in-flight entertainment, while members of American’s AAdvantage loyalty program will have access to free high-speed Wi-Fi.
American Airlines Group Inc. (NASDAQ:AAL) stock experienced upward momentum on Wednesday following high-level discussions between corporate executives and the White House, alongside a pause in rising crude oil costs.
The Nasdaq is up 0.19% while the S&P 500 has gained 0.54%.
• Advance Auto Parts stock is trading at depressed levels. What should traders watch with AAP?
President Donald Trump scheduled a Wednesday meeting with corporate travel representatives, including leaders from American Airlines, Marriott International, Inc. (NASDAQ:MAR), MGM Resorts International (NYSE:MGM) and Carnival Corporation & plc (NYSE:CCL), a White House official said. The travel sector brief coincided with a pullback in energy markets, providing relief to fuel-sensitive transport equities.
The administration scheduled meetings with key sector leaders to address industry developments following strong summer activity.
Crude Oil Prices Ease Below $90According to Trading Economics, crude oil edged down below $90 a barrel on Wednesday, pausing a two-session rally that lifted prices to a six-week high. Traders continued to weigh elevated supply risks stemming from ongoing hostilities in the Middle East against signs that crude supplies were still reaching the market.
Technical AnalysisEven with Wednesday’s pop, American Airlines is still trading 7% below its 20-day SMA, 14.2% below its 50-day SMA, 7.6% below its 100-day SMA, and 4.8% below its 200-day SMA — so the bigger picture remains "rebound inside a softer trend." That overhead moving-average stack is why rallies can feel "heavy" until price starts reclaiming those levels.
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The moving-average structure is mixed: the 20-day SMA is below the 50-day SMA (bearish near-term), but the 50-day SMA remains above the 200-day SMA after the Golden Cross in June, which keeps the longer-term trend from fully breaking down. Zooming out, the stock carved key turning points earlier in the year, including the 52-week low in March and a major peak zone in July (which also marked the 52-week high).
Key Resistance: $14 — Nearby round-number area that also sits close to the 200-day SMA/EMA zone, where rebounds can stall Key Support: $11.50 — Nearby level that lines up as a prior buyer-defense zone above the $10.09 52-week low Trending
AAL Stock Price Activity: American Airlines Group shares were up 1.66% at $13.17 at the time of publication on Wednesday, according to Benzinga Pro data.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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American Airlines is expanding its push into premium travel on its largest planes.
The carrier on Wednesday launched its first retrofitted Boeing 777-300ER, which it uses for its most popular long-haul international flights, including routes to London, Tokyo and Sydney.
The new layout on the wide-body plane features 144 premium seats, including 70 lie-flat seats with sliding doors in its Flagship Suite section at the front of the plane.
American said in 2022 that it planned to get rid of its international first class on many of its planes in favor of the single, larger premium cabin at the front of the plane. It started flying the suites last year after facing delays from suppliers.
The lie-flat seats can bring in close to $10,000 on some long-haul international routes compared with $2,000 or much less for a seat in the back.
There's also a Premium Economy section, with 44 seats that have privacy headrest wings and adjustable calf and footrests, as well as 30 Main Cabin Extra seats with additional legroom.
There are 186 regular seats in updated plane's Main Cabin.
American said its full fleet of 20 Boeing 777-300ER aircraft will be retrofitted by next year. The carrier will have a similar but smaller layout on its Airbus A321XLRs.
The airline has been trying to catch up to its rivals Delta Air Lines and United Airlines, which have a head start on catering to high-spending travelers. The airline's new suites are a key part of that strategy.
American has also been working to grow its loyalty program, improve its on-time rate and expand its network. Last week, the airline announced it will add seven international routes to its 2027 schedule, though none of those are on the Boeing 777-300ERs.
American Airlines (AAL.O) is adding more premium seats to its Boeing (BA.N) 777-300ER planes used on long-haul routes as U.S. carriers increasingly chase higher-spending travelers.
The airline is also phasing out first class on the aircraft, while increasing the number of business-class seats.
The U.S. carrier, which is expanding its premium offerings to improve profitability, said the first retrofitted aircraft will begin commercial service on Wednesday from New York to Buenos Aires. American expects to complete upgrades of all 20 of its 777-300ERs sometime in 2027.
The revamped aircraft will have 144 premium seats, up from 116 under the current layout, with the total percentage rising to about 44% from 38%. That includes 70 Flagship Suite business-class seats with privacy doors, 44 Premium Economy seats and 30 Main Cabin Extra seats, American's extra-legroom economy product.
The current 777-300ER has 52 business-class seats and eight Flagship First seats, American's top-tier international first-class cabin. The airline is eliminating Flagship First as part of the retrofit, with the product no longer sold on 777-300ER flights for travel beginning November 19.
Among the big three U.S. network carriers, American is the only one that still offers a separate international first-class cabin.
Delta Air Lines (DAL.N) combined its international first- and business-class cabins beginning in late 1998, while United Airlines (UAL.O) stopped selling international first class in 2018 as it transitioned its long-haul fleet to Polaris business class.
American said in 2022 it would phase out international first class because customers were not buying the product and removing it would allow the airline to add more business-class seats that travelers were more willing to pay for.
The retrofit extends American's bet on premium travel as it tries to narrow a profit gap with Delta and United.
Premium travelers generated nearly half of American's ticketed revenue in the second quarter while accounting for about 30% of its seats. American said last month that premium seating on its narrowbody flights would rise to about 40% in coming years from roughly 25% now.
PREMIUM PUSH SPREADS
American's move is part of a wider push by U.S. carriers toward premium travel. Revenue from higher-end products has been growing faster than more price-sensitive offerings at some of the largest airlines, reflecting a widening divide as wealthier customers keep spending while budget-conscious travelers pull back.
The shift is also reaching airlines traditionally built around lower fares. Southwest Airlines (LUV.N) is evaluating products once associated with network carriers, including airport lounges, transoceanic flying and more premium seating. Frontier (ULCC.O) is adding first-class-style seats, while JetBlue (JBLU.O) is expanding its premium offering with airport lounges.
American's 777-300ERs serve long-haul markets including London, Tokyo, Sao Paulo, Buenos Aires and Sydney. The retrofitted aircraft will also offer upgraded inflight entertainment, while members of American's AAdvantage loyalty program will have access to free high-speed Wi-Fi.
American Airlines will match the federal government’s $1,000 contribution to Trump Accounts for eligible employees’ children as part of a new benefit launching in 2027, the carrier confirmed to FOX Business.
The airline will make a one-time $1,000 contribution for each eligible child born between Jan. 1, 2025, and Dec. 31, 2028, who has established a Trump Account and qualifies for the federal government’s $1,000 contribution.
The match applies on a per-child basis, meaning an employee with two qualifying children could receive two $1,000 federal contributions and two additional $1,000 contributions from the airline. The benefit will be available to all U.S.-based American Airlines employees.
American will also allow eligible employees to direct up to $2,500 in pretax earnings each year into their dependent children’s Trump Accounts beginning in 2027.
AMERICAN AIRLINES BETS BIG ON INTERNATIONAL TRAVEL WITH 7 NEW ROUTES
Roughly one-third of American Airlines' workforce has children who qualify for a Trump Account. (Reuters/Sarah Meyssonnier, File / Reuters Photos)
Approximately one-third of American’s workforce has children who would qualify for a Trump Account and could therefore take advantage of the pretax contribution option, according to the airline. American did not provide an estimate of how many employees or children could qualify for the company’s $1,000 matching contribution.
American Airlines Chief People Officer Cole Brown announced the new benefit to employees Monday, telling team members the airline was looking for additional ways to help them build long-term financial security for their families.
"American will support eligible team members who choose to participate in the new Trump Accounts program by matching the federal contribution," Brown said. "For eligible children born between 2025 and 2028 who have established a Trump Account, American will match the federal government's one-time $1,000 contribution with an additional one-time $1,000 contribution of our own."
GOLDMAN SACHS TO CONTRIBUTE $1,000 TO TRUMP ACCOUNTS FOR ELIGIBLE CHILDREN OF EMPLOYEES
American Airlines CEO Robert Isom, left, attends an aircraft unveiling in Dallas. AA announced Monday it will match the federal government’s $1,000 contribution to Trump Accounts for eligible employees. (Juan Figueroa/The Dallas Morning News via Getty Images, File / Getty Images)
The airline said the benefit is part of a broader effort to give employees more ways to save for their children’s futures, alongside benefits including its 401(k) program, healthcare and career development resources.
Ticker Security Last Change Change % AAL AMERICAN AIRLINES GROUP INC. 12.95 -0.48 -3.57% Trump Accounts, also known as 530A accounts, are tax-advantaged investment accounts for children. Eligible children born between 2025 and 2028 can receive a one-time $1,000 federal contribution after an account is established.
Parents, guardians, grandparents and others can contribute up to $5,000 annually to the accounts until the year before the beneficiary turns 18, according to CNBC. The Treasury Department has also proposed regulations that would allow employees to fund dependent children’s accounts with pretax earnings directly from their paychecks.
American Airlines announced the new benefit to employees Monday. (File)
More than 50 companies have committed to contributing to Trump Accounts for their workers in some capacity, according to the U.S. Treasury Department. Goldman Sachs and Morgan Stanley are among the companies that have also offered to match the government’s $1,000 contribution, CNBC reported.
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American said it is working to implement the new benefits and plans to provide employees with additional information about how to participate in the coming weeks.
American Airlines (AAL - Free Report) closed at $13.43 in the latest trading session, marking a -1.54% move from the prior day. The stock's performance was behind the S&P 500's daily loss of 0.33%. Elsewhere, the Dow lost 0.7%, while the tech-heavy Nasdaq lost 0.12%.
Coming into today, shares of the world's largest airline had lost 10.68% in the past month. In that same time, the Transportation sector lost 1.96%, while the S&P 500 gained 3.87%.
The investment community will be paying close attention to the earnings performance of American Airlines in its upcoming release. In that report, analysts expect American Airlines to post earnings of -$0.26 per share. This would mark a year-over-year decline of 52.94%. Meanwhile, our latest consensus estimate is calling for revenue of $16.12 billion, up 17.77% from the prior-year quarter.
AAL's full-year Zacks Consensus Estimates are calling for earnings of -$0.16 per share and revenue of $62.99 billion. These results would represent year-over-year changes of -144.44% and +15.3%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for American Airlines. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 977.7% downward. American Airlines is currently a Zacks Rank #3 (Hold).
The Transportation - Airline industry is part of the Transportation sector. With its current Zacks Industry Rank of 176, this industry ranks in the bottom 29% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
American Airlines announced Thursday it will add seven international routes to its 2027 schedule, with many of those on its Airbus A321XLR planes.
Here are the additions:
Charlotte, North Carolina, to Barcelona, Spain, starting May 27, on a Boeing 777-200ER.Chicago O'Hare International Airport to Tokyo's Narita International Airport, starting March 19, on a Boeing 787-9.New York John F. Kennedy International Airport to Amsterdam, starting March 28, on an Airbus A321XLR.New York JFK to Nice, France, starting May 6, on an Airbus A321XLR.Philadelphia to Porto, Portugal, starting March 28, on an Airbus A321XLR.Philadelphia to Reykjavik, Iceland, starting May 27, on an Airbus A321neo.Philadelphia to Vienna, starting May 6, on an Airbus A321XLR.The carrier is also adding a fourth daily flight between JFK and London Heathrow Airport, on a Boeing 787-9, starting March 28.
The Airbus XLR, which stands for extra long range, has the ability to go up to 4,700 nautical miles. The single-aisle planes are smaller than others in the airline's fleet, like a Boeing 777 or Boeing 787 Dreamliner, which makes them cheaper to operate.
The airline rolled out a new interior and configuration with its inaugural XLR flight last year. It's allocated more space to premium seats — which take up a fifth of the plane — than it has on its other aircraft.
American's plan is to use the XLRs to focus on routes to smaller European cities from its Philadelphia hub or from New York City.
"It really opens up the menu for all these destinations that are just too small for a widebody," American's senior vice president of network and schedule planning, Brian Znotins, told CNBC last year.
The airline said its Vienna route will extend through early January 2028 to draw tourists who are aiming to visit European Christmas markets. That follows a growing trend, as airlines have been adding more capacity in the shoulder seasons and even in the off-peak winter period as travelers opt to fly in the fall and other cooler, cheaper times of the year.
American's announcement comes the same week that United Airlines unveiled its 2027 destinations. United is adding routes to less traditionally popular tourist destinations for U.S. travelers, spanning Ljubljana, Slovenia, to Okinawa, Japan.
United offers more international service than other U.S. airlines.
American has been trying to close a profit gap with rivals United and Delta Air Lines and said earlier this year that its flying is split about 80% domestic versus 20% international.
International flights often carry a high premium compared with domestic routes — and the planes serving them generally have more luxurious seats on board, which can be more profitable for airlines.
