AAL stock: buy or sell?

AAL stock price: $10.06 -5.89% At close on April 2nd, 2020

Updated on:
April 2nd, 2020

1

American Airlines plunged a chilling -5.89% and closed at $10.06. Thursday was the fifth red session in a row, sliding in full a -36.39%. On Mar 25th AAL boosted an exceptional 9.55%.

Should I buy AAL stock?

You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. Following a trading plan helps to make decisions easier, quicker and with less hesitations. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

Currently, American Airlines stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean AAL will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is American Airlines stock a buy?

Financial institutions and banks publish stock ratings everyday. Unfortunately, we couldn't find any rating for AAL stock for the last 30 days.

AAL stock analysis

Daily outlook

American Airlines shares plunged -5.89% to $10.06 today.

Shares of American Airlines plunged a chilling -5.89% and closed at $10.06. Since Feb/18 when AAL stock price broke down the SMA200d line, it slid $-19.14 per share (-65.55%).

AAL stock chart (daily)

Weekly outlook

After boosting a dazzling 26.07% in a week last week, American Airlines closed this week at $10.06 and plunged a dreadful -28.35%.

Since mid February, when AAL stock price broke down the 40-weeks moving avarage line, it slid $-19.14 per share (-65.55%). Stocks below the 200d moving average line are usually not recommended for average traders.

AAL stock chart (weekly)

AAL stock price history

AAL stock went public on September 27th, 2005 with a price of $19.841. Since then, AAL stock sliced a -49.30%, with a yearly average of -3.50%.

1: Adjusted price after possible price splits or reverse-splits.

AAL stock historical price chart

AAL stock reached 52-week highs on April at $34.77, and all-time highs 2006-11-24 with a price of 59.65.

AAL stock price target

How much a stock will be priced tomorrow or next week is quite unpredictable However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. You should not follow the analysts' AAL stock price predictions in the hope that they will be met as they may be wrong and not met. For the last month we have not detected any price target for American Airlines stock by any trusted analyst.

Financials and fundamental analysis

Earnings date and Earnings per Share

After posting its last earnings report on April, American Airlines . Unfortunately, reported EPS is not yet available in our database.
AAL earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/an/an/a
2017-Q32017-10-261.41.421.4%
2017-Q42018-01-250.920.953.3%
2018-Q12018-04-260.740.751.4%
2018-Q22018-07-261.591.632.5%
2018-Q32018-10-251.121.130.9%
2018-Q42019-01-241.021.042.0%
2019-Q12019-04-240.62n/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

Compared to 2017, last anual sales report draw a decent increase of 4.51% to $44,530.00 M dollars. When comparing 2018 vs 2017, in contrary, profit margin (that is, the net income divided by revenues) remained stable a 0.71% to 3.72%.

To have an updated view of the financial situation of American Airlines, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual American Airlines TTM sales up to March 2019 were $44,713.00 and earnings were $1,656.00 million dollars. If we compare this TTM figures with the last reported annuality, we can review American Airlines business evolution since December 2018: Annual revenues up to March, compared to lastest yearly report, stayed stable a neutral 0.41%. In line, profit margin (net income/revenues) remained constant at 3.72%.

AAL annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$26,740 M-$-1,830.00 M-6.8%-
2014$42,650 M59.50%$2,882 M6.8%-257.49%
2015$40,990 M-3.89%$7,610 M18.6%164.05%
2016$40,180 M-1.98%$2,676 M6.7%-64.84%
2017$42,610 M6.05%$1,285 M3.0%-51.98%
2018$44,530 M4.51%$1,658 M3.7%29.03%
TTM $44,713 M0.41%$1,656 M3.7%-0.12%

Quarterly financial results

American Airlines reported $10,584.00 M in revenues for 2019-Q1, a -3.14% decline compared to previous quarter. Reported quarter earnings marked $185.00 M with a profit margin of 1.75%. Profit margin decreased a -3.41% compared to previous quarter when profit margin was 5.16%. When comparing revenues to same quarter last year, American Airlines sales marked a slightly good growth and appreciated a 1.76%. Looking back to recent quarterly results, American Airlines posted 3 negative quarters in a row.
AAL quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$11,110 M-$803 M7.2%-
2017-Q3$10,880 M-2.07%$624 M5.7%-22.29%
2017-Q4$10,196 M-6.29%$54 M0.5%-91.35%
2018-Q1$10,401 M2.01%$186 M1.8%244.44%
2018-Q2$11,643 M11.94%$566 M4.9%204.30%
2018-Q3$11,559 M-0.72%$341 M3.0%-39.75%
2018-Q4$10,927 M-5.47%$564 M5.2%65.40%
2019-Q1$10,584 M-3.14%$185 M1.7%-67.20%

American Airlines ownership

When you are planning to invest in a stock, it's always worth to review its ownership structure.

American Airlines shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 40.01% of all shares.

In case of American Airlines stock, 5.17% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for AAL stock account 0.00%, no big difference from last month.

For a better context understanding, the next table shows ownership data compared to other related companies:

AAL
Market cap$4.3 B
Total shares428.2 M
Float shares419.8 M
  - Institutional holdings (%)5.2%
  - Insider holdings (%)40.0%
Shares in short selling0.0%

AAL summary

Thursday, April 2nd, 2020
Open$10.61
Close$10.06
Day range$10.00 - $11.03
Previous close$10.69
Session gain-5.89%
Average true range$2.56
50d mov avg$20.90
100d mov avg$24.53
200d mov avg$26.79
Daily patternlt02a
Weekly pattern

American Airlines performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. We chose as the bechmarking frame for American Airlines stock.
Stock3m6m12m
AALAmerican Airlines-63.48%-60.78%-70.07%

American Airlines competitors

Unfortunately, we could not find any public company that could be defined as American Airlines competitor. This doesn't mean American Airlines does not have any competitor in the market, it's just we could not detected it.

    Latest AAL stock news