American Airlines will fly the Airbus A321XLR to Amsterdam, Nice, Porto and Vienna this summer.
American Airlines
American Airlines unveiled its summer 2027 international schedule on Thursday, saying it will offer three new destinations from its European hub in Philadelphia as well as Charlotte-Barcelona and a fourth daily London flight on its profitable JFK-London Heathrow route.
Four of the new eight new routes will be flown with the Airbus A321XLR, further underscoring the increased use of the narrowbody aircraft, with enhanced premium seating, for transatlantic travel. American, the first airline to fly the aircraft, took its first delivery in October 2025.
The new Philadelphia destinations include Porto, Portugal: Reykjavik, Iceland and Vienna. The March 6th startup to Vienna will represent the only Vienna service offered by a U.S.-based carrier. Porto and Vienna will be served with the 321, while Reykjavik gets a 321neo. American took its first 321XLR delivery in October 2025.
This summer, Philadelphia will operate 22 daily flights to 21 trans-Atlantic destinations.
Vienna service will continue through early January 2028. That will make it “easier than ever to visit magical European Christmas markets,” American said.
American hinted at rising temperatures in Southern Europe, noting that “With ‘coolcations’ on the rise, Iceland has quickly risen in popularity with its breathtaking landscapes coupled with lower average summer temperatures.”
At JFK, American’s fourth daily LHR flight will begin March 28th with a Boeing 787. On peak days, American and joint venture partner British Airways will offer 14 daily departures on the route.
A new JFK route will be Nice, France, which begins on May 6th with an Airbus A321XLR. Also, American will add an A321XLR flight to Amsterdam, a hub for Delta partner KLM, on March 28th.
Meanwhile, Charlotte, growing as a transatlantic hub, will have summer service to nine transatlantic destinations, with 11 daily transatlantic departures including three to London Heathrow. “The airline continues to advance Charlotte’s position on a global scale with its largest trans-Atlantic schedule” from the city, American said.
The new route to Barcelona will be operated with a Boeing 777-200ER, starting May 27. Charlotte becomes American’s sixth gateway to the Barcelona.
In a press release, American called Charlotte “a connection factory.” Besides Barcelona, European destinations will include Athens, Dublin, Frankfurt, London, Madrid, Munich, Paris, and Rome.
American also reiterated on Thursday that it will begin Boeing 787 Chicago-Tokyo service on March 19. The route was announced in July, while Philadelphia-Porto was announced in February.
American will serve Porto and Vienna for the first time ever, while offering flights to Reykjavik for the first time since 2019. “American is growing to offer new destinations and routes, bolstering our premium global route offerings,” said Brian Znotins, senior vice president of network and schedule planning, in a prepared statement.
American’s announcement on Thursday offered some contrasts to United’s Tuesday announcement of new international routes.
United, which has the premier transatlantic hub in Newark, already offers service to Europe’s top airports, so it was able to announce seasonal service to unique secondary markets, including including Marseille and Luxembourg as well as Ibiza and Valencia, Spain; Terceira, Portugal; Ljubljana, Slovenia, and Olbia and Sicily on Italian islands.
United made the most of its new route announcements on Tuesday, offering a media event at the Newark hub, preceded by an embargoed Monday press conference. It highlighted its September introduction of the A321XLR, which American already flies, as well as its ability to serve the second-tier markets.
United does not serve Vienna because it prefers to let Austrian Airlines, a subsidiary of joint venture partner Lufthansa, operate the EWR-VIE flight.
Delta and United soared while American Airlines sank, and now a rejected merger offer has left the carrier fighting a turnaround battle with no clear timeline and a balance sheet still deep in the red.
Five years after the pandemic bottom, American Airlines (NASDAQ:AAL | AAL Price Prediction) is down 30.5% over five years and down 61.8% over ten. Delta Air Lines (NYSE:DAL) is up 103.8% over five years and 130.2% over ten. United Airlines (NASDAQ:UAL) is up 144.3% and 145.0% over the same windows. American’s market cap is roughly $9.2 billion, compared with $54.6 billion at Delta and $37.3 billion at United.
Same Fuel Bill, Very Different Outcomes All three carriers absorbed the same fuel shock. American’s Q2 2026 fuel expense jumped 83.3% year over year to $4.881 billion, compressing operating margin to 2.7% from 7.9%. Delta, absorbing what CEO Ed Bastian called “the highest quarterly fuel expense in our history,” still delivered a 9% operating margin and $1.56 EPS. United posted $10.79 in trailing EPS. American’s full-year 2026 adjusted EPS guidance was reset to a loss of $0.65 to a profit of $0.65.
What Would Have to Change Chief Financial Officer Devon May named the scorecard on the Q2 call: “What we will measure over time is: Are we closing this revenue gap and closing the unit revenue gap?” CEO Robert Isom told CNBC the “long-range plan is certainly making up the margin gap,” but offered no timeline.
Premium mix. American runs roughly 80% domestic, 20% international, and a long-haul lie-flat seat can fetch close to $10,000 versus $2,000 or less in the back. Delta had a two-decade head start selling first class instead of giving away about 90% of domestic first-class seats as upgrades. Fleet. A new wide-body order is on the table this year. Isom told CNBC, “I think that Airbus could play a big role.” Deliveries would arrive early to mid next decade. Operations. American ranked 6th of 11 U.S. airlines on first-half punctuality at 76.6%, behind Delta and United. DFW rebanking already cut misconnects nearly 25% year over year. Loyalty. Citi co-brand spend rose 8% year over year, while Delta’s Amex partnership is targeted at $9 billion this year. Balance sheet. Debt was cut from roughly $54 billion at the pandemic peak to about $35 billion, with shareholder equity still at negative $3.972 billion. Merger Talk and Antitrust Reality Allied Pilots Association spokesman Dennis Tajer put it plainly: “They’re a giant, with a limp.” United’s Scott Kirby floated a merger in 2026; American rejected talks in April 2026. Isom said he and his advisors saw “no chance of this happening” on antitrust grounds. Cranky Flier’s Brett Snyder framed United’s calculus: “Why buy the cow if you’re getting the milk for free?”
Analyst Split and Verdict Analysts are split on American but far more positive on its rivals. Its $18.59 consensus target signals less upside potential than analysts see for United.
Debt is falling and analyst estimates put adjusted EPS at about $0.05 this year and roughly $2.39 in 2027. Debt levels remain manageable, though the cushion is thinner than at Delta or United.
Four things to watch:
The wide-body order decision The unit revenue gap the CFO named The on-time rate Debt continuing to decline Contact [email protected] for any questions or corrections.
American Airlines is upgrading its onboard snack experience, adding a new lineup of in-flight options for passengers in the main cabin.
The new sweet and savory treats debut on select routes starting this fall, giving customers more options on flights throughout the day.
Beginning in early October, passengers on morning flights will wake up to the smell of Lavazza coffee to drink alongside new Tate’s Bake Shop chocolate chip cookies.
Kids and savory snackers can choose from Goldfish crackers or Peterson’s savory and sweet snack mix throughout the day.
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Passengers are seeking more choiceThe changes come as American Airlines has been focusing on “elevating” the in-flight experience.
The updates build on other recent premium dining perks, such as the company’s centennial-inspired menus and new California wines. Customers are also encouraged to offer feedback.
To that end, snacks will rotate over time, according to customer feedback and preferences, so fliers can look forward to more choices in 2027.
American Airlines will outfit its narrow-body jets with more premium seats and entertainment screens, the company announced Tuesday — a major strategic bet on high-spending travelers aimed at narrowing the earnings gap with Delta Air Lines and United Airlines.
American Airlines CEO Robert Isom has ramped up amenities on its flights to compete more aggressively for premium revenue — acknowledging the significant gap between American’s performance and where it should be compared to competitors Delta and United.
“The integration of seatback screens and the addition of premium seating represent the latest milestones in American’s ongoing investments to modernize the end-to-end travel experience on the ground and in the air,” the carrier said in a statement.
American Airlines announced a fleetwide upgrade with the installation of seatback screens at every seat and increased premium seats across its narrow-body fleet. American Airlines The airline will reconfigure its fleet to expand premium seating from 25% to 40% of each plane’s total capacity, adding first-class and extra-legroom seats as aircraft are updated.
American also plans to add seatback screens to more than 800 narrow-body aircraft, with retrofits beginning in 2028 and wrapping up in the early 2030s.
Newly delivered Airbus and Boeing aircraft with screens pre-installed will be rotated into American’s fleet starting in 2028.
American already operates more than 140 wide-body and Airbus A321XLR aircraft equipped with seatback screens.
The carrier declined to disclose the cost of the fleet upgrade.
The airline will reconfigure its fleet to expand premium seating from 25% to 40% of each plane’s total capacity, adding first-class and extra-legroom seats as aircraft are updated. American Airlines At American, premium travelers generated nearly half of ticketed revenue in the second quarter while accounting for just 30% of seats.
Still, the airline lags behind Delta and United in profitability, putting pressure on Isom to show that his amenity-based strategy can push American forward.
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Nearly a decade ago, American had bet on the fact that passengers would watch movies and television shows on their personal devices, and not in-flight entertainment.
The project — called “Project Oasis” — increased cabin density and shrank on-flight restrooms, according to the Wall Street Journal.
However, customer preferences have since reversed, with American acknowledging that travelers — particularly younger demographics — prefer larger seatback displays alongside personal devices paired with high-speed Wi-Fi for a fully connected flight experience.
American is revamping its seating with more tech and more premium seating options. Robert Alexander/Getty Images For years, American Airlines bet that travelers would rather watch in-flight movies on their own phones or tablets.
No more.
On Tuesday, the airline said it plans to install seatback entertainment screens on around 800 single-aisle jets. New Airbus and Boeing jets with the screens will begin arriving in 2028, with retrofits on its existing planes starting the same year and continuing into the early 2030s.
American said the screens will have built-in movies, television shows, games, and music content. They'll also include Bluetooth connectivity, so passengers won't have to rely on those cheap wired headphones handed out before takeoff.
The move reverses a strategy American embraced nearly a decade ago, when it began moving away from seatback screens and instead offered entertainment that passengers could stream on their own devices. The company told Business Insider it's adjusting the in-flight entertainment after customer preferences evolved.
"In the years since, and particularly following COVID, it has become increasingly clear that customers, especially younger generations, value having access to multiple devices and larger screens throughout their journey," a spokesperson said.
The company added that high-tech satellites in low-earth orbit have also "changed what is possible onboard." American already offers free WiFi to AAdvantage members, sponsored by AT&T, and plans to begin installing SpaceX's Starlink service on more than 500 narrow-body aircraft in 2027.
The airline said combining faster connectivity with seatback screens and passengers' personal devices could create new opportunities for both the customer experience and revenue.
Premium gets a higher priority
American is allotting more room for its premium seats. : Jeffrey Greenberg/Universal Images Group via Getty Images American is also making more room for premium passengers. About 25% of seats on its narrow-body departures are premium today, a figure the airline says will rise to roughly 40% "in the coming years."
That continues a trend across the airline industry as more affluent travelers stretch their legs and order cheese boards during their flights.
Delta's premium products generated $6.92 billion in revenue in the second quarter, up 17% from a year earlier. For the first time, Delta's premium revenue surpassed its main-cabin revenue. United's revenue from premium seats was also up 16% during the last quarter.
American Airlines is no different.
The company — which has lagged Delta and United in profitability as the industry has chased higher-spending travelers — has revamped its high-end offerings, partnering with brands such as Champagne Bollinger and Lavazza coffee. It's also adding more cushy in-airport lounges at the Dallas-Fort Worth and New York JFK International airports.
"Our premium traffic continues to outpace the rest of the business," chief financial officer Nat Pieper said on the airline's most recent earnings call. "That's demand that's more likely to hold up through economic uncertainty. We're making investments in premium in terms of taking new deliveries with richer configurations."
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Ben Shimkus You're currently following this author! Want to unfollow? Unsubscribe via the link in your email.
Ben Shimkus is a reporter for the Business News desk. He writes about cars, transportation, retail, and jobs. Ben's reporting has appeared in Rolling Stone, The Verge, Automotive News, USA Today, AutoBody News, LGBTQ Nation, TopSpeed, and Out Magazine. He's also held staff writing positions at The U.S. Sun and the Daily Mail. He graduated from NYU with a Master's in journalism in 2024. Email Ben at [email protected] or message him privately on Signal at bshimkus.41.
American Airlines is finally giving a green light to seatback screens as the carrier works to close a profit gap with rivals Delta Air Lines and United Airlines. But customers will have to wait a little while.
The new screens, which will feature 4K displays, will start appearing with new deliveries from Boeing and Airbus in 2028. The airline will also retrofit aircraft so passengers in all cabins will be able to use the screens and other additions like Bluetooth audio pairing and USB-C charging.
American has been "seriously considering" the technology, along with a major cabin revamp, for months. The company had long eschewed seatback screens, with executives contending that it wasn't worth the cost of equipment and weight they added to the aircraft and saying they expected flyers to use their own devices for entertainment.
"The technology has advanced so much from when we made this decision more than a decade ago," Chief Customer Officer Heather Garboden said in an interview. "Ultimately, when you have customer preference and customer satisfaction improvements, that also generates revenue."
She declined to say how much American is spending on the initiative but said the installations should be complete in the early 2030s.
On Tuesday, American announced that its revamp will include more first-class seats on its Airbus A321neos and its Boeing 737 Max 10s, though deliveries of the latter are still several years away. American is also adding more extra legroom seats across its fleet.
Those premium seats can be double the price of a coach ticket or more. For example, a round-trip ticket from New York's John F. Kennedy International Airport to Dallas Fort Worth International Airport was going for $447 in coach and $1,161 in first class.
American CEO Robert Isom told CNBC in June that he and his team are working to close the profit gap with its large airline competitors, through more premium seats, plush lounges and improving the airline's network. He said American is also planning to refurbish its Boeing 787-8 Dreamliners with the carrier's new business-class suites, and add more of them. The carrier is also in the market for new wide-body planes and has been evaluating options from Boeing and Airbus.
American reported a profit of $71 million for the second quarter, compared with United's $805 million and Delta's $1.6 billion in the same period.
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American Airlines said on Tuesday it would add more premium seats and restore seatback entertainment screens on its narrowbody jets, stepping up its bet on higher-spending travelers as it tries to narrow a wide profit gap with Delta Air Lines and United Airlines.
Heather Garboden, American Airlines chief customer officer, speaks to Chicago employees in February.
Norvell's Photography
American Airlines, now rushing to reassert its status as a premium airline, says it will move to install seatback screens at every seat and to boost its premium seating.
In both categories, American will seek to catch up with Delta and United, which do not tire of calling themselves the two premium U.S. airlines.
“We’re making one of the most significant investments in the onboard experience in our history,” said Heather Garboden, American’s chief customer officer, in a prepared statement. The amount of the investment was not disclosed.
“These enhancements will give our customers more ways to relax, stay connected and enjoy their journey,” she said.
American is essentially conceding that it made a mistake when it began to remove seatback screens in 2017 as part of an effort to reduce weight on its aircraft. It assumed that passengers would be satisfied with personal device screens they brought on board. The decision seemed to symbolize American’s effort to focus on lower costs rather than passenger experience.
It took a while , but American has changed course.
The carrier said Tuesday that it will install state-of-the-art seatback screens on all new Airbus and Boeing narrowbody aircraft deliveries starting in 2028, as well as on existing aircraft, which are being retrofitted with more higher legroom seats as well as the screens. American already has seatback screens in about 140 widebody aircraft.
The new screens will be “among the largest displays offered on narrow body aircraft in North America” and will offer “stunning picture quality, seamless connectivity and will enable new personalized content” the carrier said. It will “roll out the new displays as quickly as possible with full fleet installation expected to be complete by early next decade.”
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As for higher legroom/premium seats, American said that “in the coming years,” it will increase their number on its narrowbody aircraft to 40% from 25%.
The Airbus A319s and A320 fleets are currently being retrofitted and the A321 neo fleet will then be retrofitted. Upcoming deliveries of Boeing 737 MAX 10 aircraft will have 24 first class seats.
Of course, Delta and United have similar efforts underway, and they are ahead of American because they started sooner.
Garboden took over as American Airlines senior vice president/chief customer officer in February 2025. Last week, she was promoted to be one of 13 members on American’s senior leadership team.
Garboden presided over a partnership with AT&T announced in April 2025. The companies agreed to provide free, high-speed inflight Wi-Fi for American Advantage members starting in January 2026. “That was not in the works before I got there,” she acknowledged in a Forbes story in April 2026.
Asked at the time whether American would add seatback screens, she said “Stay tuned.”
During Garboden’s 17 months in her role, American has also rolled out better coffee and better champagne, more airport clubs and lounges, and improved bedding on premium seating to London. These upgrades are also in keeping with industry trends, but American was once perceived to be behind others.
Bank of America Corp DE increased its stake in American Airlines Group Inc. (NASDAQ:AAL – Free Report) by 39.0% in the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 2,165,162 shares of the airline’s stock after purchasing an additional 608,049 shares during the period. Bank of America Corp DE owned 0.33% of American Airlines Group worth $23,254,000 as of its most recent filing with the Securities & Exchange Commission.
Several other large investors also recently bought and sold shares of the stock. South Dakota Investment Council purchased a new stake in shares of American Airlines Group during the first quarter valued at $243,000. Amundi purchased a new position in shares of American Airlines Group in the first quarter worth about $496,000. California State Teachers Retirement System raised its stake in shares of American Airlines Group by 19.0% in the first quarter. California State Teachers Retirement System now owns 216,876 shares of the airline’s stock worth $2,329,000 after purchasing an additional 34,698 shares during the last quarter. Empowered Funds LLC lifted its holdings in shares of American Airlines Group by 47.4% during the first quarter. Empowered Funds LLC now owns 27,558 shares of the airline’s stock worth $296,000 after purchasing an additional 8,859 shares during the period. Finally, Saba Capital Management L.P. purchased a new stake in American Airlines Group in the first quarter valued at approximately $803,000. Hedge funds and other institutional investors own 52.44% of the company’s stock.
Insider Buying and Selling In related news, SVP Angela Owens sold 40,077 shares of the business’s stock in a transaction on Friday, July 31st. The shares were sold at an average price of $15.26, for a total value of $611,575.02. Following the completion of the sale, the senior vice president owned 178,799 shares of the company’s stock, valued at approximately $2,728,472.74. The trade was a 18.31% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, COO David Seymour sold 69,343 shares of the company’s stock in a transaction on Wednesday, June 24th. The stock was sold at an average price of $17.00, for a total transaction of $1,178,831.00. Following the transaction, the chief operating officer owned 1,025,489 shares of the company’s stock, valued at $17,433,313. This represents a 6.33% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 205,044 shares of company stock worth $3,407,451 in the last quarter. Insiders own 0.70% of the company’s stock.
Wall Street Analyst Weigh In A number of research firms have recently weighed in on AAL. Zacks Research upgraded shares of American Airlines Group from a “hold” rating to a “strong-buy” rating in a research note on Thursday, July 23rd. JPMorgan Chase & Co. boosted their target price on shares of American Airlines Group from $22.00 to $24.00 and gave the company an “overweight” rating in a research report on Friday, July 24th. Morgan Stanley upped their price target on shares of American Airlines Group from $20.00 to $24.00 and gave the company an “overweight” rating in a report on Monday, June 1st. Jefferies Financial Group increased their price target on American Airlines Group from $15.00 to $16.00 and gave the stock a “hold” rating in a research report on Wednesday, June 24th. Finally, UBS Group reduced their price objective on American Airlines Group from $21.00 to $18.00 and set a “buy” rating for the company in a research note on Monday, July 27th. One investment analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, ten have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of “Hold” and a consensus target price of $19.03. Check Out Our Latest Analysis on AAL
American Airlines Group Price Performance AAL opened at $14.43 on Tuesday. The firm has a fifty day moving average price of $15.89 and a 200 day moving average price of $13.71. American Airlines Group Inc. has a 1 year low of $10.09 and a 1 year high of $18.79. The stock has a market cap of $9.55 billion, a P/E ratio of -29.45 and a beta of 1.34.
American Airlines Group (NASDAQ:AAL – Get Free Report) last released its quarterly earnings data on Thursday, July 23rd. The airline reported $0.15 earnings per share for the quarter, beating analysts’ consensus estimates of $0.03 by $0.12. The company had revenue of $16.73 billion during the quarter, compared to analysts’ expectations of $16.70 billion. American Airlines Group had a negative net margin of 0.56% and a negative return on equity of 9.11%. The firm’s revenue for the quarter was up 16.3% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.95 earnings per share. American Airlines Group has set its Q3 2026 guidance at -0.700–0.100 EPS and its FY 2026 guidance at -0.650-0.650 EPS. Equities analysts expect that American Airlines Group Inc. will post 0.03 EPS for the current year.
(Free Report)
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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Key Takeaways American Airlines used Infinium's eSAF on a commercial flight without aircraft or airport modifications Infinium's eSAF can cut lifecycle GHG emissions by more than 90% versus petroleum-based jet fuel. Project Roadrunner could provide AAAL with commercial-scale eSAF production & deliveries from 2027. American Airlines’ (AAL - Free Report) latest eSAF milestone marks a significant step in the commercial adoption of next-generation sustainable aviation fuel. The successful use of Infinium’s eSAF on a commercial passenger flight demonstrates that fuel produced from waste carbon dioxide and renewable electricity can be blended with conventional jet fuel and used within existing aircraft and airport infrastructure without modifications.
The development is particularly encouraging for AAL as the airline seeks to expand its access to lower-carbon fuel solutions. Infinium’s eSAF can reduce lifecycle greenhouse gas emissions by more than 90% versus conventional petroleum-based jet fuel. Project Roadrunner is expected to begin production and deliveries in 2027, providing Americans with a potential source of commercial-scale eSAF.
However, the broader impact will depend on the ability to scale production and make SAF more cost-competitive. With SAF currently accounting for less than 1% of global jet fuel consumption, increasing supply remains a key challenge for the aviation industry. AAL’s offtake agreement with Infinium and the development of Project Roadrunner could help strengthen its long-term sustainable fuel strategy.
Overall, the milestone is a positive development for American Airlines, supporting its decarbonization efforts and potentially improving its access to lower-carbon fuel as eSAF production scales. While the near-term financial impact is likely limited, greater availability of SAF could support the airline’s long-term environmental goals and competitiveness as pressure to reduce aviation emissions increases.
AAL’s Share Price PerformanceAAL’s shares have gained 14.4% over the past year compared with the Transportation - Airline industry’s 9.9% growth.
Image Source: Zacks Investment Research
AAL’s Zacks RankAAL currently carries a Zacks Rank of #3 (Hold).
Stocks to ConsiderInvestors interested in the Zacks Transportation sector may consider Expeditors International of Washington, Inc. (EXPD - Free Report) and LATAM Airlines Group (LTM - Free Report) as well.
Expeditors currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
EXPD has an expected earnings growth rate of 28.6% for 2026. The company has an encouraging earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 17.15%.
LATAM Airlines currently sports a Zacks Rank #1.
LTM has an expected earnings growth rate of 10.3% for the current year. The company has an encouraging earnings surprise history. Its earnings topped the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 97.9%.
, /PRNewswire/ -- Stand Up To Cancer (SU2C) and American Airlines today launched their annual campaign to raise funds for innovative and lifesaving cancer research.
The six-week campaign, "Let's Go Further, Together," launches Aug. 13 and features award-winning actress Lily Collins, SU2C researchers and American's team members — each with their own meaningful cancer story — in a critical public service announcement about coming together to end cancer once and for all.
From Aug. 13. to Sept. 30, 2026, donors who give $25 or more to SU2C online at SU2C.org/AmericanAirlines will earn 25 AAdvantage® bonus miles for every dollar donated. And thanks to the generous support of Mastercard, those who use their AAdvantage® Mastercard® credit card to donate between $25 and $10,000 online will receive 50 bonus miles for every dollar donated until Sept. 30, 2026, or when total qualifying donations reach $5 million, whichever comes first.*
"We are proud to celebrate 10 years of our partnership with Stand Up To Cancer, but we know there is still work to be done to eradicate cancer forever," said American's Director of Partnerships and Community Griffin Gonzalez. "Our commitment to caring for people on life's journey means supporting team members, customers and communities through their most challenging moments — including a cancer diagnosis."
SU2C, established in 2008, enables scientific breakthroughs by funding collaborative, multidisciplinary, multi-institutional scientific cancer research teams and investigators. Since joining forces with SU2C in 2016, American has raised more than $34 million in support of the mission.
"Cancer is a journey that no one should have to face alone," said Co-Founder of SU2C Rusty Robertson. "Through our collaboration with American Airlines, Stand Up To Cancer is proud to share inspiring stories that demonstrate the difference we can make when we all stand together. We're deeply thankful to Lily Collins for helping to bring this campaign to life, and to American and its customers, whose generous contributions are helping empower world-class researchers to accelerate discoveries and bring lifesaving treatments to patients."
In 2019, American unveiled a specially designed Airbus A321 aircraft featuring SU2C livery and the names of loved ones honored by customers and team members impacted by the disease. This powerful tribute is still flying today and serves as a constant reminder of those who inspire this mission every day.
"I'm incredibly grateful and proud to be part of this campaign with Stand Up To Cancer and American Airlines," said award winning actress Lily Collins. "Cancer has touched so many lives, and it's inspiring to come together in support of the researchers, patients, families and communities working toward a future without this disease. Every conversation, every donation and every act of generosity brings us one step closer to making a meaningful difference. It's an honor to lend my voice to a cause that gives so many people hope."
Learn more about how to donate at SU2C.org/AmericanAirlines.
*Terms and conditions apply
About American Airlines Group (NASDAQ: AAL)
American Airlines is a premium global airline connecting more of the U.S. to the world. With roots tracing back to an air mail carrier in the Midwestern United States in 1926, American now operates more than 6,000 daily flights to more than 350 destinations in more than 60 countries and serves more than 200 million customers annually. Powered by a proud and talented team of 130,000 aviation professionals, American's team lives out the airline's purpose of caring for people on life's journey every day.
The world's largest airline proudly celebrates its centennial year in 2026, reaching a milestone that reflects a century of innovation and the Forever ForwardSM spirit that changed the industry and the world. American introduced the first scheduled air cargo service, the first airport lounge and the first airline loyalty program and continues to reinvent the customer experience today. The airline is also a founding member of the oneworld alliance, whose members serve more than 900 destinations around the globe.
Get the latest about American at news.aa.com and @AmericanAir.
About Stand Up To Cancer
Stand Up To Cancer® (SU2C) raises awareness and funds research to detect and treat cancers with the aspiration to cure all patients. SU2C is a 501(c)(3) charitable organization and was initially launched as a division of the Entertainment Industry Foundation.
Established in 2008 by media and entertainment leaders, SU2C utilizes these communities' resources to engage the public in supporting a new, collaborative model of cancer research, to increase awareness about cancer prevention, and to highlight progress being made in the fight against the disease. As of April 2025, more than 3,100 scientists representing more than 210 institutions are involved in SU2C-funded research projects.
The American Association for Cancer Research (AACR) is SU2C's scientific partner. A Scientific Advisory Committee, led by William G. Nelson, M.D., Ph.D., conducts rigorous competitive review processes to identify the best research proposals to recommend for funding, oversee grants administration, and provide expert review of research progress.
Current members of the SU2C Founders and Advisors Committee (FAC) include Katie Couric, Sherry Lansing, Kathleen Lobb, Lisa Paulsen, Rusty Robertson, Sue Schwartz, Pamela Oas Williams, and Ellen Ziffren. The late Laura Ziskin and the late Noreen Fraser are also co-founders. Julian Adams, Ph.D., serves as SU2C's president and CEO.
For more information visit StandUpToCancer.org, Instagram, TikTok, X, Facebook, and YouTube.
SOURCE Stand Up To Cancer, a division of the Entertainment Industry Foundation
American Airlines CEO Robert Isom, speaks at the U.S. Chamber of Commerce's aviation summit in Washington in 2023. (Photo by Kevin Dietsch)
Getty Images
American Airlines, under pressure to match the financial results of its two key competitors, has announced a management shakeup.
Four executives have joined the senior leadership team, while three others are departing.
The changes were announced Monday in a letter to officers from American CEO Robert Isom, who wrote that “American is entering a defining moment.
“I recognize that there is a meaningful gap between where we are today and where we know American can – and should – be,” Isom wrote. “To close that gap, we must improve performance where it matters most: delivering a better experience for customers, running a more reliable operation, strengthening engagement with our team members and generating stronger business results”
The four new members of the senior management team are Heather Garboden, JC Gulbranson, Caroline Clayton and Steve Neuman.
Departing executives are Kevin Brickner, Ron DeFeo and Nate Gatten.
Among the changes described in the letter, the responsibilities of Nat Pieper, currently chief commercial officer, will expand to include marketing, brand, advertising, and partnerships, Garboden, chief customer officer, will now report directly to Pieper. Also, Garboden’s role will expand to include reservations, contact centers, service recovery and catering.
In an effort to boost reliability, Gulbranson’s role will expand to include responsibility for airports and planning in addition to flight, inflight and the integrated operations center, which will remain under David Seymour's leadership.
Clayton will assume responsibility for communications and Neuman will oversee Government Affairs, Sustainability evolution.
As for departures, Brickner, retiring as senior vice president of technical operations, is a veteran of predecessor airline US Airways, which he joined in 1996 in Pittsburgh. DeFeo is departing as executive Vice President, communications and marketing and chief communications officer. Gatten had been executive vice president of American Eagle, corporate real estate and government affairs.
CFO Devon May will now oversee corporate real estate, while regional operations led by Brandon Kahle will fall under Seymour.
Key Takeaways American Airlines operated its first commercial flight powered by eSAF from Corpus Christi to DFW. Infinium's eSAF can cut lifecycle GHG emissions by more than 90% versus conventional jet fuel. AAL secured an offtake deal for Project Roadrunner, expected to deliver eSAF starting in 2027. American Airlines’ (AAL - Free Report) first commercial passenger flight powered by eSAF (electro-sustainable aviation fuel) marks a significant step in its efforts to advance sustainable aviation. The flight, operated from Corpus Christi to Dallas Fort Worth, demonstrates that Infinium’s eSAF, produced from waste carbon dioxide and renewable electricity, can be blended with conventional jet fuel and used in existing aircraft and fueling infrastructure without modifications.
The milestone strengthens America’s position in adopting next-generation SAF and could support its long-term efforts to reduce carbon emissions. Infinium’s eSAF can lower lifecycle GHG (Greenhouse Gas) emissions by more than 90% compared to conventional jet fuel, while the use of drop-in fuels reduces the need for changes to aircraft or airport infrastructure.
More importantly, American has secured an offtake agreement for commercial volumes from Infinium’s Project Roadrunner, which is expected to begin eSAF production and deliveries in 2027 and produce more than 5 million gallons annually at full capacity. This provides Americans with a potential source of lower-carbon fuel as SAF adoption expands, although the limited scale and currently higher production costs of alternative fuels remain challenges to widespread deployment.
Overall, the development is positive for America as it advances its sustainability strategy, diversifies its fuel supply and gains experience with eSAF ahead of broader commercial availability. However, the near-term financial impact is likely to remain limited given the small scale of eSAF production relative to the airline industry’s overall fuel requirements.
AAL’s Share Price PerformanceAAL’s shares have gained 37.6% over the past year compared with the Transportation - Airline industry’s 24% growth.
Image Source: Zacks Investment Research
AAL’s Zacks RankAAL currently carries a Zacks Rank #3 (Hold).
Stocks to ConsiderInvestors interested in the Zacks Transportation sector may consider Expeditors International of Washington, Inc. (EXPD - Free Report) and Teekay Tankers Ltd (TNK - Free Report) as well.
Expeditors currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
EXPD has an expected earnings growth rate of 28.6% for 2026. The company has an encouraging earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 17.15%.
Teekay Tankers currently carries a Zacks Rank #2 (Buy).
TNK has an expected earnings growth rate of more than 100% for the current year. The company has an encouraging earnings surprise history. Its earnings topped the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 10.9%.
American Airlines is making it harder for frequent elite flyers to receive complimentary upgrades from economy to business class. DCA American Airlines is making it harder for its most loyal customers to score one of its most coveted perks.
American Airlines said on Thursday that beginning August 25, elite AAdvantage members traveling on several of American's longest domestic routes, including select transcontinental flights and trips to Hawaii, will no longer receive complimentary upgrades from economy to business class.
Instead, eligible travelers will be upgraded to premium economy when seats are available.
The move also affects routes including New York to Los Angeles; Boston to San Francisco; Dallas-Fort Worth to Honolulu, Kona, and Maui; Phoenix to Honolulu; and Chicago to Honolulu and Maui.
"As American Airlines expands its offering of Premium Economy on more domestic routes," a spokesperson of American Airlines told Business Insider. "We are streamlining our complimentary upgrade process to deliver a more consistent customer experience."
According to the airline, elite travelers who purchase a premium economy fare or pay to upgrade from economy to premium economy will still be eligible for a complimentary upgrade to business class.
The policy change reflects a broader trend across the airline industry as carriers look to protect revenue from their highest-priced cabins. Delta in 2025 has changed its loyalty program to reward customers who pay for higher fare types, while United is betting on selling more premium seats by expanding its high-end cabins.
Zach Griff, a travel and aviation expert, called the rollback in frequent flyer benefits "bad news" in a post on X.
"Delta will become the lone holdout to still allow space-available elite upgrades from economy to Delta One," Griff said on Thursday. "United doesn't allow complimentary upgrades on routes with Polaris cabins."
Gary Leff, a points expert and author of the aviation blog View from the Wing, wrote in a blog post on Thursday that American Airlines seems to "systematically be squeezing out areas" where they are likely missing out on revenue."
"I think this is broadly fine, although it's clearly less value to status members who have been jumping from coach to business class," Leff said. "To fly business with an upgrade you'll need to first be in the premium economy cabin which costs more."
"I largely expected American to do this not just with domestic upgrades but with systemwide upgrades and for long haul international flights — about seven years ago," Leff added.
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On August 06, 2026, American Airlines Group Inc (AAL) shares fell 3.3% to a current price of $16.03, moving within a 52-week range of $10.09 to $18.79. The stoc
American Airlines elite frequent flyers have to say goodbye to the free coach-to-business leap on several long-haul domestic routes.
Starting Aug. 25, American said it will stop putting frequent flyers with elite status on the upgrade list for business class on some of its transcontinental and Hawaii routes. They'll be put on the list for a complimentary upgrade to premium economy instead.
The change is the latest sign of how American and other airlines are working to give fewer high-fare seats away to increase revenue and profits. Getting an upgrade overall has become tougher on many flights with more and more customers paying up for pricier, roomier seats.
Routes that include the upgrade to premium economy instead of business class are New York's John F. Kennedy International Airport to Los Angeles; Boston to San Francisco; Dallas Fort Worth International Airport to Honolulu, Kona and Maui in Hawaii; Phoenix to Honolulu; and Chicago O'Hare International Airport to Honolulu and Maui.
Elite flyers who bought a premium economy ticket or purchased an upgrade after buying a coach ticket are still eligible for the complimentary upgrade, American said.
"We'll do our best to accommodate your seating preferences, though options may vary depending on aircraft type and availability," American said. "In Premium Economy, some aircraft types include middle seats, so you may be assigned one if other seating options aren't available."
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Milestone flight demonstrates real-world deployment of ultra-low carbon electrofuels produced at Project Pathfinder from waste CO₂ and renewable energy.
, /PRNewswire/ -- American Airlines and Infinium today announced its first delivery of electro sustainable aviation fuel (eSAF) to a commercial airport for use in a commercial passenger flight, marking a major milestone in the decarbonization of aviation. The eSAF was allocated to an American flight that departed Corpus Christi International Airport (CRP) and landed at Dallas Fort Worth International Airport (DFW), demonstrating the real-world deployment of next-generation, drop-in sustainable aviation fuel.
American Airlines and Infinium advance aviation with commercial deployment of electro sustainable aviation fuel. The eSAF used for the flight was part of a batch produced and blended at Infinium's Pathfinder facility in Corpus Christi, Texas — the world's first commercial-scale power-to-liquids eFuels production site, which has been operating since 2023. The eSAF batch was blended with conventional jet fuel and tested to meet the ASTM International specification for JetA, certifying its use in today's aircraft engines and fueling infrastructure without further modification. It was then delivered to the common jet fuel tanks at CRP before being allocated to American's flight to DFW — the first delivery of SAF made without biobased feedstocks to a commercial airport in the U.S. The flight demonstrates the compatibility of eSAF with existing aviation jet fuel supply chains.
Infinium's eSAF is made using waste CO₂ and renewable electricity, delivering a meaningful reduction in lifecycle greenhouse gas (GHG) emissions compared to conventional jet fuel. Infinium's eSAF can reduce lifecycle GHG emissions by over 90% compared to conventional petroleum-based jet fuel.
"Since 2023, we have been producing scalable, drop-in eDiesel and eNaphtha at our Pathfinder facility from waste carbon and renewable energy for use in commercial trucks and plastics processing," said Infinium CEO Robert Schuetzle. "Adding eSAF to our product slate — and seeing it power a commercial passenger flight — marks another meaningful step forward in bringing practical, low-carbon fuel solutions to industry."
American Airlines, a leader in advancing sustainable aviation fuel adoption, is working across the value chain to accelerate deployment of low-carbon aviation solutions. The airline has an offtake agreement for commercial volumes of eSAF from Infinium's Project Roadrunner, supported in part by a separate agreement with Citi to enable Scope 3 emissions reductions from employee travel. These partnerships reinforce the collaboration needed to scale next-generation fuels. Project Roadrunner, financed by Breakthrough Energy Catalyst and Brookfield Asset Management, with nonrecourse project debt from HSBC, is currently under construction and expected to begin eSAF production and deliveries in 2027. Once it reaches full capacity, Project Roadrunner is expected to produce over 5 million gallons of eSAF annually.
"This flight represents a significant moment for aviation," said American's CEO Robert Isom. "Through our partnership with Infinium, we're demonstrating how next generation technologies like eSAF can move from early investment to real-world application. Scaling SAF production at lower prices is essential to reducing emissions, strengthening our long-term competitiveness, and continuing to deliver the connectivity and economic benefits that our customers rely on."
Aviation currently consumes nearly 100 billion gallons of jet fuel annually, with global air travel exceeding 4 billion passengers per year. Despite growing momentum, sustainable aviation fuel accounts for less than 1% of total jet fuel use worldwide. Scalable, drop-in fuels like eSAF offer one of the most near-term and practical solutions for reducing aviation emissions. Scaling eSAF also strengthens energy security by diversifying aviation fuel supply, helping create a more resilient system.
"This first-of-its-kind eSAF flight from American Airlines and Infinium is an important step for lower carbon aviation and we are proud to support this effort with our long-time partner," said Citi Head of Enterprise Services and Public Affairs Edward Skyler. "Given the potential SAF has on reducing emissions, we look forward to efforts to scale its production."
Today's flight marks a transition from innovation to implementation, signaling a new phase in scaling viable, low-carbon alternatives to conventional jet fuel and advancing the future of sustainable flight.
"South Texas has long been an energy leader, and today's sustainable aviation fuel announcement shows how our region continues to innovate," said Congressman Vicente Gonzalez (TX 34). "The work Infinium and American are doing in Corpus Christi strengthens our local economy while advancing our nation's energy security. We need to continue investing in domestic energy production to help create American jobs and reduce our reliance on foreign energy sources."
About American Airlines Group (NASDAQ: AAL)
American Airlines is a premium global airline connecting more of the U.S. to the world. With roots tracing back to an air mail carrier in the Midwestern United States in 1926, American now operates more than 6,000 daily flights to more than 350 destinations in more than 60 countries and serves more than 200 million customers annually. Powered by a proud and talented team of 130,000 aviation professionals, American's team lives out the airline's purpose of caring for people on life's journey every day.
The world's largest airline proudly celebrates its centennial year in 2026, reaching a milestone that reflects a century of innovation and the Forever Forward℠ spirit that changed the industry and the world. American introduced the first scheduled air cargo service, the first airport lounge and the first airline loyalty program and continues to reinvent the customer experience today. The airline is also a founding member of the oneworld alliance, whose members serve more than 900 destinations around the globe.
Get the latest about American at news.aa.com and @AmericanAir.
About Infinium
Infinium is reimagining how the world powers, moves, and computes. Through Infinium Energy™, the company transforms waste carbon into ultra-low carbon eFuels that decarbonize aviation, industry, and transport. Through Infinium Edge™, Infinium advances next-generation thermal infrastructure for data centers, removing heat as a constraint to enable more efficient, high-performance computing. Grounded in deep chemistry and energy systems expertise, Infinium's platforms turn carbon and heat from limits into opportunities. Learn more at https://www.infiniumco.com/.
American Airlines, Citi and Mastercard today announced updates to the Citi / AAdvantage Executive World Legend MastercardÂ, introducing new and enhanced pr
Mourners at the funeral of Rabbi Eli Schlanger approach the vehicle carrying his body following his Dec. 17th funeral in Sydney. . (Photo by George Chan)
Getty Images
A Holocaust remembrance organization has honored American Airlines for easing a passenger’s journey to the funeral of a rabbi killed in the December 2025 terrorist attack at Bondi Beach in Sydney, Australia.
American’s effort was a dramatic example of what can go right in the airline business. The passenger was booked to fly Miami-Los Angeles on American and Los Angeles-Sydney on another carrier. But the first leg was delayed by about two hours, and he was going to miss the Sydney departure.
American managers learned of the passenger’s plight, held American’s Sydney departure, moved the MIA-LAX flight to a gate near the Sydney departure, escorted him between his flights and then flew him free of charge to Sydney. The Sydney flight was delayed by just 46 minutes.
“I was so in awe of what American was doing,” Eli Rutman, the passenger, said on a video made by the Auschwitz Jewish Center Foundation. “Even the way the flight attendant came to me and said. “It’s like there’s some sort of angel out there.’ You could see their open hearts. That they felt the pain of the Jewish nation that day.”
The managers who oversaw the effort were Mohamad Najjar, LAX control center manager; Zak Rakrouki, LAX customer care manager, and Radney Robertson, managing director of LAX operations
They were recognized during last week’s state of the airline meeting. Earlier, AJCF presented its medal of valor award to American for its “extraordinary act of compassion and moral leadership.” That award was presented last month at the foundation’s annual dinner in New York.
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On Dec. 15, 2025 , Robertson was on vacation in Washington D.C. when he was awakened around 1 a.m. by a phone call from Rakrouki.
“A call at that time is not always good news,” Robertson said in an interview. However, once he was fully briefed, Robertson had two major decisions to make. One was whether to hold American’s LAX to Sydney flight. The other involved the question of how would American be paid for the ticket.
In commercial aviation, there is immense pressure on everyone, particularly station managers, for on-time departures. “As airport leaders, one thing we focus on is performance,” Robertson said. “We serve our customers by departing on time. In many cases, we hold flights. We look at the impact downline. It is not common that we would hold an international departure for one customer. “
As for payment, Robertson’s second problem was that United, Rutman’s initial carrier to Sydney, would not agree to a transfer of payment. “As we discussed that, I joked with Mo that he continued to say ‘It’s the right thing to do,’ probably twenty times. But in the end, once I understand what was going on, and that ultimately this was an opportunity to complete our mission, which is caring for people on life’s journey. It was really a no brainer. I said ‘let’s do this.’
“The real heroes are Zac and Mo,” Robertson said. “They were on duty when this happened. I made the decisions because they provided me with really good information. Zac was notified around 7 p.m. or 8 p.m. He sprang into action.” With American’s two-hour delay, American could not convince United to hold its flight. “The customer was distraught after this tragic event,” Robertson said. “Our flight was late. He was going to be stranded in LA. So, Zac and Mo reached out to IOC and said ‘We’d like to initiate a hold.’” IOC is American’s integrated operations center in Dallas.
The team also arranged to change the arrival gate for MIA-LAX to one that was two gates away from the Sydney departure. Additionally, flight attendants moved Rutman to a seat near the front of the Miami flight so he could disembark first and be escorted to the Sydney flight.
Well-known Rabbi Eli Schlanger was among the victims of a mass shooting that took place during a Chanukah celebration in Bondi Beach on Dec. 15, 2025. The attack killed 15 people and injured approximately 40 others, who had been celebrating the Jewish Festival of Lights. Rutman was a childhood friend of Schlanger’s.
Over the past three years, AJCF has filed numerous complaints involving incidents of antisemitism and religious discrimination affecting airline passengers around the world. Those incidents have included discriminatory treatment directed at Jewish travelers, as well as reported instances involving the tampering of kosher meals and other forms of antisemitic conduct. None of the incidents occurred on U.S. carriers, a spokesman said.
On the American flights from Miami to Sydney, the situation was entirely different. “American Airlines stands apart because this recognition was never about correcting a failure,” Auschwitz Jewish Center Foundation Director General Jack Simony said in an email. Rather, “Following the antisemitic terrorist attack, American Airlines and its employees responded with extraordinary compassion,” he said.
Key Takeaways American Airlines' corporate revenue rose 26% as restored agency ties helped rebuild business travel demand. AAL's Dallas-Fort Worth rebanking cut misconnections nearly 25% and lifted hub unit revenue by 4 points.Premium unit revenue grew 13.4%, but fuel costs surged 83.3% and long-term debt stood at $28.2 billion. American Airlines (AAL - Free Report) is gaining commercial momentum as premium demand, corporate travel recovery, network improvements and loyalty growth improve revenue quality. The challenge is whether those gains can offset fuel inflation, labor costs and leverage.
The setup also matters for peers such as Delta Air Lines (DAL - Free Report) and United Airlines Holdings (UAL - Free Report) , which compete for premium and global travelers. Delta describes itself as serving more than 290 destinations across six continents, while United says it reaches more than 370 destinations across six continents.
American Airlines Rebuilds Corporate DemandAmerican’s commercial reset is showing traction with higher-value travelers. Renegotiated agency contracts and restored distribution relationships are helping the carrier rebuild corporate relationships after a period of disruption.
Managed corporate revenue increased 26% year over year in the second quarter. That marked the fifth consecutive quarter of double-digit growth, signaling that business travel demand is becoming a more durable support for revenue.
AAL Network Changes Lift Revenue QualityAAL is also focusing on profitable hub growth and network optimization. New international service to Budapest and Prague from Philadelphia, Athens from Dallas-Fort Worth and resumed service to Venezuela broaden the company’s reach in key global markets.
The Dallas-Fort Worth rebanking initiative is an important proof point. It reduced system misconnections by nearly 25% and helped unit revenue at the hub outperform the system average by 4 points, highlighting the financial value of better connectivity.
American Airlines Expands Premium CapacityPremium demand remains a clear bright spot. Premium passenger unit revenue rose 13.4% year over year in the second quarter, outpacing the 8.8% increase in Main Cabin unit revenue.
American is adding premium seats through new Boeing 787-9 and Airbus A321XLR deliveries, along with retrofits of its 777-300ER, 777-200ER, A319 and A320 aircraft. That should support a richer revenue mix over time if premium and corporate demand hold up.
Driven by the tailwinds, shares of American Airlines have gained in double digits (% wise) over the past six months, outperforming its industry.
6-Month Price ComparisonImage Source: Zacks Investment Research
AAL Loyalty Investments Deepen EngagementThe AAdvantage program remains central to American’s customer strategy. Enrollments increased more than 30% year over year in the second quarter, while co-branded Citi card spending grew 8%.
Customer investments are reinforcing that effort. American reported a five-point year-over-year improvement in Net Promoter Score and plans to add Starlink high-speed Wi-Fi beginning in 2027, while continuing to expand lounges and upgrade premium cabins.
American Airlines Still Faces Cost PressureThe revenue story is improving, but cost pressure remains significant. Aircraft fuel and related taxes surged 83.3% year over year to $4.88 billion in the second quarter, reflecting a 77.1% increase in the average fuel price to $4.05 per gallon.
Labor costs are another constraint. Salaries, wages and benefits increased 5.9% year over year in the second quarter and 8.3% in the first half of 2026, while American ended June with $28.2 billion of long-term debt, including current maturities. Liquidity of $11.3 billion provides a cushion, but sustained earnings recovery is still needed to improve flexibility.
AAL Signals Favor Value Over MomentumBottom line: American’s revenue reset is gaining traction, with corporate demand, premium capacity, network changes and loyalty growth all moving in the right direction. Fuel volatility, elevated labor expense and leverage keep the recovery from becoming a clean story.
AAL currently carries a Zacks Rank #3 (Hold). That indicates a neutral short-term earnings-estimate backdrop rather than a strong directional call. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The stock’s VGM Score of B and Value Score of A support the recovery thesis from a valuation and blended-style perspective. However, the Growth Score of C and Momentum Score of F point to uneven earnings visibility and weak recent price trends, keeping the risk-reward profile balanced.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
The reported odor was traced to an onboard oven on Flight 719 An American Airlines flight from Rome to Philadelphia diverted to Dublin on Saturday after a reported odor onboard prompted a medical evaluation for multiple people.
Flight 719, a Boeing 787-9 Dreamliner, departed Leonardo da Vinci International Airport (FCO) around noon local time but diverted to Dublin Airport roughly three hours into the flight, according to FlightAware.
An American Airlines spokesperson told FOX Business the reported odor was traced to an oven onboard the aircraft.
RYANAIR PASSENGER RECOUNTS BEING PARTLY SUCKED OUT AIRPLANE WINDOW: 'I AM LUCKY'
An American Airlines airplane approaches Miami International Airport for landing in Miami, Florida. (Ronen Tivony/NurPhoto via Getty Images / Getty Images)
Aviation insider JonNYC reported that several flight attendants may have fallen ill during the incident.
One person onboard also reported experiencing what they described as "decompression and lower oxygen levels" near the front of the aircraft, JonNYC said.
The Boeing 787 was carrying 281 customers and 12 crew members, the air carrier said.
NEW BOEING AIRCRAFT DEVELOPMENT HAMPERED BY BACKLOG OF EXISTING ORDERS, SAYS CEO
FILE - Paramedics responded to an American Airlines aircraft on Saturday after it landed in Dublin Airport to evaluate those onboard. (KTVU / Fox News)
After the plane landed in Dublin, paramedics met the aircraft at the gate out of an abundance of caution, according to American Airlines.
Several flight attendants and one customer were reportedly evaluated by medical personnel and subsequently released.
Ticker Security Last Change Change % AAL AMERICAN AIRLINES GROUP INC. 15.36 +0.41 +2.74% American Airlines said affected customers were provided hotel accommodations at no charge and continued to Philadelphia International Airport on alternate flights the next morning.
Luggage bins are seen inside the cabin of a commercial airplane at O'Hare International Airport in Chicago on Oct. 17, 2019. (Photographer: Daniel Acker/Bloomberg via Getty Images / Getty Images)
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"We appreciate the understanding of our customers and thank our team members for their professionalism," the air carrier said.
FOX Business reached out to the Federal Aviation Administration for more information.
Key Takeaways AAL trades below historical and sub-industry sales multiples, supporting its undervaluation case. American Airlines posted record Q2 revenue, led by premium, corporate and loyalty demand growth. AAL faces fuel-cost pressure, weak margins and high debt despite stronger cash flow and liquidity. American Airlines (AAL - Free Report) offers a mixed investment setup: a depressed sales multiple, a $17 price target and improving revenue quality, offset by fuel volatility, weak margins and a leveraged balance sheet.
The stock’s recovery case depends on whether commercial momentum can translate into steadier earnings. That remains uncertain, but AAL’s valuation gives investors a clear reason to keep watching the shares.
Why AAL’s Valuation Points to Potential UpsideAAL trades at 0.16 times forward 12-month sales, below its five-year median of 0.17 times and well under the sub-industry multiple of 0.54 times. That discount suggests the market is still assigning a heavy risk premium to the airline’s earnings volatility and balance-sheet constraints.
The $17 price target is based on 0.18 times forward sales. Compared with the report-date share price of $14.95, that implies potential upside, though the valuation case depends on AAL sustaining revenue growth while rebuilding margins.
American Airlines’ Earnings Recovery Faces Fuel PressureSecond-quarter adjusted earnings of 15 cents per share exceeded the consensus estimate of 3 cents. Operating revenues reached a record $16.74 billion, reflecting a strong rebound across cabins and geographies.
The earnings quality was less convincing. Fuel expense surged 83.3%, pressuring profitability, while adjusted operating margin contracted to 2.7% from 8.2% a year earlier. That gap shows why revenue strength alone may not be enough if fuel remains volatile.
This was the third earnings beat by the company in the last four quarters. It missed the mark in the other quarter. The average beat is 97.6%.
How AAL’s Balance Sheet Shapes the Investment CaseAAL’s balance sheet remains a major constraint. The company carries $28.2 billion of long-term debt, a $4 billion stockholders’ deficit and a current ratio near 0.53, leaving limited room for operating shocks.
There are offsets. American ended the second quarter with $11.3 billion of available liquidity, and first-half operating cash flow improved to $4.69 billion from $3.42 billion a year earlier. Management also refinanced maturities and continued debt-repayment efforts, which helps reduce near-term financial pressure.
American Airlines’ Revenue Momentum Supports the ThesisManagement expects third-quarter revenue to increase 16%-19% on 3%-5% capacity growth. That spread points to pricing, mix and network gains rather than capacity alone.
Premium passenger unit revenue rose 13.4%, while managed corporate revenue increased 26% in the second quarter. AAdvantage enrollments grew more than 30%, and co-branded card spending rose 8%, supporting the view that loyalty and premium demand can improve revenue quality.
Still, full-year adjusted guidance ranging from a loss of 65 cents per share to a profit of 65 cents per share highlights limited visibility. United Airlines Holdings (UAL - Free Report) and Delta Air Lines (DAL - Free Report) remain relevant comparisons for investors assessing premium travel, corporate demand and fuel sensitivity across large U.S. carriers.
How AAL’s Scores Balance Value Against Weak MomentumThe bottom line is that AAL looks inexpensive, but not without reason. Revenue momentum and a low sales multiple support the undervaluation argument, while fuel pressure, weak margins and leverage keep the risk-reward profile balanced.
The stock currently carries a Zacks Rank #3 (Hold), indicating a neutral short-term earnings-revision setup. Its Value Score of A and VGM Score of B support the valuation case, while the Growth Score of C and Momentum Score of F show that earnings visibility and price trends remain uneven. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
American Airlines (AAL +6.79%) reported second-quarter results on Thursday and lowered its outlook for the year. Initially, investors were spooked, and the stock fell about 8% to close at $13.56.
Then on Friday they bought it back. Shares rose 6.8% to $14.48, recovering much of the drop in a single session.
Two days, two opposite verdicts on the same report. What gives?
A record quarter and a worse year The quarter itself was not bad at all.
Second-quarter revenue came in at $16.7 billion, up 16.3% year over year and the highest quarterly revenue in the company's history.
American posted net income of $71 million, or $0.11 per diluted share, on a generally accepted accounting principles (GAAP) basis. On a non-GAAP (adjusted) basis, net income was $99 million, or $0.15 per share.
Image source: Getty Images.
Then came the outlook. Management now expects full-year adjusted earnings per share somewhere between a loss of $0.65 and a profit of $0.65. The prior range ran from a loss of $0.40 to a profit of $1.10.
The midpoint of that new range is zero -- and that's for a company generating record revenue.
The cause is not complicated, and management named it. Aircraft fuel expense rose by more than $2.2 billion in the second quarter, an 83.3% increase year over year, lifting the average price American paid to $4.05 per gallon.
For context, $2.2 billion is more than 13% of the quarter's entire revenue, added to the cost side in twelve months. Almost any airline's profit would disappear under a move like that, and arguably American's thin margin makes it the most exposed of the big three.
What Friday's buyers were looking at So why buy the stock a day later? I think there are several reasons.
First, American guided for third-quarter revenue growth of 16% to 19% year over year -- an acceleration from the 16.3% it just posted. Demand isn't softening. And the company said it offset nearly 50% of the fuel headwind in the second quarter through higher fares, which is a meaningful thing for a business often accused of having no pricing power.
The second is the fuel price itself. Management's third-quarter outlook assumes an average of $3.75 per gallon, down from the $4.05 it paid in the second quarter. That still implies about $1.7 billion of additional fuel cost versus the third quarter of 2025, so the pressure hasn't gone away. But the direction has changed at the margin.
Put those together, and the bull case is straightforward. The revenue engine is running faster than it has in years, and what broke the profit forecast is a commodity price rather than anything American is doing in its own operation -- and commodity prices move in both directions.
Of course, the bear case sits in the same guidance. Third-quarter adjusted earnings are forecast between a loss of $0.70 and a loss of $0.10 per share. That is a loss at every point in the range, during what is normally the industry's strongest stretch of the year. And a third-quarter loss would mean American needs a strong fourth quarter just to reach the middle of its own full-year guidance range.
So would I buy it here? No -- and the reason has less to do with this quarter than with what American is as an investment.
Airline earnings are often a small difference between two enormous numbers, and one of those numbers is a commodity the company cannot control. American's second quarter shows it. Revenue hit an all-time high, and the year's profit forecast straddles zero anyway.
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On the surface, the stock looks cheap. Shares trade at $14.48, about 23% below the 52-week high of $18.79 -- at roughly nine times the earnings analysts expect over the coming year. Most screens would call that a value stock.
But a forward price-to-earnings ratio is only as good as its denominator, and this one divides by a figure management itself says could land anywhere between a loss and a profit. A multiple built on a range that wide isn't a margin of safety.
I understand Friday's buyers, though. If jet fuel pricing eases further while revenue holds a mid-teens growth rate, the earnings math flips quickly, and it flips hardest for the carrier with the thinnest margin. But that's largely a bet on an unpredictable commodity, and I'd rather make bets I can actually analyze. Additionally, investors who want exposure to the travel recovery can get it elsewhere -- from businesses whose largest cost isn't set in a commodity market.
Bank of New York Mellon Corp lowered its position in shares of American Airlines Group Inc. (NASDAQ:AAL – Free Report) by 3.0% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 3,933,780 shares of the airline’s stock after selling 120,047 shares during the period. Bank of New York Mellon Corp owned about 0.59% of American Airlines Group worth $42,249,000 at the end of the most recent quarter.
A number of other hedge funds also recently added to or reduced their stakes in the business. West Branch Capital LLC purchased a new stake in shares of American Airlines Group during the 4th quarter worth $31,000. Center for Financial Planning Inc. raised its holdings in 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 worth $39,000 after purchasing an additional 2,000 shares in the last quarter. Clearstead Advisors LLC lifted its position in shares of American Airlines Group by 140.3% during the fourth quarter. Clearstead Advisors LLC now owns 2,968 shares of the airline’s stock valued at $45,000 after buying an additional 1,733 shares during the last quarter. Caitong International Asset Management Co. Ltd lifted its position in shares of American Airlines Group by 208.2% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 3,282 shares of the airline’s stock valued at $50,000 after buying an additional 2,217 shares during the last quarter. Finally, TD Waterhouse Canada Inc. boosted its holdings in shares of American Airlines Group by 74.8% in the 4th quarter. TD Waterhouse Canada Inc. now owns 3,500 shares of the airline’s stock valued at $54,000 after buying an additional 1,498 shares in the last quarter. 52.44% of the stock is owned by hedge funds and other institutional investors.
American Airlines Group Price Performance Shares of AAL opened at $14.48 on Friday. The firm has a 50-day simple moving average of $15.35 and a two-hundred day simple moving average of $13.71. American Airlines Group Inc. has a 1-year low of $10.09 and a 1-year high of $18.79. The stock has a market cap of $9.58 billion, a PE ratio of -29.55 and a beta of 1.32.
American Airlines Group (NASDAQ:AAL – Get Free Report) last announced its quarterly earnings results on Thursday, July 23rd. The airline reported $0.15 EPS for the quarter, topping the consensus estimate of $0.03 by $0.12. The firm had revenue of $16.73 billion for the quarter, compared to analyst estimates of $16.70 billion. American Airlines Group had a negative net margin of 0.56% and a negative return on equity of 9.11%. American Airlines Group’s revenue for the quarter was up 16.3% compared to the same quarter last year. During the same period last year, the business earned $0.95 EPS. American Airlines Group has set its Q3 2026 guidance at -0.700–0.100 EPS and its FY 2026 guidance at -0.650-0.650 EPS. As a group, sell-side analysts expect that American Airlines Group Inc. will post 0.2 earnings per share for the current fiscal year.
Key American Airlines Group News Here are the key news stories impacting American Airlines Group this week:
Positive Sentiment: JPMorgan raised its price target on AAL to $24 from $22 and kept an overweight rating, signaling greater confidence in the stock’s upside after the post-earnings pullback. Benzinga Positive Sentiment: Zacks added American Airlines to its Rank #1 (Strong Buy) list, while other commentary said the stock looks technically oversold and could be due for a turnaround. Zacks Positive Sentiment: Analysts and market commentary pointed to improving sentiment around revenue strategy, premium demand, loyalty growth, and network gains, which supports the case for a recovery after the stock’s recent drop. Yahoo Finance Neutral Sentiment: American Airlines reported record quarterly revenue of $16.74 billion and beat EPS expectations, but investors are balancing that strength against a sharp profit decline year over year and a weaker full-year outlook. GlobeNewswire Negative Sentiment: The main pressure point remains surging jet fuel costs, which led American Airlines to cut its earnings guidance and cloud the profit outlook despite strong demand trends. CNBC Insider Transactions at American Airlines Group In other American Airlines Group news, COO David Seymour sold 69,343 shares of the company’s stock in a transaction that occurred on Wednesday, June 24th. The stock was sold at an average price of $17.00, for a total transaction of $1,178,831.00. Following the completion of the sale, the chief operating officer directly owned 1,025,489 shares of the company’s stock, valued at $17,433,313. This represents a 6.33% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 0.70% of the stock is owned by company insiders.
Analyst Upgrades and Downgrades Several research analysts recently commented on AAL shares. BMO Capital Markets reduced their price objective on shares of American Airlines Group from $19.50 to $19.00 and set a “market perform” rating for the company in a research note on Friday. Jefferies Financial Group boosted their target price on shares of American Airlines Group from $15.00 to $16.00 and gave the stock a “hold” rating in a research report on Wednesday, June 24th. Weiss Ratings raised American Airlines Group from a “sell (d)” rating to a “sell (d+)” rating in a report on Tuesday, June 23rd. TD Cowen increased their price target on American Airlines Group from $20.00 to $24.00 and gave the stock a “buy” rating in a research report on Thursday, July 2nd. Finally, Morgan Stanley lifted their target price on shares of American Airlines Group from $20.00 to $24.00 and gave the company an “overweight” rating in a report on Monday, June 1st. Eight analysts have rated the stock with a Buy rating, ten have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $19.18.
View Our Latest Stock Report on AAL
About American Airlines Group (Free Report)
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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American Airlines reported record Q2 revenue of $16.7 billion (+16% YoY), demonstrating successful premium service transition and commercial market recapture. The company faces a $3+ billion profit gap with legacy peers but is executing initiatives—like loyalty program growth—to close this gap. The airline forecasts a $6 billion boost in fuel prices in 2026, impacting short-term profit forecasts.
A downtrend has been apparent in American Airlines (AAL - Free Report) lately with too much selling pressure. The stock has declined 22.9% over the past four weeks. However, given the fact that it is now in oversold territory and Wall Street analysts are majorly in agreement about the company's ability to report better earnings than they predicted earlier, the stock could be due for a turnaround.
We use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether a stock is oversold. This is a momentum oscillator that measures the speed and change of price movements.
RSI oscillates between zero and 100. Usually, a stock is considered oversold when its RSI reading falls below 30.
Technically, every stock oscillates between being overbought and oversold irrespective of the quality of their fundamentals. And the beauty of RSI is that it helps you quickly and easily check if a stock's price is reaching a point of reversal.
So, by this measure, if a stock has gotten too far below its fair value just because of unwarranted selling pressure, investors may start looking for entry opportunities in the stock for benefiting from the inevitable rebound.
However, like every investing tool, RSI has its limitations, and should not be used alone for making an investment decision.
Why a Trend Reversal is Due for AALThe heavy selling of AAL shares appears to be in the process of exhausting itself, as indicated by its RSI reading of 28.69. So, the trend for the stock could reverse soon for reaching the old equilibrium of supply and demand.
The RSI value is not the only factor that indicates a potential turnaround for the stock in the near term. On the fundamental side, there has been strong agreement among the sell-side analysts covering the stock in raising earnings estimates for the current year. Over the last 30 days, the consensus EPS estimate for AAL has increased 54.4%. And an upward trend in earnings estimate revisions usually translates into price appreciation in the near term.
Moreover, AAL currently has a Zacks Rank #1 (Strong Buy), which means it is in the top 5% of more than 4,000 stocks that we rank based on trends in earnings estimate revisions and EPS surprises. This is a more conclusive indication of the stock's potential turnaround in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Anglo American PLC's (LSE:AAL) interim results next Thursday are expected to show stronger copper profitability offset by weaker iron ore pricing and losses from businesses being prepared for sale.
The miner's second-quarter production update this week was broadly reassuring, with copper and iron ore output around 1% ahead of expectations, according to Deutsche Bank.
UBS, which retained a 'buy' rating and 4,600p price target, warned that first-half EBITDA could undershoot the $3.9 billion consensus. Analyst Myles Allsop forecasts $3.6 billion.
Copper should provide the main bright spot after Anglo cut its unit-cost guidance by around 15% to 145 cents per pound, helped by stronger by-product credits and improved treatment charges.
Production of 173,000 tonnes met expectations, while output guidance remained at 700,000-760,000 tonnes.
Concerns had centred on Collahuasi following the temporary suspension of its desalination plant. However, Deutsche analyst Liam Fitzpatrick said this week's update indicates the mine performed in line with expectations and remained on course for a grade-driven recovery in 2027.
UBS expects lower copper costs to be offset by weaker realised iron ore prices, reflecting higher freight charges and the redirection of cargoes from Bahrain to China.
Steelmaking coal and De Beers are also expected to have been EBITDA-negative during the first half.
Anglo recently agreed to sell its Australian coal operations to Dhilmar for up to $3.88 billion, while discussions over the disposal of De Beers are "progressing".
Investors are also likely to look for confirmation that Anglo's merger with Teck Resources remains on track for completion between September and March.
Speaking at the earnings call after reporting second-quarter results, CEO Robert Isom commented about inflation-adjusted airfares.
“Real airfares are still lower than in 2019,” he said, even as demand continues to strengthen across domestic and international markets. That apparent contradiction helps explain one of the biggest shifts taking place across the airline industry: airlines are increasingly earning more from who is flying rather than simply how much everyone pays for a ticket.
Premium Travelers are Helping American FlyAmerican’s earnings highlighted just how much its business has shifted toward premium travelers.
“So it’s nearly half of our ticketed revenue on roughly 30% of our seats. And the thing we’re really excited about is nearly 60% of our revenue comes from households making $150,000 or more,” Nathaniel Pieper, Chief Commercial Officer chimed in.
The customer mix tells a similar story. According to the company, nearly 60% of ticket revenue now comes from households earning more than $150,000 annually, a customer base management believes is likely to remain resilient even during periods of economic uncertainty.
To capitalize on that trend, American is expanding premium seating faster than economy seating through new aircraft deliveries and cabin retrofit programs while investing in lounges, upgraded onboard products and, beginning in 2027, Starlink high-speed Wi-Fi.
Strategy at WorkThe strategy appears to be working. Premium unit revenue increased more than 13% year over year, outpacing growth in the main cabin, while managed corporate revenue climbed 26%. The airline also reported a five-percentage-point increase in customers upgrading from Basic Economy to Main Cabin after making changes to its fare offerings.
The result is a business model that’s becoming less dependent on raising economy ticket prices. Instead, airlines are increasingly generating incremental revenue from premium cabins, loyalty programs, co-branded credit cards, paid upgrades and higher-spending travelers.
It’s also helping mitigate the brunt of rising fuel costs. “In the second quarter, fuel expense increased by over $2.2 billion, or 83% year over year,” CFO Devon May noted. Isom confirmed how well American is dealing with it. “The second quarter helped offset nearly 50% of the $2.2 billion year-over-year increase in fuel expense.”
This, coupled with the company being able to hold “non-fuel year-over-year unit cost growth to under 3%” have been helping American fly through fuel inflation.
For investors, American’s latest quarter offers a reminder that the industry’s earnings story isn’t simply about higher fares. It’s increasingly about extracting more value from each traveler—even while inflation-adjusted airfares remain below where they were before the pandemic.
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Key Takeaways American Airlines reported record Q2 sales, with adjusted EPS of $0.15 and revenues of $16.74B.Premium unit revenues rose more than 13% YoY as AAL expanded premium offerings and fleet upgrades.AAL's AAdvantage enrollment increased over 30% YoY, supported by growth in major markets. American Airlines Group Inc. (AAL - Free Report) used its second-quarter earnings call to highlight progress from its commercial strategy, with management emphasizing premium revenues, loyalty growth and network improvements despite higher fuel costs.
Executives also pointed to a challenging fuel environment while maintaining that revenue momentum and cost discipline can improve profitability as conditions normalize.
AAL Highlights Commercial Strategy ProgressCEO Robert Isom said American Airlines’ four-pillar commercial strategy is producing measurable results across customer experience, network growth, premium revenues and loyalty. He noted that second-quarter revenues reached a record level, helping offset a substantial increase in fuel expense.
The company reported adjusted earnings of $0.15 per share, topping the Zacks Consensus Estimate of $0.03 by 400%. Revenues came in at $16.74 billion, beating the Zacks Consensus Estimate of $16.70 billion.
Management emphasized that American Airlines ended the quarter with $11.3 billion in liquidity while continuing efforts to improve efficiency and strengthen the balance sheet.
American Airlines Expands Premium FocusChief commercial officer Nathaniel Pieper highlighted stronger premium demand as a key driver of revenue improvement. Premium unit revenues increased more than 13% year over year, outperforming Main Cabin performance.
American Airlines said managed corporate revenues increased 26% year over year, marking the fifth consecutive quarter of double-digit growth. Premium demand also benefited from expanded offerings and fleet upgrades.
The company is increasing premium capacity through new Boeing 787-9 and Airbus A321XLR deliveries, along with retrofit programs across existing aircraft. Premium seats are expected to grow faster than non-premium capacity.
AAL Addresses Fuel Pressure and CostsChief financial officer Devon May said fuel expense increased by more than $2.2 billion year over year during the quarter. He noted that revenue strength recovered nearly half of that increase.
American Airlines expects third-quarter capacity growth of 3% to 5% year over year and revenue growth of 16% to 19%. CASM, excluding special items, fuel and profit sharing, is expected to increase 2.5% to 4.5%.
Management guided for full-year adjusted earnings in the range of a loss of $0.65 to a profit of $0.65 per share, citing higher fuel costs as a major factor.
American Airlines Builds Loyalty MomentumPieper said AAdvantage enrollment increased more than 30% year over year in the second quarter, supported by growth in major markets and internationally. The company also highlighted continued engagement through its credit card relationship.
Second-quarter card spend increased 8% year over year. Management described loyalty as a core component of its long-term revenue strategy.
Customer experience improvements were another focus, with American Airlines reporting higher customer satisfaction metrics and continued gains in on-time flight satisfaction.
AAL Faces Analyst Questions on CapacityDuring Q&A, an Evercore ISI analyst questioned why American Airlines was not making larger capacity reductions amid fuel volatility. Isom said the company is adjusting capacity based on demand and fuel conditions while remaining focused on long-term network performance.
A Bernstein analyst asked whether AAL should reduce parts of its network to improve financial returns. Pieper said the company is selectively optimizing its footprint, including adjustments in certain hubs.
Management also defended its premium strategy when questioned about aircraft configurations. Pieper said American Airlines is matching aircraft types and premium offerings with market demand while maintaining operational flexibility.
American Airlines Sets Long-Term PrioritiesManagement maintained that improving revenue generation remains the central opportunity for American Airlines. Isom said the company is focused on customer experience, network strength, premium offerings and loyalty as drivers of future performance.
AAL expects capital expenditures of about $4 billion in 2026 and said it remains committed to reducing debt while maintaining liquidity.
Executives highlighted improving revenue trends entering the second half of the year while acknowledging continued pressure from fuel costs and industry volatility.
Zacks Rank and Style Scores SignalsAAL sports a Zacks Rank #1 (Strong Buy) at present. The Zacks Rank is primarily driven by earnings estimate revisions and is designed to help identify stocks with stronger potential performance over a one-to-three-month timeframe. You can see the complete list of today’s Zacks #1 Rank stocks here.
The stock carries a Value Score of A, Growth Score of B, Momentum Score of D and VGM Score of A. Zacks Style Scores evaluate value, growth and momentum characteristics, with higher grades indicating stronger attributes within each category.
A Zacks Rank #1 combined with favorable Style Scores can indicate stronger stock-selection characteristics, although the Zacks Rank and Style Scores can change as earnings estimates and market conditions evolve after reported results.
Here are five stocks added to the Zacks Rank #1 (Strong Buy) List today:
Delek US Holdings, Inc. (DK - Free Report) : This integrated downstream energy company has seen the Zacks Consensus Estimate for its current year earnings increasing 29.1% over the last 60 days.
PBF Energy Inc. (PBF - Free Report) : This petroleum refining company has seen the Zacks Consensus Estimate for its current year earnings increasing 56.5% over the last 60 days.
American Airlines Group Inc. (AAL - Free Report) : This airline company has seen the Zacks Consensus Estimate for its current year earnings increasing 303.6% over the last 60 days.
HCI Group, Inc. (HCI - Free Report) : This property and casualty insurance company has seen the Zacks Consensus Estimate for its current year earnings increasing 3.3% over the last 60 days.
Hudson Pacific Properties, Inc. (HPP - Free Report) : This real estate investment trust has seen the Zacks Consensus Estimate for its current year earnings increasing 3.9% over the last 60 days.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
On July 23, 2026, American Airlines Group Inc (AAL) shares fell 8.3% to a current price of $13.55. This decline comes amid a challenging price performance, with
Index Dow Jones -0,97 % na 51711,65 b. S&P 500 -1,21 % na 7408,3 b. Nasdaq Composite -2,15 % na 25137,69 b.
Obchodní den končí v USA v červeném. Široký index S&P 500 odepisuje 1,2 % pod tlakem poklesů v sektoru komunikačních služeb a zbytné spotřeby. V komunikační službách se negativní sentiment propsal do akcií Alphabet, které po kvartálních výsledcích odepisují 6,89 %. Rudá barva se prolila i do telekomunikačních služeb, kde reportoval T-Mobile US (- 10,75 %). Ten se chce v následujícím kvartálu zaměřit na vyšší výnosy z každého zákazníka a méně řešit přírůstky nových klientů. Vedení očekává slabší přírůstky a společnost se snaží převádět zákazníky na dražší tarify, což by mohlo vést k dočasnému úbytku zákazníků. Za minulý kvartál firma meziročně zvýšila čistý zisk o 5 % a díky silnému cash flow byl zvýšen celoroční výhled na USD 18,4 -18,8 mld. Zveřejněný zisk na akcii USD 2,99 překonal odhady trhu.
Nedařilo se ani aerolinkám. American Airlines Group (- 8,35 %) klesá kvůli slabšímu výhledu. Společnosti v uplynulém kvartálu významně rostla cena leteckého paliva. I když se zvýšené náklady povedlo částečně přesunout na zákazníka, tak trh negativně reaguje na zvýšený tlak na marže do budoucna. Management očekává v dalším kvartálu ztrátu až do výše USD 0,1 na akcii. V reportu za minulý kvartál dosáhl zisk na akcii na USD 0,15.
Kladně končí sektor průmyslu. GE Vernova posílila o 4,69 % a o 10,54 % posílil Lockheed Martin.
Z indexu Dow Jones posílila třetina titulů na čele s Honeywell Technologies (5,7 %).
Komoditní trhy se soustředí na černé zlato. Futures na ropu Brent se nyní obchodují těsně pod hranicí USD 100 a WTI při růstu o 5,3 % překonává cenovku USD 91,5.
Index S&P 500 -1,21 % na 7408,3 b. Nejsilnější sektory S&P Změna Nejslabší sektory S&P Změna Průmysl +1,8 % Komunikační služby -5,2 % Zdravotní péče +1,3 % Zbytná spotřeba -5,1 % Energie +0,6 % Nezbytná spotřeba -1,1 % Nejsilnější akcie S&P Změna Nejslabší akcie S&P Změna Lockheed Martin Corp (LMT) +11 % Tesla (TSLA) -15 % Allegion (ALLE) +10 % T-Mobile US (TMUS) -11 % United Rentals (URI) +10 % Rollins (ROL) -9,3 % Thermo Fisher Scientific (TMO) +8,7 % Dover Corp (DOV) -7,8 % Quest Diagnostics (DGX) +8,6 % Alphabet (GOOGL) -7,1 %
Marek Kameništiak
Fio banka, a.s.
Prohlášení
American Airlines Group Inc (NASDAQ:AAL, XETRA:A1G) shares fell about 8% Thursday after the carrier reported better-than-expected second quarter results but issued a cautious outlook for the third quarter amid rising fuel costs.
The company reported adjusted earnings of $0.15 per share for the quarter, ahead of Wall Street expectations of $0.03 per share.
Revenue reached a record $16.74 billion, up 16.3% from a year earlier and broadly in line with analyst estimates.
The company highlighted strong demand across its commercial operations, with revenue growth across premium, Main Cabin, domestic and international segments. Premium passenger unit revenue increased 13.4% year over year, while Main Cabin passenger unit revenue rose 8.8%. Domestic passenger unit revenue increased 10.6%, while international performance was supported by growth across the Atlantic, Pacific and Latin America regions.
Corporate travel demand also remained strong, with managed corporate revenue rising 26% year over year during the quarter.
However, higher fuel expenses continued to pressure results. American reported fuel costs increased by more than $2.2 billion, or 83%, compared with the same period last year. The company said stronger revenue performance helped offset nearly half of the increase.
“American delivered year-over-year revenue growth of more than 16% in the second quarter, exceeding our initial expectations and continuing the momentum we’ve built across the business,” American CEO Robert Isom said.
“This performance reflects the strength of our commercial strategy, driven by our four pillars: elevate the customer experience, grow the global network, drive premium revenue and lead in loyalty.”
Looking ahead, American expects third quarter revenue to increase 16% to 19% year over year. The company anticipates average fuel prices of about $3.75 per gallon in the quarter and expects costs excluding fuel and profit sharing to rise 2.5% to 4.5%.
American forecast third quarter adjusted earnings per diluted share ranging from a loss of $0.70 to a loss of $0.10, below analyst expectations for a profit of roughly $0.28 per share.
For the full year, the company expects adjusted earnings per diluted share between a loss of $0.65 and a profit of $0.65.
American Airlines Group Inc (NASDAQ:AAL, XETRA:A1G) shares fell about 8% Thursday after the carrier reported better-than-expected second quarter results but issued a cautious outlook for the third quarter amid rising fuel costs.
The company reported adjusted earnings of $0.15 per share for the quarter, ahead of Wall Street expectations of $0.03 per share.
Revenue reached a record $16.74 billion, up 16.3% from a year earlier and broadly in line with analyst estimates.
The company highlighted strong demand across its commercial operations, with revenue growth across premium, Main Cabin, domestic and international segments. Premium passenger unit revenue increased 13.4% year over year, while Main Cabin passenger unit revenue rose 8.8%. Domestic passenger unit revenue increased 10.6%, while international performance was supported by growth across the Atlantic, Pacific and Latin America regions.
Corporate travel demand also remained strong, with managed corporate revenue rising 26% year over year during the quarter.
However, higher fuel expenses continued to pressure results. American reported fuel costs increased by more than $2.2 billion, or 83%, compared with the same period last year. The company said stronger revenue performance helped offset nearly half of the increase.
“American delivered year-over-year revenue growth of more than 16% in the second quarter, exceeding our initial expectations and continuing the momentum we’ve built across the business,” American CEO Robert Isom said.
“This performance reflects the strength of our commercial strategy, driven by our four pillars: elevate the customer experience, grow the global network, drive premium revenue and lead in loyalty.”
Looking ahead, American expects third quarter revenue to increase 16% to 19% year over year. The company anticipates average fuel prices of about $3.75 per gallon in the quarter and expects costs excluding fuel and profit sharing to rise 2.5% to 4.5%.
American forecast third quarter adjusted earnings per diluted share ranging from a loss of $0.70 to a loss of $0.10, below analyst expectations for a profit of roughly $0.28 per share.
For the full year, the company expects adjusted earnings per diluted share between a loss of $0.65 and a profit of $0.65.
Key Takeaways AAL posted record Q2 revenues of $16.74 billion as premium and Main Cabin demand strengthened. Passenger yield rose 11.9%, while premium unit revenues gained 13.4% and corporate revenues climbed 26%. Fuel expense surged 83.3%, squeezing operating margin to 2.7% and prompting cautious 2026 guidance. American Airlines (AAL - Free Report) reported second-quarter 2026 earnings (excluding 4 cents from non-recurring items) of 15 cents per share, down 84.2% year over year but well above the Zacks Consensus Estimate of 3 cents. The result represented a 400% earnings surprise.
Operating revenues rose 16.3% to a record $16.74 billion and surpassed the consensus mark of $16.70 billion by 0.2%. Revenue growth was strong across all entities and cabins, with premium, Main Cabin, domestic and international all increasing meaningfully year over year. Total revenue per available seat mile increased 10.3%.
AAL’s Passenger Revenues Gain on Higher PricingPassenger revenues climbed 15.9% year over year to $15.21 billion. Cargo revenues increased 29.7% to $273 million, while other revenues advanced 17.9% to $1.25 billion.
Passenger yield rose 11.9% to 22.33 cents, reflecting stronger pricing. Passenger revenue per available seat mile increased 10% to 18.59 cents. Revenue passenger miles grew 3.6%, while capacity, measured in available seat miles, expanded 5.4%.The passenger load factor (% of seats filled with passengers) declined 1.5 points to 83.2%.
American Airlines Sees Broad Cabin and Regional StrengthPremium passenger unit revenues increased 13.4% year over year, outperforming an 8.8% rise in Main Cabin unit revenues. Managed corporate revenues advanced 26%, marking the fifth consecutive quarter of double-digit growth.
Domestic passenger revenues rose 17.1% to $10.73 billion, aided by a 10.6% increase in passenger unit revenues. International passenger revenues grew 13.2% to $4.49 billion. Pacific revenues jumped 24.6%, Atlantic revenues increased 12.8% and Latin America revenues improved 11.4%.
AAL Faces a Sharp Increase in Fuel ExpenseTotal operating expenses rose 22.9% year over year to $16.29 billion. Aircraft fuel and related taxes surged 83.3% to $4.88 billion, reflecting a 77.1% increase in the average fuel price to $4.05 per gallon.
Salaries, wages and benefits increased 5.9% to $4.64 billion. Maintenance, materials and repairs rose 10.8% to $1.03 billion, while regional operating expenses increased 7.5% to $1.34 billion. CASM excluding special items, fuel and profit sharing advanced 2.9% to 13.93 cents.
American Airlines’ Margins Contract Despite Revenue GrowthGAAP operating income fell 60.7% year over year to $446 million. The reported operating margin narrowed to 2.7% from 7.9%, as elevated fuel costs outweighed the benefit of record revenues.
Adjusted operating income declined 61.7% to $453 million, while the adjusted operating margin contracted to 2.7% from 8.2%. GAAP net income totaled $71 million, or 11 cents per diluted share, compared with $599 million, or 91 cents, a year earlier.
AAL Expands Loyalty and Improves OperationsAAdvantage enrollments increased more than 30% year over year, while spending on the company’s co-branded Citi credit cards grew 8%. Changes to Basic Economy offerings and checked-bag fees contributed to a 5-point increase in the upsell rate to Main Cabin.
On-time arrival performance improved 2.8 points. The rebanking of the Dallas-Fort Worth hub reduced system misconnections by nearly 25% and helped unit revenues at the hub outperform the system average by 4 points.
AAL Maintains Strong LiquidityAAL ended the quarter with $11.3 billion in total available liquidity. Cash totaled $1.03 billion, while short-term investments were $6.74 billion at the end of June.
Operating cash flow for the first six months of 2026 increased to $4.69 billion from $3.42 billion a year ago. Capital expenditures and aircraft purchase deposits totaled $1.63 billion. The company paid $4.65 billion toward long-term debt and finance leases while issuing $4.52 billion of long-term debt.
AAL Issues Cautious Q3 and 2026 GuidanceFor the third quarter, AAL, currently carrying a Zacks Rank #2 (Buy), expects revenues to increase 16-19% year over year, with capacity growth of 3-5%. CASM excluding special items, fuel and profit sharing is projected to rise 2.5-4.5%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Management expects third-quarter adjusted results between a loss of 70 cents and a loss of 10 cents per share. The outlook assumes an average fuel price of approximately $3.75 per gallon and a $1.7 billion year-over-year increase in fuel expense. The Zacks Consensus Estimate for third-quarter 2026 earnings is currently pegged at 31 cents per share.
For full-year 2026, American Airlinesnow anticipates adjusted results ranging from a loss of 65 cents to earnings of 65 cents per share. Previously, the carrier had expected adjusted earnings in a range of a loss of 40 cents to earnings of $1.10 per share.
The revised outlook assumes a roughly $6 billion headwind due to high jet fuel prices. The Zacks Consensus Estimate for full-year 2026 earnings is currently pegged at 57 cents per share. Despite strong travel demand and rising ticket prices, American Airlines and other airline operators are grappling with the volatility of fuel prices, resulting in an uncertain environment.
Q2 Performance of Other Airline CompaniesDelta Air Lines (DAL - Free Report) reported second-quarter 2026 earnings (excluding 88 cents from non-recurring items) of $1.56 per share, beating the Zacks Consensus Estimate of $1.51. Earnings declined in double digits (% wise) from a year ago as sharply higher fuel costs pressured profitability.
Revenues rose on a year-over-year basis to $17.67 billion but missed the consensus estimate of $17.76 billion. Broad demand strength lifted adjusted total revenue per available seat mile (“TRASM”), 12.4%, while premium and diversified revenue streams continued to expand.
United Airlines (UAL - Free Report) reported second-quarter 2026 adjusted earnings of $1.99 per share, down 48.6% year over year but above the Zacks Consensus Estimate of $1.92 by 3.7%.
Operating revenues rose 16% to $17.67 billion and were essentially in line with the $17.68-billion consensus mark. A 12.1% increase in TRASM and broad-based gains across premium, loyalty and cargo revenues supported the top line despite sharply higher fuel costs.
For the quarter ended June 2026, American Airlines (AAL - Free Report) reported revenue of $16.74 billion, up 16.3% over the same period last year. EPS came in at $0.15, compared to $0.95 in the year-ago quarter.
The reported revenue represents a surprise of +0.22% over the Zacks Consensus Estimate of $16.7 billion. With the consensus EPS estimate being $0.03, the EPS surprise was +400%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how American Airlines performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Operating cost per ASM excluding net special items and fuel - Total: 13.93 cents versus the four-analyst average estimate of 13.99 cents.Operating cost per ASM excluding net special items - Total: 19.89 cents versus the four-analyst average estimate of 20.14 cents.Passenger load factor (percent) - Total: 83.2% versus 84.9% estimated by four analysts on average.Average aircraft fuel price including related taxes - Total: 4.05 $/gal versus 4.12 $/gal estimated by four analysts on average.Passenger revenue per ASM - Total: 18.59 cents versus 18.75 cents estimated by four analysts on average.Total revenue per ASM - Total: 20.45 cents compared to the 20.44 cents average estimate based on four analysts.Available seat miles - Total: 81.84 billion versus the four-analyst average estimate of 81.56 billion.Yield - Total: 22.33 cents versus 22.07 cents estimated by three analysts on average.Fuel consumption - Total: 1,204.00 MGal versus 1,223.11 MGal estimated by three analysts on average.Revenue- Passenger: $15.21 billion versus $15.29 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +15.9% change.Revenue- Other: $1.25 billion versus $1.2 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +18% change.Revenue- Cargo: $273 million versus $219.72 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +29.4% change.View all Key Company Metrics for American Airlines here>>>
Shares of American Airlines have returned -15.2% over the past month versus the Zacks S&P 500 composite's +0.4% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.
